Thoughts on VATMOSS thresholds
For those of you playing the VATMOSS game, who haven’t already picked up on this elsewhere, the EU VAT Action Campaign’s latest blog post – as written by me.
The VATMOSS Threshold Paradox, Reasons Why Countries Are Wary & Why We Need Action NOW
For those of you now getting replies from MEPs and other indicating general support for the notion of a threshold, please go back and press them hard on the timing issue. EU and other countries’ agreement in principle is all very well but the current timetable won’t see anything agreed before 2018 and could take as long as 2020. By which time the grassroots digital economy will be wrecked.
Who’ll be the first to get all the Temporally Out of Order signatures?
My author copies of the Temporally Out of Order anthology arrived over the weekend, and as well as admiring the high quality of both the book and the stories within it, I am particularly taken with the dedicated author signatures page right at the front.
What an excellent idea! Because I have signed my particular story in no end of anthologies and also my contributions in non-fiction books which I’ve written essays for, over the years. And I can absolutely understand why keen fans like to get their volumes signed.
This offers the writer a quick and elegant solution to clumsily fumbling with pages as they leaf through to find their particular chapter plus any conundrum over where exactly to write their name, which is not always as straight forward as you might think! As well as giving the book owner a one-glance checklist of who they have or have not yet got – because, yes, I have also been presented with anthologies only to find I have already signed it! Which doesn’t bother me in the slightest but book owners have been known to blush with embarrassment.
And you know, I really, really do think there should be a prize for the first person to collect the whole set. If that’s you, email me a photo and we’ll come up with something good!
VATMOSS and Patreon developments. Feedback requested.
A quick VATMOSS related update and question for those using this crowdfunding platform, whether as creators or supporters.
Patreon are now clearly adding the VAT due at the ‘customer’s’ location to the pledges people are making. So someone in the UK looking to support a US creator at $5 a month now sees they’ll actually pay $6 – of which $1 goes in tax.
This certainly relieves creators of the headache of registering for VATMOSS and processing individual returns.
But is it going to have an impact on patrons’ willingness to support them?
And I very much want to see if the VAT is ONLY being added where the creator is supplying the patron with something via digital means; an ebook, an art file, a music file or similar.
Or is everyone being charged VAT, even when the buyer and seller are in the same country, on the basis that Patreon’s supplying the digital service of managing the crowdfunding and that’s what’s now subject to VAT? In which case, should the patron be bearing all that cost when the creator is the one offering their wares or services via this platform?
Please could those of you who use Patreon let me know how you’re seeing this work in practise, and particularly about any negative feedback or drop-off in support, either in comments to this post via email if you prefer (see contact info here)
Or get in touch via Twitter or Facebook – whatever suits you best. And spread the word.
Many thanks.
Are those who don’t follow Science Fiction condemning the rest of us to live it?
I’ve been experiencing a weird sort of déjà vu lately. A lot. Most recently, watching news footage of thousands of desperate refugees walking along a Hungarian motorway hard shoulder. I keep recalling a BBC drama film ‘The March’ from (as a little research shows me) 1990, in which thousands of Africans fleeing climate change walk to Europe. Their challenge to richer nations is help us or watch us die. Those richer nations don’t know how to cope…
I also recall at the time that film was dismissed as unnecessarily alarmist and melodramatic. Oh, no, they said, that could never really happen. How’s that opinion looking now?
Then there’s the US elections. I keep thinking back to John Brunner’s ‘The Sheep Look Up’ (first published 1972). I must have read that when I was a student, or certainly some time in the 80’s, because I remember considering the buffoonish, soundbite president ‘Prexy’ and thinking well, at least Ronald Reagan isn’t quite that bad. But now? Donald Trump? Yes, I can easily see him talking such gibberish while the world goes to hell in a handcart.
Not that we in the UK have any room for complacency. Who else is watching the media attacks and distortions surrounding Jeremy Corbyn and recalling A Very British Coup? Both the 1982 novel by Chris Mullin and the first TV adaptation for Channel 4 by Alan Plater, with Ray McAnally playing the lead; Harry Perkins is the unabashed socialist elected to lead the Labour Party, committed to challenging media bias, American hegemony and pro nuclear disarmament. Goodness, the Establishment cannot possibly have that…
I could go on. Ken Macleod’s ‘The Exection Channel’ is another title that springs to mind with unnerving regularity when I’m watching the news or reading the papers these days.
