Why VAT tax on online shopping please someone clarify?
I bought a software online during payment there was extra charges other than the software cost. I contacted software company and they said we do not know why their processing company is charging.
I made payment using PayPal and later contacted the payment processing company and explained that I live in Japan a why did they charge VAT.
After few e-mail exchange they sent this message
Thank you for contacting the online store.
Please be advised that VAT is not only charged on orders placed within the European Union. It is not a charge imposed by our company but by your own country, city or locale.
You will need to contact your local tax authorities for an explanation
about this tax charge.
I also cleared this matter from PayPal Japan and they said they do not charge VAT.
So, question is even if I am not in EU country and the vendor/seller is then am I liable for that VAT?
Any clarification in this regard will be appreciated
Thank you