Hello, hope you’re all well!
I’m a UK seller and noticed one of my items had extra tax fees added on so raised a case. Seller central have come back to me saying they were charged due to the item being sold in France. Are they allowed to do this? I’ve not authorised sales in the EU, just UK. What can be done?
Thanks in advance
Check your FBA settings (Settings:Fulfillment by Amazon:Allow Amazon to buy my products to sell globally). You probably have FBA Export activated.
If you are not VAT registered, Amazon (wrongly) subtract the destination country’s VAT from the sale price so you will always lose out.
Seems like Amazon’s Marketplace Tax Facilitator. They will add VAT to the order cost is the buyer is based outside of the UK.
Not quite correct. They first deduct the equivalent of the UK VAT, even if the seller is not VAT-registered, then add the buyer country VAT to the sale price.
Non VAT-registered sellers always lose out.
Not a problem for VAT-registered sellers, except when Amazon calculate the sale wrongly. This happens regularly. They sometimes deduct VAT twice so always check each and every Market Facilitator sale.