After seeing the buyers response has made up my mind if this support is made mandatory.
The fact people actually think buying a theme for $43 – $48 include as much time as they need to make their theme perfect to them is a joke.
My hourly rate is more than $43 – $48 an hour, they think they can get a wordpress theme which we would normally charge $3000 – $10000 for plus as much of my time is wrong.
This is why it needs to be voluntary because too many people take the pee. Its not just related to Envato.
We all know the “I have no money but if you build me a website I will tell all my friends, family and work colleagues and you will get lots of business that way which will end up being more than just 1 website from me” trick a lot of people try just because they think we have no costs, we just type on a computer and click a few buttons and its done.
This is micro-stock and not full web design/development platforms.
I personally will not be forced to do any support, I will of course do it if it is not compulsory as then its my free will!
After the tax issue you guys are trying, and this support trick, I think you are trying too much and I will not do this and I have already started selling on other websites and will not upload another item until I know where you stand on the tax and support…
After speaking to a lot of other authors on here personally, I know I am not alone in this.
Simply put, to say that authors have been selling directly to buyers all along is deceptive and untrue. Such a claim is the most dangerous claim I have heard since joining Envato and it threatens this entire marketplace.
As noted by some already, the very role that Envato plays clearly indicates that they are in fact the seller:
If I am the direct seller, I need to collect HST from Canadian customers – IMMEDIATELY. I need to have access to all customer information. Regardless of what is being said, we neither have the tools or power to be that.
- Envato sets & controls the prices
- Envato sets & controls the terms
- Envato controls the flow of information
- Envato controls & stores customer information
- Envato issues the licenses
- Envato receives funds directly from buyers
- Envato provides receipts to buyers
- Envato pays authors
We have been to our tax office today regarding this issue, and having talked regarding the situation, and that we have no information regarding the buyers, 9/10 we do not even know the username let alone the full name, address, business name, that we do not get any payment at point of sale or can we set our own prices etc.
They have said that we are not the end seller here, and Envato are playing with fire. They advised me to screenshot and save all past invoices and anything that can help our case if audited.
Now this is coming from the tax office, not a solicitor.
Personally I am betting this is a sinking ship waiting to happen.
Just because they are in Australia does not mean they are allowed to withhold tax information from the authors.
Envato are in trouble here if this is how they say it has always been.
Even if they give us the personal information now, I would not accept it, because the cost and hassle to rectify the last 2-3 years will be alot.
This is out of order if you ask me
Ive had a very expensive quick talk with our solicitor and they have said that if this continues down the road Envato are going, then all EU authors have broken the law and have evaded tax owed to your governments.
If this is the case our solicitors have said we may have grounds for a legal suite if we push it, the only problem being we will need to do it in Australia which could be very expensive.
I dont think that you guys need to only speak to an accountant, you may also need legal advice on this as it is a legal issue also.
I dont know if this is like this within the US or within other EU countries but if UK businesses get audited and the business state one thing and the other business states another (We state commission and envato state Point of sale) then the Inland Revenue then issues a audit for the other company also to see if there is money laundering taking place.
Now as far as I have heard and I may be wrong but in extreme circumstances company A’s country can ask company B’s country to audit and send over their findings.
Again I have only heard and may be wrong regarding asking another company from another country to be audited but This is what I have heard from a number of normally reliable financial communities.
But surely Envato know the answer to this as surely they would not act before investigating.
Now if enough people are audited and found that the only discrepancy is coming from a company called Envato then our country will then ask for their financial information to make sure no international laundering is taking place.
I can’t for the life of me see our country accept their claims, our countries tax investigators do not let anything through the books let alone things that look different to what is said. Which would throw up flags on Envato.
If our country can’t ask for an audit of Envato, then we surely be classed as a red flag and dealt with a huge fine and a court appearance to explain tax evasion.
I’ve got another meeting with our account monday and I will be asking regarding this but until then I am just full of questions
Including the fact that if we are the seller and we pay no commission, why have we never been allowed any information regarding the buyers, Envato for so long have been hiding behind the privacy law.
Until recently we never even had a username when someone rated the item, let alone company name if applicable, full name, address, phone and email.
Everyone is saying this sounds like a company that is about to sell up, this sounds like a company who themselves have been audited and are now covering their tracks, as suddenly changing the how to earn page, the blog post and forum post plus lots more and making a point of it when they have never done this ever… Sounds a little suss.
I personally did not want to comment on this post because at first it did not directly involve anyone from the UK and being it is for a US 1099 tax form.
