The infamous Invoice Defect Rate, which has been a concern for many third party Amazon sellers across their European marketplaces will now become an enforceable target, which can cause a whole seller account to get suspended.
The minimum target is 5% and sellers are required to upload invoices within no more than 24 hours, including weekends or any holidays.
VAT Registered sellers can use Amazon’s VAT Calculation Service or those who are not the new “Amazon generated invoices” service.
Since the “Amazon generated invoices” service is stuck at “not eligible” status for many eligible sellers, there will still be masses of sellers forced to spend hours creating PDF receipts and manually uploading them into orders by Business Customers:
Here you can view a screenshot of the e-mail announcement:
Here is the full wording of the announcement in English:
| Dear Selling Partner, Amazon Business customers require timely invoices (or receipts) for tax and accounting purposes. To help you deliver the invoicing experience that this fast growing segment of customers expects, we introduced the Invoice Defect Rate in July 2020 and since then have been recommending to maintain it under 5%. Starting from 5 April 2021, all Selling Partners will be required to adhere to this 5% target to sell on Amazon.co.uk, Amazon.de, Amazon.fr, Amazon.it and Amazon.es. Failure to comply with this upcoming performance requirement may result in account deactivation. |
| If your Invoice Defect Rate is above the 5% target, Amazon can help you improve your performance and receive fewer customer contacts with the following solutions to provide invoices to customers: Amazon generated invoices (recommended) Amazon can generate VAT invoices or receipts on your behalf at no cost and make them available for customers to download. VAT registered sellers can activate the VAT calculation service and benefit from automated invoice generation. Sellers exempt from VAT registration in both EU and the UK can declare their VAT exemption status and benefit from automated receipt generation. Invoice upload You can upload your own invoices within one business day after shipment — either manually via the Manage Orders page, or automatically through a third-party solution or by developing your own solution. Customers will be able to download the invoices directly from their account. Please note that invoices sent through the Buyer-Seller messaging are not compliant with the Amazon Business invoicing policy, hence are considered missing and affect your Invoice Defect Rate negatively. |
| Visit our dedicated pages to learn more about the Invoice Defect Rate, how to upload your invoices and the VAT Calculation Service. Thank you for your continuous commitment to improving the customer experience on Amazon. Sincerely, Amazon Services Europe |
Here is the announcement in the Seller Central:
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