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Many countries have VAT; I'm not sure that Canada would go the route of the ESS stuff mentioned - it gives as good as it gets (as I believe the EU does).

Frankly, I think it is a pretty stupid law. It was probably created to discourage buying things over the web which could be had locally... because I expect that companies within the EU would have to charge VAT. What this law does is actually raise costs due to administrative costs and puts EU citizens on a less competitive basis when it comes to microtransactions.

Second Life Consultant