EU tax change is about to hammer small digital service providers

[Commentary] Starting in January 2015, new European Union tax rules will force many businesses offering online services across the EU to take on a load of new administrative responsibilities. The changes have caused particular consternation among micro-businesses providing such services and the outrage seems especially virulent in the UK. The EU Value-Added Tax Action group began a Twitterstorm using the #EUVAT hashtag, calling on the European Commission to suspend the introduction of the new rules for micro-businesses and sole traders. Given the fact that the rules could kill off swathes of the small entrepreneurial digital sector -- which the Commission is supposedly trying to stimulate -- that may be a good idea.