Small businesses who are under the VAT threshold in the UK and sell digital products may have a problem in 2015.
Digital products sold in Europe could attract VAT which will then be charged on all products and services.
To find out more go to www.change.org and if you feel motivated to take action sign the petition.
From 1 Jan 2015, the new ruling means that should you make a sale to the EU (how one can prevent that with online services is not clear) from the first £1 of revenue your business earns you will need to be VAT registered in the UK and under the VAT MOSS Europe-wide scheme – meaning that you will immediately have to apply VAT to all your services, including those in the UK.
http://bit.ly/1Fol6tT.
Digital products are the solution for small businesses to expand and make more difference.