Question about VAT

Discussion started by tdubic

I finally sold something on CG trader. Now I have to pay $ 5 to CG trader. I'm a little unclear what this means, Price excl. VAT (21%). Do I have to pay tax on something I bought. And where I can pay the VAT tax?

Answers

Posted about 7 years ago
1

I'd like to know that too, it would be nice if someone knows the answer.

Posted about 7 years ago
0

I agree with you, because some time go we only have to pay 5$ without that 21%.

Posted about 7 years ago
0

How many passed time before the first sale?

Posted about 7 years ago
1

You are right, the vat are since a shot time. By older sales you must only buy the 5 or 10$. You pay the tax when you buy the credits, it commes on top.

Posted about 7 years ago
1

yeah....i got my first sale too for my $15 model couple of days ago. I received the $15 dolar in my paypal account minus $0.89 fee (paypal fee maybe ? ) and activation fee for cgtrader is $5.00 but i have to pay $6.05. So for a $15.00 modal my net income is $8.06 (53%) . I have no problem with that, but sure wish CGtrader would explain all the fees involved .. :)

Posted about 7 years ago
0

Hi everyone! For every payment we receive we have to pay VAT if a payer is not a company and lives in EU. There is a bit of a hassle with Lithuania laws, which obliges us to prove that payers who make payments without VAT lives outside EU or operate as a company in EU. So in essence we can exempt certain users from VAT, but then we need to have clear evidence about their residence outside of EU or incorporation. At the moment we are consulting our lawyers to know what documents would be enough to go without VAT. Write to our support and we will try to help you on this issue.

Posted about 7 years ago
4

It is not problem to pay tax when you earn money but when you buy something tax must be included in price and seller should pay tax.
Google ad words made same thing, and i don`t use their service anymore, because if i pay for something 10 $ and i need pay tax on that, this will cost me 10 + 2,1 (tax) + 10 (transport) + my time.
I don`t even now where I can pay that VAT tax in my country.
I am from EU :-(

Also lets take another example:

I sell model for 15$ on pay pal i get around 14$ on that 14$ i need pay tax in my country 25% i get 10.5$ to CG trader I need to pay 6.05

I get $4.45
Someone who actuality do the job get less then 30%

Posted about 7 years ago
0

I agree with tdubic.

Posted about 7 years ago
0

tdubic, would you prefer that the commission is taken directly? Also, are you sure you need to pay income tax on the 14$, not on the 14$-6.05$? It seems that would be logical to pay the income tax only on the net income, not on gross?

Regarding the VAT, there are different conventions - in Europe it is typically written with the VAT amount included in the bill (so 6.05$), while in the US the VAT tax is often written separately. However, you do not need to pay it to your tax authorities separately as far as I know, we pay the VAT tax to our authorities, but for you it is just a single payment when you buy credits. Or did you have another case in mind with the Google Ads example? Please let me know, we want to help you guys earn more from the sales on CGTrader :)

Posted about 7 years ago
3

Hey everyone, the commissions over on this site are a god send, I come from turbosquid where they would take anywhere from 40% to 60% of your sale depending on what level you are. In reality any extra fee allocated extra for tax is nothing compared to the money you save and get for each sale.

Ive seen other sites that claim high royalties, but this site seems to be the first one Ive come across outside of turbosquid that actually makes you money.

The VAT tax is really not a big deal in the larger scheme of things.

Posted about 7 years ago
0

I had always thought that digital goods don't have to pay that taxes as a real one but probably I'm wrong because I don't know too much about this. However, I have to admit that this site has good rate of income. :D Please, don't change that in the future.

Posted about 7 years ago
0

I need prof that this 6$ are actually connected to this transaction. But this is not important, this VAT is going on my nerve.
It will be great if you include VAT in price, or put notice that VAT will be included in transaction and how much will this be. Notice: VAT is not included

MichaelTylor3D I agree with you still here you get 60% on turbosquid 40% and on 3D Ocean 33%(has a to low prices but its sale a lot models). This is for non exclusive accounts.

I just pay this 5 credits + vat tax is added automatically in transaction, but it will be great if you put some different notice about this. Price excl. VAT (21%) just just scares me.

Also it will be great if you mention VAT tax on this page

https://www.cgtrader.com/sell-3d-models

I'm sorry I made such a fuss about it.

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