I just made a £50 (British Pound) deposit with Adsense. And was astounded when the took off £5 for the activation and £8.68 in VAT!!!! I now only have £36.32 in my account. And this is before a single ad has been displayed! Is there any way I can reduce this tax liability? Regards, fcmisc.
Well we pay VAT here. But I don't see how Adwords should be covered by VAT. Surely it's a business expense?
As explained when you signed up for your adwords account, if you are in the EU but outside of Ireland you can input your VAT registration number and you will not be charged for VAT by Google.