Trading Digitized Products (united Kingdom)Trading digitized products over the Internet holds tax considerations and other considerations that must be evaluated. There are certain considerations that UK small and medium size enterprises (SMEs) trading or intending to trade on the Internet to consider. However, special treatment for VAT purposes is required for those supplies that are considered unique to the Internet. Digitized products exist largely as a result of the Internet and rely upon it to achieve a high degree of versatility for the product itself.
The following questions have been addressed in this article:What types of digitized products are covered under the VAT?
What about software that is sold off the shelf?
Do these provisions apply to consultancy services and provisions of information?
Do these provisions relate to land or property?
What types of digitized products do not fall under these rules?