Market facilitator tax
Hi all. New seller here. I am being charged this Marketplace Facilitator tax on every sale and it’s killing margins.
UK registered company with VAT numbers in Netherlands and UK (both verified with Amazon)
I am shipping to Spain and Italy from my warehouse in Netherlands.
I have my ‘default shipping address’ in ‘general shipping settings’ set to my Netherlands warehouse in both my Spain and Italy marketplaces.
Under ‘vat calculator settings’ in ‘Account info’, I have:
my Netherlands warehouse under ‘confirm shipping address’
‘default country for VAT exclusive price’ as Netherlands
‘default product tax code’ as A_GEN_STANDARD
What I haven’t done here is clicked ‘Agree & Activate’. Should I do this or does it have no impact on the Market facilitator tax here?
Do I need to activate for Amazon to see I’m shipping from the EU to the EU?
Each of my listings in my inventory are set to ‘A_GEN_NOTAX’ for the Product Tax Code.
Can anyone enlighten me as to what I’m doing wrong?
0 replies
Seller_7VbclcPFFRTnc
yes you need to activate those settings
Seller_qZO3ZCjoBXEeL
This is only equivalent to the VAT that would be charged on each order anyway. Whether you fix the place of supply VAT issues to Netherlands or not, VAT will still be charged on each order and payable.
Have you not factored the VAT into your pricing?