When you use Checkout, you are licensing Tebex to sell your products for you, and we are deemed the Merchant Of Record. Because of this we are required to charge VAT to players based in the European Union. As time passes and regulations change we may also have to charge sales taxes in other regions.
We collect and pay all sales tax on your behalf to the relevant tax authorities. For example, if we collect VAT for a player based in France, we will pay that sales tax to the French tax authorities for you without any input needed from yourself.
This is a legal requirement for any business selling virtual goods online, and this same process happens with platforms such as Patreon, the Apple App Store and the Google Play Store.
Any payouts you request are paid to you as royalties, so you do not need to pay VAT again on any money you receive from Tebex. If you are currently paying VAT on sales earned via Tebex, moving to Tebex Checkout will remove this requirement. If your accountant is requesting more information about how we handle VAT please provide them with the Tebex Checkout Terms Of Supply or ask them to get in touch with our customer support team.