I knew play.com were always based in the CI, but I was unaware until recently tesco, HMV use it for VAT free sales to the UK mainland.

How do they do this? for example could I move my web business there and sell items without VAT? is the business was totally based there.

I find this all very interesting as play.com seem to be getting away with it very well although they do sell items under £18 . (which I think is a threshhold for exporting to the UK mainland?)

Dan