IOSS / Marketplace facilitator order?
I sell towels for £39.99 - I have had a customer pay £29.16 for the towels, after which Amazon took their £11.71 fulfilment and referral fees. This left me £17.08, which is less than the cost of the towels. This prompted me to check all past sales (I have been selling for one month now) and can see this has happened 3 times.
I live and am based in the UK. I am below the 85k threshold and have declared VAT exception status to Amazon. What did I do/ doing wrong?
Message on the customer order page appears as:
This is an IOSS order
The shipment of IOSS orders must meet specific customs requirements. If you are delivering directly to the customer, you must provide the Amazon IOSS VAT identification number, VAT-exclusive order value and order ID to your delivery partner or customs broker. Please visit the Tax regulations help page for more information.
Marketplace facilitator order (legislation: EU deemed reseller): Amazon is collecting VAT on this transaction.
This is a marketplace facilitator order and hence VAT is being collected and remitted to the tax authorities by Amazon. Your net proceeds will not include VAT for Marketplace Facilitator order. Please visit Tax Regulations - help page for additional information.
Is there anything I can do to prevent this from happening? This customer had paid less than the actual towel sets cost from the factory abroad excluding TAX etc. Can’t help but feel gutted
26 replies
Seller_NoMNQDGnEW5Bx
You need to disable all export settings for fba
input the Market Place such as Amazon.Seller_NoMNQDGnEW5Bx
Exporting is someone buying from abroad on the UK site so amazon is right to take vat etc off the sale.
I’m less up to date on a sale on the es site, is that stock stored in Spain or still in the UK?
Seller_Lv8PiPfd0SdHG
I have just checked and all 3 orders are from Ireland. Does this help?
Seller_NoMNQDGnEW5Bx
This is an FBA export order so as a non vat registered seller the OP is losing out because Amazon removes the VAT from an item that isnt subject to VAT. No need for the OP to use customs forms, IOSS etc as its Amazon fulfilled hence the fulfilment fees mentioned in the original post.
Seller_NoMNQDGnEW5Bx
Make sure you run an inventory report by location to make sure nothing has been moved anywhere depending how long you’ve had pan-eu switched on for
Seller_nRhZxElkqUPAM
The whole setup of Ireland using the UK site has many problems. Postage being one… and VAT being another. Ideally Amazon should either give them their own site or allow us to set different pricing from the UK.
