Your2ndPlace

Tax Man's Eye Is On Second Life is a pretty interesting article that indicates that the UK tax folk may be prying open some purses for Second Life transactions.

Just when everyone was so happy with the EU Vat issue.

From the article:

...Now the Chartered Institute of Taxation is launching a campaign to make Second Life residents aware of their liabilities as part of Tax Advice Week.

It is estimated that about five million American dollars (£2.5m) change hands daily inside virtual worlds. Of that figure, some $1.5 (£700,000) is among UK based Second Lifers...

This certainly helps put a damper on UK residents running businesses within Second Life when they are competing with people from other countries who do not have to worry about VAT or taxes - at least for now.

If I were a UK resident, I'd be wondering what I get for those taxes. Virtual roads?

Thanks to Dimitrio Lewis for tossing this my way.

Technorati Tags: Business Law Metaverse Miscellaneous SecondLife tax UK Chartered Institute of Taxation Tax Advice Week