There’s a growing movement in the UK House of Parliment to lower the tax on ebooks since VAT (Value Added Tax) was raised last month (from 17.5% to 20%). So far 42 MPs have signed on with Glasgow Labour MP Tom Harris to reduce the VAT on ebooks to that of paper books.
The UK are one of a number of countries in the EU to classify ebooks as software and not books. I checked, adn there are actually only a few that give ebooks the same lower VAT as paper books. In Spain, for example, ebooks are taxed at the same rate as paper books, which means they inherently cost less than the same ebook would in the UK. This give Spain a competitve advantage.
image via Destinys Agent