reddvinylene — 2011-03-09T16:57:22-05:00 — #1
I'm really new to this, so please bear with me. I want to set up an online retailer. My company is registered in Sweden. Half of my products are made in the U.S. and the other half is made in China. My warehouse is in the U.S. (www.efulfillmentservice.com).
Who do I have to pay tax to and who do my customers have to pay tax to? And, are the taxes I have to pay vs. the ones my customers have to pay the same kind of taxes?
Is the taxation gonna be different with the products made in the U.S. from the ones made in China?
Why do some say I can only reclaim VAT via certain shipping companies like DHL or FedEx?
If my warehouse were to be in a free trade zone, would that affect any of the above?
Thanks a lot guys!
system — 2011-03-09T17:40:09-05:00 — #2
You'll have to pay taxes in the country your company is registered in. Where you decide to incorporate should be dependent upon where you expect the majority of your customers to be.
cr3ativ3 — 2011-03-10T18:18:25-05:00 — #3
You have pay taxes in both where you live and where your company is located or operates, further if you transfer the income your company generated into another country, you may also be subject to more taxation. Hope that helps[URL="http://www.krsaccounting.com/"]
u4t2t — 2011-03-20T01:54:59-04:00 — #4
company will have to pay taxes in country where you are incorporated if you are tax resident there, you might also be required to pay taxes in country where you do business. it is no simple answer.