VAT exempt company being made to pay VAT. Anyone have any advice how to get around this?

Question

Hello all,
I am sure I acan't be the first to have hit his barrier but when enrolling as a developer and going through to the checkout there is a mandatory charge of VAT on the subscription. All very well if I am a UK business but in this case I am working with a company that falls outside the EU and tax regulations (Alderney, Channel Islands) and all research tells me that I should NOT be paying tax at source. See fist paragraph: http://www.hmrc.gov.uk/vat/managing/international/esl/country-codes.htm
Furthermore, when calling Apple support I was given conlicting information with the worst saying 'just pay it now and claim back later'/ No Problem with that apart form Apple making it clea ron the webste that they won't do such a thing. http://store.apple.com/uk/help/payments
Has anyone had simlar experiences and have any pointers as to how to overcome this?
Thanks

Answer 1

I think you will find  - if your Apple account and bank/CC  details are considered to be registered in the UK -  the all online money shifting to and from the UK are subject to VAT @ 20%.
I think this  started with eBay and became applicable to all online "commercial" transactions.
IF your account is UK based, you will have  needed an iBAN number from your  bank... this is for APPLE who will send any earning you have from your products - to be transferred to your  bank. Its an anti money laundering thing!
Keith is correct, Apple dont care about your none USA tax situation, if  money was deducted from your earnings from Apple, then you  need to contact your  tax &  vat  office for advice.
VAT tends to be redunded after a claim form is submitted, if you are not registered... BUT you will need to include your Apple earnings into your tax return.
There have been some changes  and its 5 tears since I quit the gloomy UK for  the Aussie sun!  But all the banking stuff above is what I have encountered  cos my Apple IDs and bank are in UK.