171–180 of 235 posts
Just a quick reminder, if everyone here donates just 3-5$, the expenses will be paid in no time :) Krita is a great software, and even though I'm not an artist it's worth supporting.
You're right. Although i don't use it, i just spent a few euros :)
I would like to leanr from the article, but it is low on facts (I may have overlooked them while reading). What is the relationship between Krita Foundation (Krita) and Dmitry? Is Dmitry an employee to Krita living in Russia? How can there be any VAT involved? Is Dmitry a freelancer who sends invoices to Krita? Do those invoices include VAT? If they do, why does Krita need to pay VAT to Dutch authorities? Does he hav…
If you do not have other VAT from sales, you will get the money back, which essentially means you do not have to pay that VAT - "would not have to pay VAT" from the article (but declare it).
If you have VAT from buying and selling items, the VAT you've paid for services is deducted from the difference of selling and buying.
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Say what you will but this is simply fraud. If they were selling stuff, they should've collected and paid the VAT for Dmitry. You are NOT a non-profit if you sell stuff. There is absolutely no complexity about this. Didn't they see anything wrong with selling stuff without collecting the VAT from every transaction? And the best part: they are now separating the sales from the foundation so they can avoid paying taxes…
This is the kind of stuff HN abhors... ooops it's not Amazon, it's Krita! Amazon want to skip taxes with the intent of making more money for themselves. Krita want to skip taxes with the intent of making free software for strangers. Seems like there's a moral difference there (as well as, of course, the actual legal difference).
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So it doesn't work like this? A: Hey B, how do we have to set up our company/foundation so this doesn't blog up and we have to pay non-sensical taxes only because of the way we are set up? B: Do it this way: ... (later) Z: A, you have to pay taxes because your setup is strange and makes no sense to our rules. B: Damn, we're liable for the bad advice we gave... (honest question)
No. Legally, the hired professional is an advisor. The board/management are collectively responsible for picking a good advisor and double-checking his/her recommendations. Bottom line: no one takes responsibility for anything (unless they're on the board) and you are on the hook for everything. This also applies to lawyers, property professionals, medical professionals, engineers, architects, and so on. Of course th…
Point is, I'd want to pay money to remove my liability, not just reduce its likelihood.
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It's so easy for organisations like Octave to sell stuff to companies that it blows my mind why you don't. Octave Pro would simply be a support license to email you 10 times a year. Or the right to create 10 bugs per year on a bug tracker. So easy to get past accounting. A plushie would be hard.
It's not easy. Or if it is, would you do it for us? There's really no "us", it's just a bunch of people together on the internet. Except for write access to our website, you're as qualified and authorised to do the legwork as I am. Even receiving donations is complicated, which is why we're grateful that the FSF does it for us. I've also heard mixed reports about whether this would help with a revenue stream or not.…
We all want you to succeed. Trust me - it may feel we are condescending, but it comes from a desperation to not see great open source software die. So please excuse my language if it offended you.
Just a quick reminder, if everyone here donates just 3-5$, the expenses will be paid in no time :) Krita is a great software, and even though I'm not an artist it's worth supporting.
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Yes. This is what people don't understand. I call it "gratitude-ware". You give me an invoice, and I will pay you 500$ for a pixel on a page.
That's all you need? An invoice? I don't need to form a company or send you tax forms? I can make an invoice rather easily in LaTeX. So, can I do that? Add a note under the donation page that says, "if you need an invoice for your donation, email us here"?
It's actually the jist of this blog post. They thought they were square, but tax authorities don't understand how open source non profits work, and they made mistake in the structure. So depending on where you are you have to make sure you stay within the law.
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That's all you need? An invoice? I don't need to form a company or send you tax forms? I can make an invoice rather easily in LaTeX. So, can I do that? Add a note under the donation page that says, "if you need an invoice for your donation, email us here"?
I am not an accountant. This is not tax advice. However, I do international consulting and have to deal with this kind of stuff all the time. Basically, for him , he needs an invoice. It should describe what he's getting and how much it costs. Then it's up to him to convince his company to pay the invoice. Whether or not they can claim it is an expense is probably important to the company, so something like a support…
+100 - absolutely bang on target.
> TL;DR: giving him an invoice (especially for a service) will make it easy for him to pay you, but will make things complicated for your taxes. It only makes sense if you think you will make a lot of money.
Question - is it easier to take and account for donations ? that's what I dont understand. In India, donations are taxable as income - in fact they are a bigger pain to account for (gift tax) than normal business income. So the question is not "nothing vs invoice" - it is "donation vs invoice"
The whole point of this thread from Krita was that they thought they were exempt ...but got screwed badly because they ran afoul of tax laws. Is this not a case of better safe than sorry : Dont take any money ... or do it the right way ?
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If they were within the EU they would be. But because Dimitry is outside the EU, whoever's importing their work from outside the EU is responsible. (This prevents avoiding VAT by having your work done outside the EU). The EU has no way to go after an outside entity, so that's how it has to be.
Maybe I'm not quite intelligent but doesn't the VAT only work in the same jurisdiction? I mean, if we are on different tax jurisdictions then VAT should not be applicable. That's, at least, how it works in my country.
A simplified explication is Krita's situation is so complex nobody in the world can figure out how to get the paperwork correct, but they are not in trouble because they didn't. Tax law doesn't care if you can figure it out how to do it right, just that you do it right.