Update to European VAT Calculation Services Methodology policy

#1

We’re updating the European VAT Calculation Services Methodology policy to apply Business-to-Business (B2B) product-specific VAT calculations to certain types of listings across Amazon’s European stores.

Following the introduction of the EU B2B product specific VAT calculations, effective February 7, 2023, we’ll apply the product-related domestic reverse charge (0% VAT) to sales that meet the following conditions:

  • Sale of electronic items subject to the product-related domestic reverse charge. These vary by country but typically include cell phones, computer chips, e-readers, laptop computers, tablet computers or video game consoles
  • Domestic B2B sale
  • Shipment value is above applicable thresholds (generally around EUR 5,000)
  • Sale occurs in United Kingdom, Germany, Romania, Czech Republic, Austria, Denmark or Latvia

We encourage you to review the details on the Changes to program policies page. Your continued use of selling services after the date of effectiveness constitutes your acceptance of the changes. Contact your tax advisor for more information.

#2

Does this mean we don’t send B2B sales with DDP? Would you have to be VAT registered to get the benefit?

#3

Did you ever manage to resolve the issue with the AVR and recording the intra-community acquisitions that we are supposed to log each month when using the AVASK / ATS programme? We are still having great difficulties and seller support / Avalara are taking no responsibility, asking us to seek tax advice, despite it being an issue with how the AVR spreadsheets are populated.