Serge, I agree... the sales tax system in the US is different from VAT in the EU, so the US solution to net tax will be very interesting. I belive that only a nationwide net sale tax can keep US net companies from looking for the same loopholes as European companies are...
There is VAT on almost everything in the EU - beside from making a huge % of all tax income, then the goverments also use VAT to keep tracks of who buys and sells goods/services (Big Brother IS watching). The VAT is huge income of the EU, and they want to keep it that way. So no EU politician want to have a internet tax free heaven (it has never been tax free to sell on the internet in the EU - EU adult net companies have always had to pay their country VAT for sales made to surfers - no matter where the surfer is from). However this all about to change with the new VAT laws.
Ex. One of the first tax cases using the EU VAT system loophole is underway... a portuguese phone company is licensing phonelines in other EU countries like Denmark (who have 25% VAT), and then reselling them to citizens in those countries... now the trick is that the portuguese phone company are sending the bills to their European custormers from Portugal, and in Portugal the VAT is only 13%.... Local politicians in Denmark are mad about this, but there is nothing they can do because of the EU free trade laws, so Denmark is about to loose billions in tax revenue from phone companies located outside their own country. This loophole can be used by many other industries working with digital products - like the adult net
But this still only apply to European companies selling direct to surfers from within the EU. US companies are first to start their EU registering in July 2003 - however lets see how many will do that voluntary
