- Amazon forces ebook VAT on publishers (telegraph.co.uk)
- Amazon Ordered to Pay More VAT by European Commission (goodereader.com)
- Euro book chiefs: e-book VAT must be lowered (nextlevelofnews.com)
Zero rating for printed matter under threat
The VAT treatment of eBooks is understood to be challenged soon using the EU principal of fiscal neutrality; eBooks are subject to VAT whereas printed books are zero rated. As the European Commission has already ruled that France and Luxembourg cannot apply a reduced rate of VAT to eBooks and that they should be standard rated, it is unlikely that the challenge will result in eBooks becoming zero-rated. Fiscal neutrality could lead to zero-rating being withdrawn for hard copy books.