In seeking to comply with tax laws for your e-business, you may find yourself falling down the rabbit-hole, studying the looking glass, and attending a Mad Tea-Party.
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The rationale behind this follows: Since countries can’t collect sales tax on Internet transactions at their borders, the only technique they can collect it (other rather than a self-assessment system) is the online sales tax. Further, it is claimed that businesses in the european countries suffer an essential competitive disadvantage because you have to collect Value added tax (VAT) but others you should not.