IOSS EU VAT Double Taxation. Unexpected bill to a customer
Today I’ve got my first complaint from an EU customer due to double taxation.
Amazon collecting EU VAT for orders, Royal Mail Click & Drop set up correctly (IOSS front badge was automatically printed on the shipping label). But still, my buyer received a 16 Euro bill from Austrian customs.
Looks like this system doesn’t work properly, and could lead to A-Z claims, negative feedbacks and deactivation of selling accounts.
Have anyone experienced such issues, and what can we do to prevent them?
Cheers,
Yaroslav.
33 replies
Seller_sFEUMUfeW5484
How do you know that the buyer was charged? What was the order value? Was the customer a business customer?
Seller_N5iamBpAEP2V3
He contacted Amazon regarding this issue
"Reason of request: zoll
Other information: the customer asks why should he pay 16 euros for customs ?
To contact your buyer, please reply to this email or visit your seller account via the following link"
It is a regular private order. 45.82 Euros. Amazon collected €9.17 of VAT already.
Looks like it was a staff mistake at the customs.
I am reading here that other sellers have had such issues, especially in Germany.
Knowing the Amazon policies, sellers will take a hit and unfair treatment as always.
Seller_c2og08WYZAfDM
Same here several 100s orders to EU in July, all IOSS Customers under 150e and dozen claiming to have to pay VAT, germany, austria, france, belgium
Its a nightmare
Seller_hR68pED2HDzBb
We’ve had possibly over a dozen in Spain being charged again and probably the same amount simply not being delivered (which I suspect are being held at customs but just not notifying them) The charges are ridiculous too, like all EUR30-50 for something that cost between EUR10-20. We have had 5 A-Z claims since the 21s July and I’ve just refunded about 5 customers today. It is absolute chaos. We have been putting the information in correctly and I’ve spoken to Royal Mail who can’t see what the problem is - they advised I contact Amazon as its their IOSS number. I’m going to try that now but I struggle to get any help for simple issues on Amazon so goodness know how this will help anything!
Seller_AAPV5VwPGgden
Unfortunately we have the same issues with VAT charged again upon or prior to parcels delivery to French customers.
We have investigated this and here are our findings:
- There is no difference which courier or service we use - customs in some cases in France are still collecting from recipients import VAT even if it has been already collected by Amazon via their IOSS and valid IOSS has been provided on customs declaration correctly.
We have used DHL and Parcelforce. In both cases customers were charged import VAT again.
Parcelforce and DHL pointed that we have done all correctly but it is due to fact that authorities in France do not recognise Amazon’s IOSS number as an correct/valid and due to this VAT is still collected from recipients/buyers.
The same issue on ebay and only with shipments to France…(at last we did not get any complaint from customers from other countries after first month of using IOSS).
It seems that it is big mess around that and reclaiming overpaid charges+ VAT and resolving these issues will take ages.
Ebay is offering already tool where you can request refund of overpaid charges.
Amazon? I do not know yet - I will have to contact Amazon.
Is there anyone here who reported this to Amazon already and got reply? Or any resolution provided by Amazon?
In short - we all (most of us I believe) do this correctly - however we will be loosing on the end - we lost a lot of time - our customers are angry - and who will pay for all this? We - sellers. In refunds and negative feedbacks.
It is like UK sellers are now eliminated from EU marketplaces - Mission accomplished.
Seller_T3jh0pVj6SazP
same here! a big round of applause to all who voted to leave the EU! the UK will have to rejoin the EU a few years down the line as Brexit has been a complete and utter disaster for trade! Trade deals with other countries will not make any positive difference! The EU are deliberately doing this in order to teach the UK a lesson! It’s like revenge from a woman/man scorned! Did you really thnk the EU would let the UK leave in peace and quiet and make things smooth and simple? no chance!
Seller_sFEUMUfeW5484
I think the reason for this is that most people are just crap at their jobs, it’s as simple as that.
Seller_uaiI8FX2xQhdD
Any update on this ? We have so many packages affected! Double VAT payments for the customers
Seller_gZRzAMEozGzBt
I am facing double taxation in France, Spain and Italy. Despite of manually writing “VAT Paid by Amazon IOSS number” . Courier is not clearing under amazon IOSS number. I tried UPS,Parcelforce , DPD , Hermes. If you ask ask courier they say
"Your concern for the parcel is highly understandable. I am sorry to know that this situation got you worried. Please be advised that all products shipped across international borders may be subject to additional brokerage fees, as well as any duties or taxes assessed by the importing country. These fees are generally based on the conditions of the merchandise value, merchandise description, where it was made, where it was shipped, and the reason for shipping. UPS does not have control over the import fees assessed by the importing countries.
In this case, you may coordinate with Parcel2go Limited in order for them to further assist you.
"
I wrote amazon several times, but they customer service is mostly under influence of some drugs. They always give copy paste non- sense reply.
It is loud and clear that EU is not accepting amazon IOSS . They do not give any value /weightage to amazon .
I do not know how long can a small business can continue like this. IOSS number is illusion, nightmare and Fraud with Public.