Mexico Value Added Tax charged to the seller from Amazon on digital services

Mexico Value Added Tax (VAT) collection on digital services provided to sellers located in Mexico to begin on June 1, 2020.

Mexico Government has implemented new legislation requiring non-resident companies, such as Amazon, providing ‘digital services’ to begin charging and collecting Mexico VAT on these services when they are provided to Mexico-based resident Sellers. In this context, remote services provided by Amazon are the Selling on Amazon fees (listing/referral services) and monthly subscription fees. The new rules take effect on June 1, 2020.

Should you wish Amazon to include your Mexico Registro Federal de Contribuyentes (RFC ID) on your tax invoices, provide your RFC ID in Seller Central.

To provide Amazon your RFC ID:

• Log in to Seller Central.
• Under Settings, click Account Info.
• In the section Tax Information, click RFC ID.
• Click Update.
• To exit back to your Account Info page, click Back.