Most of the developed countries in the world have consumption taxes, but they are structured a bit differently than the U.S. sales tax system. To the end-consumer of the products or services consumed, the difference in the systems is not that obvious; items are purchased and a tax is added to the sales price and the total is collected from the customer. Beyond that similarity, there is not a lot in common between the U.S. sales tax system and the value added tax (VAT) system used by most European countries. This post will give you an overview of what you need to know about European VAT.
Source: taxjar.com
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