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Do I need to pay income tax or VAT?

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  1. #1

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    Jan 2014
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    Do I need to pay income tax or VAT?

    I am writing a book, entirely written in Hong Kong

    The target audience are in UK.

    It's e-book... to be sold on amazon..

    over 90% of the readers are in UK.

    Do I need to pay UK's income tax, VAT, etc?

    thanks,,


  2. #2

  3. #3

  4. #4

    I think the answer for the UK VAT on ebooks is rather straight forward, i.e. e books are not taxable under the VAT legislation in the UK.
    Assuming you are selling the ebooks as an individual natural person with fiscal residence in Hong Kong, no UK income tax should be triggered.
    The finer print would be to look at how your transactions with amazon to whom you possibly pay a service charge/commission are treated, as there might be a bunch of services involved (payment processing, making available of digital content to end-consumers) which would only indirect impact you in my opinion as the respective amazon entity would suffer such tax consequences, however those taxes would economically be borne by you.

    nivek2046 likes this.

  5. #5

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    thanks.

    what if the books sell well, and I were to print them out.

    Let's say I print them somewhere in London, and then send the printed books via post to its customers, mostly in the UK but a few across the channel in the continent.

    Do I need to pay VAT or income tax?

    thanks


  6. #6

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    I am sure we have discussed this before.

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  7. #7

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    Quote Originally Posted by nivek2046:
    thanks.

    what if the books sell well, and I were to print them out.

    Let's say I print them somewhere in London, and then send the printed books via post to its customers, mostly in the UK but a few across the channel in the continent.

    Do I need to pay VAT or income tax?

    thanks
    A very quick Google shows books are exempt from VAT in the UK
    nivek2046 likes this.

  8. #8

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    Quote Originally Posted by hullexile:
    A very quick Google shows books are exempt from VAT in the UK
    great!

  9. #9

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    Check with Amazon UK - Seller’s Forums

    nivek2046 and traineeinvestor like this.

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