VAT on sales revenue
I am VAT registered and I presume that the amount of revenue earned from a sale includes VAT (i.e Amazon hasnt deducted it)
The above shows a typical example taken from the “Transaction View” report, and if the “Amount” column is added it nets to £19.68 which I am guessing is the amount Amazon transferred to me. The VAT portion would be £3.28 which I have to pay over to HMRC. Am I reading that correctly.
0 replies
Seller_SVjYtgYt2Y3ze
No, the VAT is included in the total selling price and any shipping charged so you need to pay £4.34 + £1.00 total £5.34.
Seller_rGtEcZnu0JTRD
You pay VAT on the total sales price including shipping, not the amount that gets transferred to you.
Seller_fR2L651VQEE4Y
Do you pay the VAT even if you haven’t reached the threshold of 75k a year?
Seller_z6B2L9xab6HlP
Would the VAT not be “Product Tax” and “Shipping tax”? Adding those together is your output VAT for the transaction.