I suppose I should just be grateful that (so far) we’ve escaped the dire fate predicted for us all in Threads; another BBC film from 1984 dealing with the aftermath of nuclear war.
Anyone else experiencing anything similar? Anyone got other titles to add, from books, films or TV?
And how the hell do we get the politicians and decisions makers to start reading or watching this stuff and thinking about more than their own short-term careerist interests?
Well, we can at least make a start by using our votes and making the effort to write to our elected representatives. If there’s one thing that losing most of this past year to campaigning on EU digital VAT has shown me, it’s that enough single voices really can make a difference.
Let’s do it.
Urgent action needed before the EU authorities tell each other how digital VAT is working out fine!
As the dust from the Irish Revenue Fiasco settles, we can now see what Europe’s smallest businesses think of their chances of selling digital products online, six months after the new EU regulations were introduced. Alongside the opinions of the up-and-coming digital entrepreneurs and other companies keen to expand into international online trade, to drive the knowledge economy and generate employment and growth.
From 7th-9th September, the Fiscalis Summit in Dublin will see representatives of every EU Finance Ministry discussing how well or badly implementing these new rules has gone.
So we have until that conference to convince the Finance Ministries that this current system is damaging for all businesses and unworkable for those who simply cannot meet the administrative burdens and costs of compliance necessary to sign up for VATMOSS.
Otherwise there is no realistic prospect of seeing meaningful changes to this destructive legislation before 2017/2018.
We need everyone to act, most particularly those outside the UK, to prove this isn’t just a UK concern, which is something far too many other European finance ministries still believe. They’re still only talking to business organisations and the largest companies who can handle all this far more easily than the rest of us.
They need to hear the specific details of the ways this legislation has hurt your business and the changes you’ve had to make in order to just keep trading. However well the VATMOSS payment processing system itself might work is irrelevant if the administrative burdens and costs of compliance are so damaging.
European finance ministries and the tax officials handling all this need to hear from the sole traders, the one-person companies, the part-time start-ups and side-businesses who have been hardest hit by all this, precisely because the Internet now offers so many opportunities for small-scale, direct e-commerce.
Some of those start-ups could have become the next Apple, Amazon or Google. But as long as these new regulations raise such an off-putting barrier to entry into the digital single market, those giants will continue to dominate.
A longer/detailed version of this post is over on the EU VAT Action website
You can find the contact details for European finance ministries here
And here are the EU VAT contact details for each country’s finance ministries
Last but by no means least, we’ve also navigated PayPal’s rules and regulations to set up a Donate button, for those of you who’d prefer that route for making a contribution to the campaign. All money received will only go on direct expenses. We all continue to donate our time for free – yes, even after ten months of this…
A writing update – let’s hear a cheer for anthologies!
While I’d very much like to be under contract for some novels, with the upcoming expense of Junior Son’s university years ahead, it’s actually a very good thing I’ve not got deadlines like that to handle at the moment, given the way EU digital VAT has eaten my life this year…
So I am intensely grateful to have anthology invitations to keep me writing amid all the hassle of trying to reform EU legisation…
‘Fight like a Girl’ is a collection forthcoming from Kristell Ink – details here – and that has a story from me that just happens to be set a few years ago in the Lescari Wars, for those interested in Einarinn fiction. Obviously, there’s no need to be familiar with that scenario; the story stands alone for newcomers to my work. So do click on over to find out who’s writing alongside my tale Coins, Fights and Stories Always Have Two Sides.
Next year will see me having another crack at Science Fiction! Fox Spirit will be bringing out an anthology Eve of War and I have a story in what promises to be another very strong and interesting collection. Details forthcoming in due course.
If you can’t wait for that, and are keen to read something new by me but simply couldn’t spare the cash to contribute earlier to the ‘Temporally Out of Order’ anthology, now’s your chance to buy the mass-market paperback or ebook. My story’s called ‘Notes and Queries’ and I wrote about my inspiration for it here a while back.
Once you’ve read that, or if you’ve read any of the previous anthologies edited by Joshua Palmatier and Patricia Bray, you really should check out this new Kickstarter, looking to fund two new collections, one on Were- well, whatevers, and one on alien artefacts. I’ve signed up for Alien Artefacts, and that’s definitely a go, as you’ll see the Kickstarter is already fully funded. New authors joining the fun now include David Farland (aka Dave Wolverton) and CS Friedman.
