Need some guidance about collecting VAT

Hi,

I am working on a PPV site where different sellers can sell videos, which means I need to pay them out e.g. 80%. Example is OnlyFans.

Now if the buyer is from EU, then I have to collect VAT as well.

I have three questions:

1. Will the VAT be on total amount or just on 20% service fee? So that sellers pay their own VAT from their 80%
2. Can the VAT be collected from my earnings, so that buyer doesn't have to pay an extra amount while paying for the purchase
3. Does it matter where my business entity is? i.e. is VAT collection only applicable if the entity is in EU?

I appreciate any input

It depends where you are. If you are located yourself outside of EU, then don't worry about VAT, until high volume like 1M+ per year.

Consulting a lawyer for this would cost you just 50 EUR if you are serious about it.

That out of the way, here is the rule :

Selling services to the final consumer in another EU country:
You must usually charge your customers VAT at the rate that applies in your country, except for telecommunications, broadcasting and electronic services, which are always taxed in the customer's country

For Q2, can't you just decrease the price but impose VAT?