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Why did eBay choose to change its VAT structure by setting up a new entity in Luxembourg?

April 26, 2017eBay entity luxembourg setting structure VAT

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Why did eBay choose to change its VAT structure by setting up a new entity in Luxembourg?

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We found Luxembourg to be an advantageous position for our new EU entity, primarily for operational reasons. It also has a favourable VAT rate of 15% which allows us to remain competitive in our customer offerings versus other players in the industry.