Reimbursement calculation is inconsistent or incorrect

Hello all,

@Julia_Amazon@Julia_Amzn@Spencer_Amazon

I've encountered some issues with Amazon regarding lost inventory, for which we requested compensation. While they have reimbursed us for the lost items, the way they calculated the reimbursement doesn't seem consistent.

Amazon calculated the sale price exclusive of VAT as £4.16 (from a £4.99 sale price). However, they subtracted the fulfilment fees of £3.95 inclusive of VAT, which left us with a reimbursement of only £0.21.

Since the sale price was calculated exclusive of VAT, shouldn’t the fulfilment fees also be subtracted exclusive of VAT? If this were done, the fulfilment fees would be £3.29 (excluding VAT), resulting in a reimbursement of £0.87 (£4.16 - £3.29), instead of £0.21.

This applies to all reimbursements (lost or damages, customer return) after August 1st, when Amazon started collecting VAT on FBA Fees and Referral Fees. Before this date, the reimbursement calculations were correct, as they subtracted the FBA and Referral Fees exclusive of VAT. That's because the Fees were exclusive of VAT on all reports and on their system.

After consulting with our accountant, they confirmed my concerns. This needs to be corrected immediately, as it is affecting all of us. Just go ahead and check any refunds for lost or damaged units, you will see that the reimbursed amount is not correct.