Turkish seller needing some advice
Hi all,
I have multiple questions as I am a new seller on Amazon planning it with FBA. Sorry for listing all of them in the same email. I looked through the seller forum however could not find relevant answers.
A new account with my Ltd. company:
- My current Amazon account is a personal one but I am planning to open a new account with my Ltd. company registered in the UK. Is it still available to start with “Individual seller plan” and then upgrade it to “Professional seller plan”?
VAT registration:
- In our business model the supplier is located in Turkey and I will have them ship products directly to Amazon depots in the UK to be eligible for FBA. In that sense does my LTD company have to register for VAT? As you might know I can stay unregistered until I am below 82k in sales as a company. If it is not mandatory, when an item is sold what happens on the customer side? Will they still pay VAT? Will I receive that VAT amount? Otherwise it will be disadvantageous for me I think as I will be paying for VAT on the port but not receiving it from the customer.
Shipment directly to the Amazon Depot in the UK:
- For small parcel shipments from Turkey to the Amazon depot in the UK, can we use DHL, TNT, UPS etc. which are suitable carriers for Amazon UK and also which do have operations in Turkey as well? For larger size shipments like pallets or containers which freight forwarders do you recommend us to work with? It is very important because I reckon these companies must be familiar with Amazon depot rules and regulations (timing, scheduling etc.).
3rd party depots and Amazon:
- Are there some 3rd party depots and fulfilment centres that we can use to sell in Amazon in the same way (like having FBA and being shown to Amazon Prime customers)? The reason for asking is that we are also planning to manage our sales and fulfilment in other channels. If we can manage all of our inventory from one single depot that would be very preferable on our side.
Product brand approval:
- My supplier is producing its own products with its own brand name. Is there any risk that our products will not be approved because of its brand? Is there an approval process that we should consider and what could be done to verify that we do not face any issues after our products arrive in the UK?
Thank you for any of your support and advice in advance.
Seller_ejwc84JNL5Uk6
Firstly you CANNOT open. Second account as Amazon will close both down as this is not allowed without prior written permission.
Secondly if you ship the goods to FBA depots then yes you need to be UK Vat registered before sending the goods.
Seller_DROodOAYHftnc
Do not open another account. You need to change the legal entity of your current one to your limited company.
Yes, you can start on the Individual Selling Plan, then upgrade to Professional whenever you are ready.
Cannot help you with your other questions.
Seller_DJwE1RXTpAHPh
I will answer the VAT part - the 82k or whatever threshold it is does not apply if your company is based outside the UK as long as the products are stored in the UK to be sold from there (to anywhere - unless they are in a free port but this isn’t that). So you have to register for VAT. I don’t know about the terms of FBA centres but the above fact supersedes anything they will set out as a rule.
If you are resident in the UK and you want to not register for VAT yet while you are a sole trader under the turnover threshold, check the rules of FBA centres on the VAT-registration requirement.
You will always (except if your entity is eligible to not yet register for VAT) have to charge VAT to (thus receive VAT from) the customer if the goods are stored in the UK and dispatched to UK addresses. It’s about where the goods are and where they are going, not where the business is registered.
So you pay import VAT upon entry, which you can reclaim from HMRC (UK tax authority), and you receive VAT from sales to UK customers, which you must pay to HMRC. If you are not VAT registered, you still pay the import VAT but you cannot reclaim it, but you don’t charge VAT on sales so there is nothing to remit to HMRC.
Seller_09KaA3XjqoUPw
You can open a second account if the personal one has never been used to sell on and its just a buying account
Seller_haZcjrAJ10wtm
Hello ,
We will be doing exactly the same thing ,
like we dont have company in UK but we have VAT REG.
so we can pay taxes,
That WE COULDNT UNDERSTAND;
we are exporting the goods to .UK in consignee but
we can not invoice those to AMAZON for matching the VAT,
our stocks remains open to in our inventory,
did anyone knows to flow for processing VAT through the sales?
Seller_SszY3y0deIuWO
Hi Laika, did you solve the “shipment to FBA” problem. Bc currently I am trying and Amazon doesnt provide partnered carriers from turkey to Europe. I am trying to contact them.
