I suspect you mean this one

As an EU national, a trader cannot charge you more when you buy a product or service just because of your nationality or country of residence. Some price differences can be justified if they’re based on objective criteria and not just on nationality. For example, differing postage costs may mean you pay more for delivery in one country than in another.

But they aren’t discriminating by your country of residence. The PRICE that the vendor charges is the same regardless of where you’re from. Your own country charges VAT, through the vendor. That’s on top of the price.

Well consumers don’t pay it to the tax offices, nor do they do the reporting

Yes, but it’s a direct line item when they buy something. And only consumers don’t get it back. It is a tax on consumers specifically.