According to the 'VAT on e-Services' directive of the European Union companies that are not based in the EU companies should charge VAT on sales of "electronically supplied services" to European customers. This directive was put in place so "that both non-EU suppliers and EU suppliers are subject to the same VAT rules when they are providing electronic services to EU customers." (http://ec.europa.eu/taxation_customs/taxation/vat/how_vat_works/e-services/article_1610_en.htm#a1)
However, I have never seen non-EU based companies do this. Why is that? Is this directive unenforced / ignored / unknown??