Posts by DanyDuchaine

205 posts
  • Located in Canada
  • Elite Author: Sold more than $75,000 on Envato Market
  • Has sold $500,000+ on Envato Market
  • Made it to the Authors' Hall of Fame
+5 more
DanyDuchaine says

Same here, no VAT needed on all the accounting. Just taxes being paid for the monthly (quarterly in my case) income. Trying to organise the whole thing here was a mess for me, as Spanish financial law doesn’t consider these kind of commercial movements.

Yeah well I think it’s a mess everywhere, it took 4 different people when I called my government to finally being told that they will make some research and call me later today.

205 posts
  • Located in Canada
  • Elite Author: Sold more than $75,000 on Envato Market
  • Has sold $500,000+ on Envato Market
  • Made it to the Authors' Hall of Fame
+5 more
DanyDuchaine says

I think you’re being a little too honest ;) all the Canadian government is going to see is some dollars coming in from overseas from one company so will look like a monthly comission payment… if it was multiple companies, or customers then they might look into whether you’re paying VAT for selling goods online.

In this world nothing can be said to be certain, except death and taxes. - Benjamin Franklin

:)

205 posts
  • Located in Canada
  • Elite Author: Sold more than $75,000 on Envato Market
  • Has sold $500,000+ on Envato Market
  • Made it to the Authors' Hall of Fame
+5 more
DanyDuchaine says

I have a business registered in the Netherlands and since Envato is located in Australia ( out of EU ) and Envato sells the themes to the buyers you don’t have to pay any VAT taxes

You do however have to collect your monthly statements and pay your income taxes on the income received from Envato as any business should.

My accountant verified this, but of course Canadian TAX laws could be different.

Yup exactly, that make sense.

Of course I am paying taxes on income but like you said since Envato isn’t based in our country, we probably don’t have to pay VAT.

205 posts
  • Located in Canada
  • Elite Author: Sold more than $75,000 on Envato Market
  • Has sold $500,000+ on Envato Market
  • Made it to the Authors' Hall of Fame
+5 more
DanyDuchaine says

Well Envato is in Australia… they sell your product to a customer and take a share, and then Envato pays Australian government tax on that income… then Envato pays you your commission which is INCOME for you and has nothing to do with VAT…. the customer pays VAT to Envato.. and you are in Canada, therefore you are receiving income which is taxable. If you are unsure about how much tax you should be paying, then ask an accountant… but there are various things you can do to bring down your tax if you declare all your business expenses properly.

Taxes on income isn’t a problem, in Canada it’s 20% for business (after expenses) .. so suppose I make 200K this year, and I pay 30K in expenses + 50K for my salary, I will pay taxes on 50K as an employee and my company will pay 20% on 120K ..

But it make sense that Envato charge taxes on the products and give it to Australia, that’s what I want to be sure of.

The thing is, I want to be sure my government won’t come see me in 10 years and tell me : you sold some products, you should have send us taxes on these products (which is different than taxes on the income) ..

205 posts
  • Located in Canada
  • Elite Author: Sold more than $75,000 on Envato Market
  • Has sold $500,000+ on Envato Market
  • Made it to the Authors' Hall of Fame
+5 more
DanyDuchaine says

Your badge shows that you have sold between 100,000 – 250, 000, you never have paid any tax before?

As a Freelancer, I was paying taxes on my incomes, not product. Now that I have a company, it’s different.

205 posts
  • Located in Canada
  • Elite Author: Sold more than $75,000 on Envato Market
  • Has sold $500,000+ on Envato Market
  • Made it to the Authors' Hall of Fame
+5 more
DanyDuchaine says

Hi guys,

These days I am in the process of opening the business bank account for my new company and while I am doing this, my government have a hard time figuring our if my products are “taxable” and if they are, if Envato took a tax from the user who bought my themes, and if they did, if they send it to my government on my behalf, phew.

It’s really confusing and I wanted to know if anyone here have their own company and if they send taxes.

I want to be clear, my company have to pay taxes on all of the incomes every year. Just not sure about the 5-9% taken on the products.

Thanks!

205 posts
  • Located in Canada
  • Elite Author: Sold more than $75,000 on Envato Market
  • Has sold $500,000+ on Envato Market
  • Made it to the Authors' Hall of Fame
+5 more
DanyDuchaine says


Hey, thanks. That’s what I tought, they let the user handle the font license and stuff, I don’t like doing that at all ..

No problems, I am in a similar situation myself. I agree, its pretty much a dead end, which is a shame.

It maybe worth contacting the font foundry / author to discuss though, as they could make an exception? You don’t ask, you don’t get?

Yes I did but no answer.

205 posts
  • Located in Canada
  • Elite Author: Sold more than $75,000 on Envato Market
  • Has sold $500,000+ on Envato Market
  • Made it to the Authors' Hall of Fame
+5 more
DanyDuchaine says

Hey, thanks. That’s what I tought, they let the user handle the font license and stuff, I don’t like doing that at all ..

205 posts
  • Located in Canada
  • Elite Author: Sold more than $75,000 on Envato Market
  • Has sold $500,000+ on Envato Market
  • Made it to the Authors' Hall of Fame
+5 more
DanyDuchaine says

Ah, yeah I saw that too ;) It’s a nice font though.

205 posts
  • Located in Canada
  • Elite Author: Sold more than $75,000 on Envato Market
  • Has sold $500,000+ on Envato Market
  • Made it to the Authors' Hall of Fame
+5 more
DanyDuchaine says

Hey, thanks Doru, just contacted them.

@FinalDestiny Yeah maybe it’s used in demo and then in the documentation there is explanation on how to get these fonts if they are for personal use or anything .. would be a way to do it I guess.

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