New, 2015, EU VAT rules require sellers to pay VAT according to location of their customers. Which is a huge, no, HUGE(!) pain for small businesses who sell digital goods.
I use both Gumroad and FetcApp on my website.
Gumroad has recently announced they will handle VAT for me (here is their original blogpost: http://blog.gumroad.com/post/110080508463/vat) – and it is jus awesome. This makes me love Gumroad.
I very much wish FetchApp would start doing the same as soon as possible. Or I am considering closing my FetchApp account and go for Gumroad only.
By the way, my FetchApp only turnover last month is around $11k and about $18k month earlier (you can check that easily). So I hope to be heard.
Thanks for this. We did a full write-up on this topic explaining where we fit in as your digital delivery fulfiller:
FetchApp works a bit differently than Gumroad in that we integrate with other ecommerce systems like Shopify, Bigcommerce, or PayPal (among others). Gumroad, on the other hand, accepts payments internally, thus they capture a lot more of the relevant information than we do. We don't handle any checkout information for security purposes, so we just receive the order information and send the delivery out, any tax or payment information is captured prior to us sending the order. The relevant customer information is captured during checkout with any of the systems we integrate with, and can be used as documentation to be furnished if needed.
We'd be happy to help you formulate a plan to capture and organize this information if needed, but as of now, we'll continue to rely on our integrations to handle this.
Well, it answers my question (formally) and explains the thing.
But doesn't help much.