FBM UK seller seeking clarity on EU sales
Are the rules quite different when selling via FBA compared to FBM on EU marketplaces?
I have seen people talking about goods being held at customs, and having to be VAT registered in the EU countries etc. Isn’t this what the new IOSS schemes are for? As it’s all collected up front and paid to the relevant channels? Or are they talking about sending large shipments of goods to Amazon warehouses in the EU and paying customs fees etc upon arrival to those warehouses?
I myself do FBM and based in the UK. I had turned off international sales since last April, but have recently turned on the German marketplace. I’ve also been selling to other EU countries on other platforms. I use click and drop and have been sending using the IOSS services (and including the relevant IOSS numbers on the customs labels).
Is sending my orders with an IOSS service all I need to do? Or do I need to register for VAT in the EU countries amongst other things?
0 replies
Seller_7VbclcPFFRTnc
VAT registration is required for FBA in EU if your are actually storing goods there
If just FBM , you can use the IOSS services (dependent on value of goods) however, FBM sales can still be held at customs due to ongoing issues
Seller_qqCKaiyZvp4Rc
Just to add, if you can take the hit on refunds, delays etc then do it but if you are trying to sell only a few items daily it’s not worth it
Seller_qqCKaiyZvp4Rc
Yes the problem is when there are delivery issues your ODR will spike and you will need to give an appeal
Even though it’s not your fault Amazon may not accept the appeal and you will be unable to sell in that marketplace country again
Seller_TyVE1SPEF5vHF
I went back into EU sales in September and after having had a hideous experience earlier in the year with sales into the EU after Brexit.
Some parcels arrived ok into Germany & France, despite my paperwork being 100% correct , some stalled for ages, some came back to me with no explanation from customs why? some couriers demanded tax from the customer that was already paid, i have a customer return with DHL and they are asking me for payment of import taxes, and quite a few parcels that just went missing - For years i never had a real issues at all prior to brexit and now its a stressful mess !
Your choice and if you do enjoy the AtoZ’s and lost parcels !
Seller_ae51e0CJoHqCX
Business buyers in the relevant European Countries do not qualify for IOSS and you have to send them on a delivered duty paid method. Royal Mail currently cannot help you with this to my knowledge.
On the odd occasion you find the label has not printed the IOSS stamp and initially think it must be an error but when you go into the order, you will often find it is a business customer. That being said yesterday I did come across an IOSS order on Amazon and the click and drop had not ported the number through.
Also remember that although the single unit price is low, if you sell multiple units in the order and it goes over the threshold you will still have to send it with a courier on a DDP basis.
Seller_R8W4ooA3yVAgO
We didn’t have much luck sending to Europe, lots returned by customs and lots missing.
USA seems fine though, if that helps.
Seller_aPJvmPpiiXKtU
Ah, thanks for the clarification.
Neither of those really apply to me - hence my ignorance!
Seller_saK5Ah2SaNYjL
Our account is at risk in Italy because of one A-Z. The parcel was stuck in Italian customs for over a month. Posted 12 November, finally delivered 21 December. After delivery, I appealled the A-Z with no luck.
We’ve put Italy on holiday settings permanently. A few delays in other EU countries so I set the shipping templates to the maximum of 14 - 21 days.
I’ve also turned off shipping to Ireland due to Irish customs rejecting parcels when there was nothing wrong with them.
Seller_aQji8mLqVwDko
Thanks for your help everyone. I decided to switch off sales to the EU in the end. Also, some of you might find this interesting. I don’t get many sales from my own website, and got one to Belgium in December. I just sent it using a normal service, (not using a duty paid/IOSS etc). The product and shipping included came to 27 euros. I got an email yesterday from the customer saying that they’ve received an email from the courier demanding a payment of 23.70 euros for duty and tax before they release it for delivery. THAT’s CRAZY! The duty/tax and fees are nearly the same as the cost of the product?!
Seller_0msMReDTskp1Y
We used to sell 3 or 4 items per day to customers in Ireland but we finally gave up in Autumn last year as it became a complete lottery as to whether they would be delivered or returned.
