Scapestrato
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Hey folks,
anybody has experience about this? From next month I'm starting receiving payments from Fullscreen to my company based in Bulgaria (so VAT subject territory), and at the moment I'm not sure if this kind of payment is VAT exempt or not.
If it's the second case, it means there's a 20% tax on the amount received to be paid to the government, and if Fullscreen doesn't cover that, it means I should pay for that, which means I would lose an additional 20% on my income on top of the 5% Fullscreen already takes and, of course, the Bulgarian company taxation (which thank God is among the lowest in entire Europe).
In Fullscreen contract it says ""If you reside in a territory where VAT applies, our payment to you may include VAT if appropriate and/or your payment may be subject to a VAT invoice", which I don't understand if it means that they will cover the VAT payment if you send them an invoice or if that simply means that VAT is already included in the payment they send out and they are not going to add a nickel to that.
When I asked my FS manager about this, she replied she asked the accounting team and the reply was "Whatever is taken from your earnings regarding fees and bank taxes won't be under our control". Which makes me think they didn't even understand the question as VAT has nothing to do with fees and bank taxes. Nevertheless, the feeling I got from this generic and evasive answer is that they won't pay for VAT (which would be another reason to leave them when my contract runs out).
On Monday I will be speaking to my accountant about this, in the meantime would be great to know if anybody has experience with this issue as to understand what the general consensus is.
Thanks in advance!
anybody has experience about this? From next month I'm starting receiving payments from Fullscreen to my company based in Bulgaria (so VAT subject territory), and at the moment I'm not sure if this kind of payment is VAT exempt or not.
If it's the second case, it means there's a 20% tax on the amount received to be paid to the government, and if Fullscreen doesn't cover that, it means I should pay for that, which means I would lose an additional 20% on my income on top of the 5% Fullscreen already takes and, of course, the Bulgarian company taxation (which thank God is among the lowest in entire Europe).
In Fullscreen contract it says ""If you reside in a territory where VAT applies, our payment to you may include VAT if appropriate and/or your payment may be subject to a VAT invoice", which I don't understand if it means that they will cover the VAT payment if you send them an invoice or if that simply means that VAT is already included in the payment they send out and they are not going to add a nickel to that.
When I asked my FS manager about this, she replied she asked the accounting team and the reply was "Whatever is taken from your earnings regarding fees and bank taxes won't be under our control". Which makes me think they didn't even understand the question as VAT has nothing to do with fees and bank taxes. Nevertheless, the feeling I got from this generic and evasive answer is that they won't pay for VAT (which would be another reason to leave them when my contract runs out).
On Monday I will be speaking to my accountant about this, in the meantime would be great to know if anybody has experience with this issue as to understand what the general consensus is.
Thanks in advance!