But wait! You can still make a real contribution to enhancing these anthologies, along with snagging some very fine advance goodies and bonuses for yourself.
For instance – Katharine Kerr (author of the Deverry fantasy series and the Nola O’Grady urban fantasy series) will join the anchor authors of the WERE- anthology if we reach $12.5K. (I’m particularly excited about this one as I have admired her writing for literally decades!) Then Jean Marie Ward has donated an ebook of a novelette called “Glass Transit” for those that pledge $6 or more if we reach $15K. And much, much more besides.
And meantime, alongside Cheryl Morgan of Wizards Tower Press, I’m working hard on preparing the Aldabreshin Compass ebooks for release soon, really soon… And yes, I know I keep on promising this but honestly, cover art and map reveals will be forthcoming shortly. Trust me, they’re worth the wait!
And now, if you’ll excuse me, I have to go and prepare for tomorrow’s HMRC Digital VAT Working Group meeting…
“The Irish Government wouldn’t send out a letter with the Guinness logo on it!”
When dealing with the VATMOSS fiasco, laughs are few and far between, so I did enjoy this contribution to the weekend’s online debate over whether or not letters from Dublin demanding insane amounts of money were a scam or some Irish Revenue office cock-up.
Meantime, it’s now been established that the letters did indeed come from the Irish Revenue but no, they’re not actually demanding that money. They were apparently generated by a system error and an investigation is underway. Apologies will be forthcoming. So that’s that, okay?
Actually no, it’s very far from okay, and let’s not just draw a line under it and move on.
Not when members of the EU VAT Action Team and of the HMRC Digital VAT Working Group had their weekends so thoroughly disrupted by all this – along with the HMRC officials trying to get answers for us.
Not when these letters have generated so much concern and annoyance. Some recipients getting demands that weren’t for tens of thousands of Euro genuinely thought they were in danger of being aggressively pursued for a mistaken debt, while those convinced this was all a scam were very worried indeed about the data breach presumably indicated by the amount of genuine and supposedly confidential information in these letters about them and their businesses.
And if I was an Irish tax payer, I’d very much want to know how much money has just been wasted on printing and posting hard copy letters internationally to potentially ten thousand or so companies.
This is the second time a ‘computer glitch’ has generated a batch of bogus letters. After the first quarter’s VAT returns, the German tax system sent notifications to companies in the UK and the Netherlands with details of the tax office in Kleve they’d be required to deal with, complete with reference and registration numbers for all future correspondence. Once again, opinion was split between scam or screw-up – along with those genuinely worried that they were now required to deal with a tax office in a different country and language.
Because we cannot safely dismiss any such letters as a scam. The assurances we were given back in January that any queries from foreign tax authorities would be directed through HMRC have proved worthless. Small businesses in the UK have been contacted direct by tax offices from Sweden, Germany, Denmark and Luxembourg so far, over discrepancies in their VATMOSS returns for as little as five pence sterling. Yes, really.
Though doubtless some people who aren’t following all this debate online still believe that assurance from HMRC. What’s going to happen when one of them bins what turns out to be a genuine letter sent direct to them? How much trouble will they find themselves in, for wilfully failing to respond, as punitive interest is added to what they might owe?
On the other hand, what’s going to happen when some sophisticated scammer sends out a few hundred thousand emails using publicly available data gathered from Companies House, because some of those will be registered for VATMOSS, right? And some of those will be persuaded that they are somehow required to pay a non-ridiculous but non-trivial sum of money. Especially those operating at the small-scale, direct e-commerce end of the businesses all caught up in this. People without accountants and without much experience of either governmental cock-ups or the increasingly common online scams.
And what does this say about the VATMOSS systems we’re supposed to rely on, as we invest hundreds of pounds and hundreds of hours of lost working time attempting to comply with this legislation? It’s already apparent these rules were devised by people with a wholly inadequate understanding of the Internet and direct e-commerce. Now it looks like the computer systems handling all this have been put together and run with a similar lack of skills.
Let’s not even get started on the problems people across Europe have trying to get answers out of their tax authorities when something like this happens. Callers to the HMRC fraud line this weekend found themselves talking to staff who had no clear idea what VATMOSS might be, still less how scammers might be misusing it.
