Changes to VAT Regulations in EU Countries

How do VAT regulations changes affect you?

On January 1, 2015, a new European Union regulation takes effect that requires electronic service providers, such as Adobe, to charge EU consumers Value Added Tax (VAT) based on the rates of the member state where the customer resides. Previously, VAT was applied based on the member state where the company was located. While the base price for Adobe products and services remains unchanged, the VAT rate applied may change and affect the overall cost for certain Adobe customers in select EU countries.

The good news is that most EU consumers will see a reduction in VAT, resulting in a lowering of their total bill. This should be reflected in statements starting January 1st.

However, customers in Croatia, Denmark, Finland, Hungary, Romania, and Sweden are now subject to their local VAT, which is slightly higher than the VAT rate we previously charged. For consumers on annual subscriptions with monthly payments, and for whom new or renewed annual terms began in 2014, here’s how we will offset the additional cost: We are temporarily lowering the price of affected customers’ memberships so that the total cost stays the same during the remainder of their current annual term. Updated local VAT rates will be applied when renewing or buying a new membership plan.

These changes only affect individual plans (such as Creative Cloud Individual) for consumers residing in the European Union and do not impact enterprise customers, such as business customers of Creative Cloud Team and Creative Cloud Enterprise offerings.

The following products are affected:
Acrobat Standard Plus
After Effects
Adobe InCopy
Acrobat Plus Subscription
Acrobat Pro Subscription
Acrobat Professional
Adobe Technical Suite
Creative Cloud Team
Creative Cloud Individual
Adobe CS Ext Builder
Flash Pro
FrameMaker Publishing Server
FrameMaker XML Author
Adobe Muse
Photoshop / Lightroom Bundle
Adobe Premiere Pro
RoboHelp Office