United States Persons: Generally, "United States persons" include citizens or residents of the U.S. (including green card holders or U.S. resident aliens that satisfy the 183 day "substantial presence test"), and partnerships or corporations who file taxes in the U.S. 

Non-United States Persons: You are a "Non-United States Person" if you file your taxes outside of the United States exclusively. 

General questions

Q. I'm not a US citizen or resident, do I still have to do this?

A. Yes, we're required to collect accurate tax information for all stores on Cubebrush.

Q. Are you asking for this tax information so that you can report it to the US or my country in order that they can tax me?

A. The information being collected is for US income tax reporting purposes only.

Q. What happens if I don't provide my tax information?

A. The information is required for us to send you payouts. Payouts will be disabled until you complete all necessary fields. Please note this will not impact how your store operates and you may still continue selling.

Q. How do I declare my earnings from my Cubebrush store?

A. We cannot provide any specific documentation for earnings or tax advice to Sellers on Cubebrush. This is due to the fact that we do not know your specific operating models and we could be held liable on any general advice or documentation given.

To prove Cubebrush earnings, you can export a CSV document from your Customers page.

Q. Do I report my total amount of sales for my taxes or the revenues I get after Cubebrush takes their percentage?

A. Currently, PayPal will be issuing 1099-K forms to store owners who meet a certain revenue threshold defined by the IRS. This is the only official document you should receive concerning income generated via Cubebrush.

To accurately report that income, we recommend you add up all Cubebrush-issued payouts received though wire transfer or PayPal for a given tax year. This should accurately represent income you generated via Cubebrush.

VAT

Q. For VAT purposes is the store owner or Cubebrush the seller of my content?

A. For VAT, and the recent enactment of the mini one stop shop rules, Cubebrush will be treated by the EU as the reseller of your content.

Q. How does Cubebrush collect VAT when I sell a product?

A. Cubebrush automatically adds the corresponding VAT to orders from EU residents; as a seller you will not notice any changes on your end.

Q. What are the mini one stop shop rules?

A. This is the name of the new VAT rules for electronic downloads/services.

Q. Will Cubebrush provide information collected on all VAT charged to people who buy my products so that I can file my taxes?

A. VAT, just like regular sales tax, will all be documented on your "Customers" page so that you can fill-in your taxes properly.

Q. Can we choose to block sales in our stores to buyers in specific countries so we can avoid having to charge VAT?

A. No

Q. Do store owners in the US have to comply with the changes to VAT laws or just citizens of an EU member state?

A. The changes to the VAT laws impact all persons that sell a product to a resident in an EU member state. It's a messy law, but thankfully we handle it all for you.

Q. If a buyer makes a purchase using a credit card that is registered to a tax-exempt organization how does that affect what VAT must be charged and how does it affect the amount (if any) of a store owner's earnings that are withheld?

A. VAT is charged in addition to the purchase price and should not affect the remittance to a store owner.

Q. May I opt to charge buyers directly for any taxes my state or country requires?

A. No in the context of VAT. Cubebrush is required to collect and remit VAT for all sales to EU customers. 

If your country or state requires you collect sales tax on digital goods, you may enable the appropriate sales tax from your store settings. When applicable, the sales tax will be automatically added at checkout for your customers and you will be responsible to collect and remit that portion of your income to your local authorities as needed. This will not affect or override how VAT is collected, as indicated above.