The effect of a no-deal Brexit

A short question most likely with a very long and contentious answer, but does anybody have an idea of what effect a no-deal Brexit will have on Audiojungle authors? How do things like tarrifs on services effect us? Do they at all? What about the right to sell in different jurisdictions, etc?

Apologies if this is already being discussed somewhere, but I did a quick search and couldn’t find any threads on the subject.

I’m far from any kind of expert, but one way it could affect us is a possible temporary drop in the value of the pound when brexit actually happens. If that’s the case, then we would get more for our USD from Audiojungle

I agree, we should keep politics off the forums. The question I have is not a political one, but instead relates to the legal and economic implications of a possible change in cross-border trading rules on someone in the UK (such as myself) selling to people in the EU.

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Ok, I understand you! :wink:

That’s certainly one possible outcome. I guess my real question is whether or not selling into the EU will require tariffs of some sort in the future, and if this means an increase in the fees envato will take from us. Or will it not affect us at all, being that audiojungle seems to be registered in Australia? The financial setup is all a mystery to me, to be honest.

I don’t think it makes any real difference to us. Obviously UK authors would benefit if the pound fell against the US dollar, but as far as sales to those countries still in the EU are concerned VAT would continue to be collected by Envato as is already the case.

It’s an interesting question what is going to happen about VAT in the UK if we leave the EU without any kind of interim deal, but this would only be an issue for sales to the UK (and to be honest I think AJ sales to the UK would be the least of the issues to be addressed! :slight_smile: )

The tax position regarding our earnings is already covered by a direct treaty between the UK and America (where Evanto is registered) so I don’t think this would be affected.

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Thanks Paul, this is reassuring. :slight_smile:

There can be a VAT problem. There can be a new-tax-for-UK-sales problem. There can be EU MOSS problem.

But in a short term probably nothing will happen because UK is trying to keep all privileges and international mechanisms as they were still in EU even after… leaving EU. The only problem will be if EU looses patience and ban UK in all institutions like EU MOSS. It would make a mess in Envato-VAT procedures but from authors’ perspective everything should stay the same at least for some time.