Tag: VAT
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How to Claim back a VAT Refund on your Amazon Seller Fees
Claiming a VAT refund on your Amazon seller fees is a frequently discussed topic among Amazon sellers. In this article, I will clarify why you might be able to claim back any VAT that you’ve paid on your Amazon fees and exactly how to do it. Amazon usually charges VAT on all of their fees…
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Product Related Domestic Reverse Charge for Italian use cases on Amazon
As an Amazon seller, it is important for you to stay informed about these updates to ensure compliance with the new regulations. Effective June 27, 2023, Amazon will be extending the current European VAT Calculation Service to include specific sales in Italy. This means that the product-related domestic reverse charge (0% VAT) will be applied…
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Changes to the European VAT Calculation Services methodology on Amazon
Effective June 9, 2023, Amazon will now have the option to use its own PTC when you are selling to an Amazon entity. To ensure you stay compliant and updated with these changes, I would recommend you to review the details provided on the Changes to programme policies page on Seller Central Europe. In this…
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What is IOSS Registration for Amazon Sellers?
On July 1, 2021, the EU’s new VAT reform came into effect. The new rules for online sellers are supposed to simplify VAT filings for distance selling within the EU, but also for import VAT due on products from outside of the EU. The VAT reform does not only affect sellers with their own online…
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Sole Trader vs Limited Company: Which is best for Amazon Sellers?
If you’re selling on Amazon, whether that’s FBM (fulfilled by merchant) or FBA (fulfilled by Amazon), it’s best to decide whether to start as a sole trader or limited company before you register your seller account. This is because you’ll need to indicate what type of seller you are when you open your Amazon seller account.…
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Do you need to be VAT registered as an UK Amazon Seller?
If you’ve landed on this article, there’s a good chance you own an ecommerce business with a VAT taxable turnover below the UK threshold (£85,000). If so, you’re likely wondering whether or not you’re allowed to sell on Amazon as a merchant without VAT registration. In this article, I will be addressing this question, as…
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Pros and Cons of registering for the VAT in the UK as an Amazon Seller
Many sellers who are doing business on the Amazon UK platform are concerned, whether they need to register for the VAT or not. In this article, I would like to clarify you the answers to most common questions. There are 3 scenarios in UK VAT: 1- 0% VAT. 2- 7.5% VAT Flat Scheme. 3- 20%…
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Amazon Europe is increasing the fees for VAT Services on Amazon effective October 1, 2022
This week, Amazon Europe announced that they will be increasing the fees for VAT Services provided to sellers enrolled in their VAT Services on Amazon. All existing and new sellers/ countries combinations will be subject to this change. If you are already using VAT filing services, your current annual rates will be updated to these…
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Amazon Europe keeps pushing sellers into VAT Calculation Service
If you are doing business across Amazon’s European marketplaces, you must have noticed the recently introduced Invoice Defect Rate. Despite any failure to comply with the metric currently doesn’t negatively affect seller accounts, it is only a matter of time before it changes. Amazon keeps aggressively e-mailing sellers with alerts over the Invoice Defect Rate…
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New EU VAT Configuration available by Shopify
[whohit]New EU VAT Configuration available by Shopify[/whohit]Popular e-commerce platform Shopify offers new European VAT configuration settings which will automatically calculate VAT rates for each country where merchants are VAT registered. Here you can view the announcement sent to online entrepreneurs using Shopify:
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Visit Amazon’s new help page dedicated to VAT
[whohit]Visit Amazon’s new help page dedicated to VAT[/whohit]Amazon has a new Seller Central page to develop seller’s understanding of the VAT ecosystem. The pages are designed to help them learn about their obligations and how to meet them. All the relevant information can be found there: existing legislation, various triggers of VAT obligations, VAT registration,…
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Amazon acknowledges VAT postponement by EU countries
[whohit]Amazon acknowledges VAT postponement by EU countries[/whohit]Today, Amazon published an announcement where they mentioned how European countries took measures to help businesses cope with the difficult situation caused by coronavirus pandemic by postponing the requirement to pay VAT. Here you can review the full announcement: