OnlyFans has to pay tax on all money not just 20% off their portion

[webcamhostess]

I just saw this one and it sounds rough for OF

https://www.reuters.com/world/europe/on ... 023-02-28/

This is going to get expensive for OnlyFans



"BRUSSELS, Feb 28 (Reuters) - OnlyFans, an online platform known for adult content, should pay UK value added tax (VAT) on the full amount paid by subscribers to content creators, not only its 20% cut of the fees, Europe's top court said on Tuesday, siding with Britain's tax authority."

[TheButcher]

That is some serious tax bill if it fails an appeal

[bestfreeporn]

Let’s hope they have a lot of cash in the bank going back to 2017 is no pocket change

[tacnet]

Its about damned time !!

We had this argument with the tax (VAT) office over a decade ago where we argued that we were just like ebay, who only pay tax on their portion of the sale

They went away to consider our argument for 15 months and then finally came back and said NO, we were liable for VAT on the whole sale......... and then promptly hit us with a £2k fine because we were 15 months late in paying our VAT bil !!!!!

[jag]

Its about damned time !!

We had this argument with the tax (VAT) office over a decade ago where we argued that we were just like ebay, who only pay tax on their portion of the sale

They went away to consider our argument for 15 months and then finally came back and said NO, we were liable for VAT on the whole sale......... and then promptly hit us with a £2k fine because we were 15 months late in paying our VAT bil !!!!!

Hon read the story again, OF has to pay VAT on their total sales not just their portion.

[tacnet]

Its about damned time !!

We had this argument with the tax (VAT) office over a decade ago where we argued that we were just like ebay, who only pay tax on their portion of the sale

They went away to consider our argument for 15 months and then finally came back and said NO, we were liable for VAT on the whole sale......... and then promptly hit us with a £2k fine because we were 15 months late in paying our VAT bil !!!!!

Hon read the story again, OF has to pay VAT on their total sales not just their portion.

Exactly. They do NOW but Im surprised they haven't been doing this since day one like we've had to

It does beg the question though, if I sell something on ebay then ebay are NOT liable for the VAT (I am). But if I sell access to my content on OF (or TACAmateurs) then they ARE liable for the VAT.

To me that's double standards but when we challenged it all those years ago we lost.

[Hosting Fred]

VAT is the same as our sales tax?

[tacnet]

VAT is the same as our sales tax?

Yeah although its pretty complicated here in Europe

Each country has its own VAT rate (varies between around 17% - 27%) and its based on where the end user is located. So for UK sales its 20%, Germany is 19%, Hungary is 27% etc etc

[Hosting Fred]

VAT is the same as our sales tax?

Yeah although its pretty complicated here in Europe

Each country has its own VAT rate (varies between around 17% - 27%) and its based on where the end user is located. So for UK sales its 20%, Germany is 19%, Hungary is 27% etc etc

You shitting me 20% we pay 9.5% in Los Angeles and that is too much.

[tacnet]

VAT is the same as our sales tax?

Yeah although its pretty complicated here in Europe

Each country has its own VAT rate (varies between around 17% - 27%) and its based on where the end user is located. So for UK sales its 20%, Germany is 19%, Hungary is 27% etc etc

You shitting me 20% we pay 9.5% in Los Angeles and that is too much.

Wow didn't realise there was that much difference

Is that 9.5% on ALL sales though ? So here in the UK, VAT only kicks in if your turnover is above around £75k per annum (around US $90k per annum)

[alsporn]

Does OnlyFans get any credit for the part they sold but did not keep?

[shoopa]

Does OnlyFans get any credit for the part they sold but did not keep?

Probably not why they are being asked to pay the sales tax (vat) on the gross sales.

[tacnet]

Does OnlyFans get any credit for the part they sold but did not keep?

No that's not how it works. As shoopa said, they have to pay VAT on gross sales and the bit that they pay the girls is just seen as their running costs

They are lucky in some ways. They only have to pay VAT (sales tax) on sales made within the UK as they are based in London. If we had still been part of Europe then they would have had to pay VAT and ALL European sales !

However, the VAT office in the UK has got more powers than the police. They can come and take your house, your car or anything they want if they figure you owe them money

[Webby]

Does OnlyFans get any credit for the part they sold but did not keep?

No that's not how it works. As shoopa said, they have to pay VAT on gross sales and the bit that they pay the girls is just seen as their running costs

They are lucky in some ways. They only have to pay VAT (sales tax) on sales made within the UK as they are based in London. If we had still been part of Europe then they would have had to pay VAT and ALL European sales !

However, the VAT office in the UK has got more powers than the police. They can come and take your house, your car or anything they want if they figure you owe them money

"they have to pay VAT on gross sales and the bit that they pay the girls is just seen as their running costs"



The tax man is smiling to the bank