This entire scheme is not fit for purpose. The EU Commission has already acknowledged the regulations need reviewing and a turnover threshold applied. That process could take up to two years.
So far, so good, but meantime, it is wholly unacceptable to insist that businesses continue to try to comply, using these VATMOSS systems which are now inspiring zero confidence.
These regulations need suspending with immediate effect until a system that’s proven to be fit for purpose can be agreed.
The EU VAT Action Team will continue to represent the interests of all those online businesses and traders who were never consulted, still less considered, when this legislation was devised.
The EUVAT VATMOSS Campaign. Fundraising to attend a VITAL meeting
I may not have blogged about this lately but there’s been plenty going on over these past few months. Don’t believe anyone who tells you that Brussels shuts up shop for the summer while everyone heads for the beach. The emails and calls have been going back and forth as busily as ever.
We now have a chance to convince the EU that they must take decisive action to put a stop to the damage these regulations are doing, at the EU Finance Ministers’ summit in Dublin, 7th – 9th September. As long as we can afford to send a representative to speak up on behalf of everyone so badly affected. The EU VAT Action Team has held off asking for money for as long as possible but now we need financial help.
Let me explain how we got this far…
With the ongoing and invaluable assistance of MEPs Vicky Ford (Con), Anneliese Dodds (Lab) and Catherine Bearder (Lib Dem), we’ve continued to make the case for reform and interim suspension of this legislation which is still proving unworkable and hugely damaging for the digital small business sector. It’s no exaggeration to say that it’s already killing the digital single market at the grass roots level.
Thanks to ongoing pressure from all the campaign’s supporters, through letters and calls, Deloitte have now been instructed to work with us and to accept our evidence as they prepare an impact assessment for the EU Commission.
Here in the UK we’ve been working with senior figures and VAT experts within the accountancy profession and other business organisations, as we continue to collect evidence of the hugely disproportionate costs of compliance, for the sake of paying trivial amounts to the tax man. We’re talking typically under £10. Yes, really.
We’ve also been collecting evidence of ongoing problems with the entire system. Such as small businesses in the UK being hounded directly by other countries’ tax offices over discrepancies which aren’t even their fault, of under £1, €1, and in one case, 5p. Yes, you read that right. The supposed agreement that such queries would be directed to HMRC simply isn’t holding.
Once again, letters and calls from all the campaign’s supporters to their MPs and other representatives have bolstered the EU VAT Action Team’s case. Feel free to continue writing!
We’ve reached the point where EU Commissioners Donato Raponi and Andrus Ansip are convinced this legislation needs a threshold to make the system workable. And while the details of that are worked out, we need an interim suspension for the smallest businesses who’ve been the hardest hit.
Now we need to convince all 28 EU Finance Ministries. To do that, we need to send a representative to Dublin. At our own expense. Welcome to modern participatory democracy – your voice will be heard as long as you can pay to play.
Assuming we can reach that target (and passing it would be good!) the first priority will be meeting the Dublin trip’s costs. After that, we’ll refund the expenses the EU VAT Action Team have been covering out of their own pockets thus far, pro rata.
For instance, my own tally for train fares and other direct costs is now approaching £500. That’s used up most of my own business travel and promotions budget, so if you’ve been wondering why you haven’t seen me at SFF conventions this year, there’s your answer.
(We’re not even trying to calculate the hundreds of hours and thousands of words we’ve spent on this, in meetings, writing letters, briefings and blogposts… And the rigmarole of setting up a bank account has been another saga in itself…)
Once those direct costs have been met, any surplus will be donated to Kiva, a non-profit microfinance company alleviating poverty in the developing world by enabling people to create their own opportunities, meeting their own communities’ needs.
We’ve already demonstrated that a lot of small voices protesting together can have a big impact. Now a lot of small donations could very quickly give us the sum we need to see this campaign achieve the changes to the legislation that all of us so desperately need.
Please give us whatever you can afford, and spread the word as far and as fast as possible.
Many thanks.
(For those of you who prefer to use PayPal, we are looking in to that option and will post an update as soon as that’s available. But as with setting up the bank account, getting a Donations button turns out to be an unexpectedly lengthy and complicated process.)