I have spoken to our accountant this morning, which they have replied saying that your version of how things are paid will not stand up to long term scrutiny for this fact.
Authors will be audited because the way this is done, which means that it comes within the high risk of money laundering caption and will rings alarm bells to Tax Departments, ours being the Inland Revenue.
After so many authors a year get audited and are found to be doing it legally but it does not comply with the way Envato are showing it.
Envato will then be reported for investigation. The reason for this is for tax evasion from yourselves.
Now lets not hide the fact, that this is what it is… Tax Evasion.
We all do it, but most of us do it the legal way and invest in our company, claim for depreciation or start a sister company etc etc, which I am sure Envato are trying to do.
You have seen a loophole which may seem to be legal but the way your structure is right now, it can’t be and hiding behind words like (Mis-use of wording) will not hold up in court.
Anyone with a clear head can see that the way you are presenting it, is in fact not the way it is in reality, plain and simple.
Granted you may want to do this now, if so you have to abide by international law and give us direct contact with buyers and also change the withdrawal process.
But stop treating everyone as stupid idiots and trying to persuade us that we have been doing this all along because our accountant has said that will not hold up, because to many places have been shown that we are commission based and also the way the pay structure is, and the way the buyer to author contact is.
We asked if we are commissioned based and our accountant asked us.
- Do we have details from the buyers who buy your items so you can invoice them?
- Do we receive the money straight away or have access to withdraw the funds straight away?
- Do we ever see the full amount before the charges are applied?
Now if all of them are a resounding no then I am afraid we are commision based and in fact Envato are the middle men and not the end user who is collecting commision from the buyer and authors.
If we are to stay here, we want to be able to withdraw our money at any time and also be able to have details of our buyers for tax purposes.
If this is not possible then we will be leaving, the time, money and energy of this will be the breaking point for us this time, we wanted to see how the compulsory support thing went but with this combined it just to much.
We have been slowly deleting our items and putting them on our private site since the mandatory support notice was given, this will be the last thing, we will take all our items off it this continues in the direction it is going…..
Guys all of you are not actually looking at this as a business decision from Envato.
Let me explain.
Envato are doing it this way so that they pay less tax and gain more money.
If they state that the buyer is in-fact paying us 80 and envato 20 this means that they can disregard 80% of income, if they do not do this, it means they have to pay tax on 100% of the money instead of just 20%.
So instead of there turnover being $25mil a year, it now comes down to just $7mil a year, which means they do not pay as much tax.
At least that is the logical way.
I do not really care how they balance their books, and do not really know why they have shown us this as it does not really affect us.
The only reason why I feel they have shown us is because they are taking the $2 away from us so they had to show an excuse.
I dont mind this at the end of the day, but it is just another thing they are taking away from Authors which is a little [language removed] if you ask me, it seems that authors really are getting a bad deal lately
Ok after 2 days of tinkering and searching on the internet I finally found a solution to this.
I am going to write it on here incase any author or basically anyone searching on google etc has the same issue they will be able to correct this.
Basically the issue is that within plesk 10+ it sets a chock on files above 15mb which basically means that even it you increase your file upload size etc etc within the php.ini it does not work.
Why they have done this I dont know, I am assuming its a security thing.
Anyway the work around is simple find the domainVirtualHost.php which is located within this root:
Copy the file and then create a new folder called custom within this root area:
Then within the custom folder create a new folder and call it domain so now your root access should look like this:
insert your copied file within there and then open it and change the FcgidMaxRequestLen digits to a more suitable number.
Then you will need to reconfigure your domain using the following code within ssh:
Then restart the psa and the apache.
Hope this will help people in the future
Im using Apache, Ive already tried that.
Ive just been told to look at:
My plesk recently update and what ive read on the internet the latest plesk sets a limit on these values which in most cases throttles large file uploads.
Ive never worked with these so now I need to search for where they sit on the server
Anyone can point me in the right direction?
Hi guys, most likely wont get a response on here but I have hit a snag on a development I am doing for my personal site.
I developed an uploading script to upload files which I have done a million times.
Everything works 100% apart from when I upload files above 20mb.
I know most will be thinking simply change the upload_max_filesize or post_max_size but this does not do it as this was the first thing I changed.
For instance I start uploading and it gets to about 50% and then it goes to a blank page which says Error code: ERR_CONNECTION_ABORTED.
I then changed the max_execution_time to 259200 so that it should never time out.
I even upped the memory limit to 500mb just incase and still I get this.
This works with files of around 16mb but as soon as I hit more it does as stated above.
Any idea what the issue could be?