EU ROBS CONSUMERS BY ADDING VAT TAX TO INTERNET SALES
Starting July 1, 2003, the European Union will require non-E.U. firms selling digital products into the E.U. via the Internet to collect Value Added Tax (VAT) on behalf of E.U. member countries. The purpose of this legislation is to attack US internet companies and make them comply with the vast array of different tax schemes in Europe. Most likely, smaller US internet sites will ignore the regulations. Larger companies will probably be forced to charge European customers the very high VAT taxes.