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bigduckontax, Accountant
Category: Tax
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I'm looking to sell my intangible product (software

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I'm looking to sell my intangible product (software for making phone apps) ideally anywhere in the world. But I am starting to worry about the tax implications of selling in different country's .
So my question is if I sell my product via my website in other countries, would I be due tax only in the Uk where I live (I'm in Scotland) from these sales, or am I due tax in all the separate different countries where people have made a purchase from?
Hello, I am Keith, one of the experts on Just Answer, and pleased to be able to help you with your question. As you are resident in Scotland you pay UK tax, well Scottish as that power has now been devolved to Holyrood. However for 16/17 the rates are the same. You should register with HMRC for self employment. That Department will then arrange for you to be sent a self assessment tax return to be completed at the end of each tax year. On declaring your income HMRC will send you a statement of Income Tax and National Insurance due. As an EEA citizen you do have a personal allowance, currently 11K to offset any income tax due. No tax will be due to other states into which you sell. If your turnover exceeds 82K in any one year you will have to register for VAT and charge that tax [20%] on your sale invoices. Sales outside the EU will be zero rated ie you still invoice for VAT, but at a rate of 0%. I do hope that my reply has been of assistance.
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