EU new VAT tax


As you probably heard, Google Play will start to automatically charge and remit VAT for EU countries in January 2015.

I always thought that Google was handling VAT taxes like Apple but they’re not.
I don’t sell much in Europe but a lot more in countries like Australia, Canada, Singapore where there might be taxes as well that I have not been paying for a while.

So my question is, have I been selling apps illegally all this time? And if I am, what can I do now to make this right?

Additionally, it seems that I can set tax rates through the Google Wallet Merchant console but I don’t understand why. What happens if I do set tax rates? Will Google deduct them from my final revenue?

Thanks for your help.