For legal reasons etc I’ll say this is not financial advice and you should talk to a professional yourself
my accountant recommends charging 21% Dutch tax to only consumers from the EU until I hit 10k per year in revenue and pay my taxes in The Netherlands for those consumer customers. Once I hit 10k ARR then I’ll have to start paying tax in other EU countries themselves.
Just need to figure out how to charge a flat 21% to those EU consumer customers only.
@EddyVinck, you don't charge a flat 21% to all EU consumer customers. You apply the VAT rate based on their country (20% in France for instance). If they are businesses, they provide their VAT ID, so you don’t add VAT to their bill.
Got a response from my accountant
For legal reasons etc I’ll say this is not financial advice and you should talk to a professional yourself
my accountant recommends charging 21% Dutch tax to only consumers from the EU until I hit 10k per year in revenue and pay my taxes in The Netherlands for those consumer customers. Once I hit 10k ARR then I’ll have to start paying tax in other EU countries themselves.
Just need to figure out how to charge a flat 21% to those EU consumer customers only.
@EddyVinck, you don't charge a flat 21% to all EU consumer customers. You apply the VAT rate based on their country (20% in France for instance). If they are businesses, they provide their VAT ID, so you don’t add VAT to their bill.
Both are true but given my circumstances charging 21% is easier here