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UK residents hosting in the US?

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TRR84



Joined:
22 Nov 2005

Posts:
33


Post Posted: Mon Mar 27, 2006 5:35 pm
      Post subject: UK residents hosting in the US?

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Hi all,

I'm still trying to decide on a host. Well, no actually I think I've finally decided on Site5 unless...

...Can anyone based in the UK using a US host tell me if there are any hidden charges incurred?
Site5's $7/mo package is it as good a deal as it looks, or are there taxes to consider?

Many thanks,
-Mark
(I swear I'll have launched this time next month!)
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Charlie



Joined:
22 Aug 2003

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Location:
UK

Post Posted: Tue Mar 28, 2006 11:11 am
      Post subject: Re: UK residents hosting in the US?

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TRR84 wrote:
Can anyone based in the UK using a US host tell me if there are any hidden charges incurred?
Site5's $7/mo package is it as good a deal as it looks, or are there taxes to consider?

I'm based in the UK and have only ever used US hosting. (Originally, the choice was much better and I was led to believe that as most of my traffic came from the US, there were advantages. I think this is much less of an issue now, if it was ever im portant.)

I have never encountered taxes or extra charges when buying from the US, except on two occasions...

The first was import duty on a hard goods package sent through the post. This was expensive and an unpleasant surprise.

The second, is good old ClickBank, where EU residents are charged VAT in addition to the price quoted by the merchant. This is the interesting one, since the EU claims that all companies WORLDWIDE (subject to turnover) must charge VAT on sales to EU residents even if the transaction occurs outside the EU.

This is why ClickBank do it, but the whole issue is *****, and the vast majority of American companies just do not bother.

Actually, quite a number of high profile UK entrepreneurs who run their operations through US hosts also conveniently ignore VAT with their EU customers, though this is decidedly more risky, in my view: digital goods are not exempt.

That said, as a consumer, I don't think you face much risk if any. It's the merchants that the EU will go for, if they choose to try and run a test case.

Hope this helps,
Charlie.
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TRR84



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Post Posted: Tue Mar 28, 2006 11:15 am
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Cheers, very hepful Smile
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