As a UK resident, I always rent space in the USA. It is good value and for me it is Value Added Tax (VAT) free. This awful tax of 17.5 percent has to be added to everything you sell including hosting. Unless, that is, you are not registered for VAT in which case you don't have to charge your clients the tax so you can be better value than the big boys. You can run a very healthy business in the UK and still be below VAT registration levels of turnover. The problem is that when you buy from your supplier in the UK, they charge YOU VAT.

The ideal is to buy from the USA (outside the European Union) and resell in the UK as not VAT registered. If you are approaching the limit and have to become VAT registered you are doing very well and probably don't care, but I am addressing this to the smaller and start up companies who offer hosting.

Now if you go with Kuala you have to not only pay more expensive prices in the UK than they charge in the USA, but you have to pay another 17.5 percent VAT on top all for exactly the same service as they provide in the USA to international customers. So who in their right mind in the UK would go with Kuala?

Unless of course Kuala USA would let us buy from them........

Anyone from Kuala to answer that?

The prices on the Kualo UK site are the prices you pay, there are no additional charges for tax or VAT. We will always list the price *you pay* on our site, no taxes or extras are hidden from our customers.

Best regards,

Jo Stonehouse

Appreciate the reply. But it includes VAT, right?

Thus UK prices will be higher than US prices.

So can UK residents buy from Kuala USA at USA prices?



PS I am not nit picking here, I am immediately in the market for a good reseller package and you guys sound good. But business is business and margins are margins. You can PM (private message )me if you prefer - especially if you have and even better price/idea you want to offer a new and founder customer :)) )

We do not charge VAT no, and UK prices are on a rough par with US prices. UK residents should buy from Kualo UK as this way all administration is handled by our UK team, including billing and account enquiries. Additionally, you will benefit from things that would be targetted at UK users such as specials on UK telecom services for example. The pricing difference is only very small and is of course all relative to the exchange rate of the time, which as we all know has a tendancy to change all too often :)

OK, Jo, fair enough, given 15 to twenty bucks or so there is not that much difference, but I have a couple of questions....

1. How come you do not charge VAT when you provide a service like this in the UK? Will you ever charge VAT in the future?

2. If I choose a given reseller option and then upgrade, will I have to move sites around or will there be space where I am?

3. I downloaded the control panel pdf (cpanel - thats the one the customers use right) but you mention another - WHM was it? What is that and where are the docs for it - I want to see the one I will be using to add sites etc?

4. Do you have a mix and match system for resellers like you do for hosters?


We're getting there.

Hello Raybo,

I have responded to your sales questions by email which I think may be more appropriate as this is not the advertising forum and I wouldn't want to break any rules here on WHT.

Best regards,

Jo Stonehouse