Per the 1st of January 2015, the new EU Value Added Tax directive has gone into force.
The most salient change is that all purchases of (automated) digital services are to be taxed using a VAT rate based on the buyer’s location rather than based on the seller’s location.
As that change has been introduced on our website, we now comply with this new directive in collecting taxes according to the buyer’s location.
Software licenses fall under electronic services and the new EU directive requires VAT collection, no matter where in the world we are from.
You can refer to this web page, for example: http://www.vatwiki.eu/wiki/A_quick_introduction
If you enter a valid VAT number on the purchase or quote page, the invoice will show your VAT number and the VAT tax would not appear on your charge. However, if you do not enter a VAT number, the receipt and the charge will include the VAT tax.
Please note, UK schools are exempt from VAT.