Edited to Add
If you click through to the Just Giving page, you’ll now see we’re fully funded, thanks to the outstanding generosity of the video games company Rebellion, who are also the parent company of Solaris Books and the comic 2000AD, and as such can see exactly how bad this is for digital creatives.
Since this affects so many people in all three of those areas, games, comics and books, they decided to guarantee we’d be representing the self-starters and independents at that vital meeting!
So now, if you can add your contribution, however much that might be, we can hopefully send a second delegate to provide administrative and moral support to our speaker at the conference!
And please keep spreading the word!
Alien Artefacts and Were-(whatevers)! Another chance for me to write some SF!
As regular readers will know, ZNB is a small press run by Joshua Palmatier, with the able assistance of Patricia Bray, that’s establishing a solid reputation for anthologies exploring all manner of quirky corners of SFF. They really do have a knack for finding subjects to inspire and entertain both writers and readers. Because one of the most fun things about writing for a ZNB project is seeing what everyone else comes up with!
Here’s the newest book they’re proposing – or rather, books. This new Kickstarter will fund TWO science fiction and fantasy anthologies, titled ALIEN ARTIFACTS and WERE-, containing approximately 14 all-original (no reprint) short stories each from established SF&F authors in the field – including Phyllis Ames, Jacey Bedford, Patricia Bray, David B. Coe, Walter H. Hunt, Faith Hunter, Gini Koch, Gail Z. Martin, Seanan McGuire, Danielle Ackley-McPhail, Steve Miller & Sharon Lee, and Jean Marie Ward, and me, plus others. Because as well as anchoring these anthologies with stories from established authors, ZNB also offer open submission slots for other writers – with professional pay rates and cover art that any author would be proud to see on their book jacket.
Alien Artifacts:
Life is out there. Alien civilizations have grown and died and been reborn again since the dawn of the universe. Some of those civilizations have left behind signs of their existence, hidden in the ruins on unexplored planets or floating in space in the form of ghost ships. In this anthology, 14 of today’s best short story writers will tackle what could happen if, in our exploration of space, we run across some of these ancient alien artifacts. Will they catapult humanity to new technological heights … or reveal our darkest secrets and destroy us?
Edited by Patricia Bray and Joshua Palmatier, this anthology is the one I’ve signed up for and will contain approximately 14 stories with an average length of 6000 words each. You’ll also be enjoying short stories by: Jacey Bedford, Walter H. Hunt, Gini Koch, Gail Z. Martin, Seanan McGuire, and Steve Miller & Sharon Lee.
Were-:
We’ve all read hundreds of stories about werewolves … but what about the less famous of the were-clans – the werelions, wereducks, and wereferns? These underrepresented families need to come out of the dark, full moon or not! From light and humorous to dark and serious, this anthology will explore other varieties of were-creatures and tell their stories. No werewolves allowed! This anthology will include short stories by: Phyllis Ames, Patricia Bray, David B. Coe, Faith Hunter, Gini Koch, Seanan McGuire, Danielle Ackley-McPhail, and Jean Marie Ward.
Cover Art:
The images that will be used to design the cover art are commissioned pieces called “Alien Artifacts” and “Were-” created by Justin Adams of Varia Studios. The concept cover art for “Alien Artifacts” has been completed and you can see it over on the Kickstarter page. That’s where you’ll find other scheduling details, and the full range of fun offers, special rewards, add-ons and stretch goals
It’s a measure of the enthusiasm readers already have for ZNB projects that this Kickstarter is already more than half funded within its first 24 hours. No, that doesn’t mean you can sit back and relax. Head on over to make sure you don’t miss out on the early backer incentives and to guarantee those stretch goals!
If you’re not yet familiar with ZNB’s collections, do check out Clockwork Universe: Steampunk vs Aliens and Temporally Out of Order. Before striking out independently, Joshua and Patricia also masterminded After Hours: Tales from the Ur-Bar and The Modern Fae’s Guide to Surviving Humanity, both of which are well worth reading.
A brief Aldabreshin Compass update
In among a great many other things on the To Do List at the moment, I’m writing up website pages on divination in the Aldabreshin Archipelago, to go live when we start publishing the series in an ebook edition.
I’m aiming to strike a balance between providing clear and comprehensive explanations and creating confusion through information overload.This is trickier than you might expect…
Other preparations are going well, notably the map and progress on the cover art. Keep an eye out for updates!