 Sales tax dodging?
So there is this item on eBay which sells for around 30-40$. There are around 15 sellers currently selling it on eBay.de, but there is one seller whose company is registered in Singapore. Because of that he does not have to collect sales tax from customers and thus his prices are 5-6$ lower than the market average. Because of that he is dominating the category and nobody is capable of competing with him. If I lower the price for 5-6 $ for example, I will be loosing money instead of making profit.
The dude is shipping from inside Germany, but his firm's headquarter is in Singapore.
Any thoughts about this? Could one register a firm in Singapore and operate from inside Germany? I googled a bit and found that establishing an LLC in Singapore is not that hard and there are a lot of companies eager to help for a reasonable price.
What do you think? Anyone of you guys done this or something similar to it?
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