EU-Reduction of VAT rates for e-publications
Following years of discussion and campaigning, the EU have now formally adopted a directive which will allow member states to apply reduced or zero rates to the sale of e-publications. Historically such publications have been subject to the standard rate, despite hard copies of the same publications being reduced or zero rate, but the new directive will allow member states to choose which VAT rate is applied, and many are expected to bring this in line with hard copies.
This change will cover:
“the supply, including on loan by libraries, of books, newspapers and periodicals either on physical means of support or supplied electronically or both (including brochures, leaflets and similar printed matter, children’s picture, drawing or colouring books, music printed or in manuscript form, maps and hydrographic or similar charts), other than publications wholly or predominantly devoted to advertising and other than publications wholly or predominantly consisting of video content or audible music”