How can an online business owner avoid paying such massive taxes,

I might be wrong but looks to me we are not talking about taxes only. Customer preferences, equipement and returns are inherent to your business model operational and competitive needs, there is no way around it wherever you are, you can only work on improving these processes.

Regarding taxes, it depends where you are, what is your turnover etc...

Maybe you can look at housing your company in a different country.

>>1382029
Invest in a house or a retirement account,

>>1382046
I wasn't complaining about business expenses like shipping and returns, I was just saying that they eat away at profits, making taxes so much worse, since they are so high. I know that these expenses cant be helped but they really aren't a problem since i'm still making a profit. Also, since my company is technically based in the UK, it wouldn't be possible to relocate the business to somewhere on business, however I think that I would potentially transfer my "take home profit" to a bank account in another country that has lower or no tax at all. Thanks though.

>>1382112
on paper*

>>1382112

Ireland used to have pretty favorable taxes I believe ? You would not necesseraly need to have a physical presence over there, they are happy with more money coming in. Otherwise I guess you should have a discussion with your accountant, he knows probably best about your company's opportunities.

>>1382029
>VAT
Isn't that Europe's version of sales tax? Here in the US, your sales tax license exempts you from paying sales tax on purchased inventory. You still have to collect and remit it on sold products but you add that on top of your price.

Being European, your situation my be different, but I'll never understand the squealing about business taxes in the US. They practically don't exist. You're exempt from sales tax. You're only taxed on profit and every single thing that you buy to run your business can be deducted. If you work it right, deductions count against any wage income you receive and GOVERNMENT PAYS YOU.

Meanwhile, wagecucks, the useful idiots of this world, pay sales tax and are taxed on GROSS income.

>>1382029
if you wanna talk evasion...
PayPal doesn't report anything tax wise as long as your account has less than 20k in it.

>>1382029
>VAT
But don't only eurotrash shit piles pay VAT? I'm pretty sure the only solution is to stop being one. It's your own fault for thinking you could operate a business while saddled with VAT. Next time, don't start a business until you are not a piece of eurodebris.

>>1382029
TRY R9K

>>1382347
>>1382442

Financial products are exempt from VAT afaik, at least in Sweden, unless you have investment accounts you have to pay an earnings tax, basically you pay 20-30% of what you earned on said financial instruments.

If you have an investment account you pay taxes yearly based on government borrowing rate, basically you take however much that account is worth times the government borrowing rate, whatever number you get out of that you pay 30% of in earnings tax.