EU Sales through Amazon UK
Hi, I have recently started selling on Amazon as an FBM seller from UK. I had not initially wanted to sell in the EU, however I was signed up for EU Marketplace. I have gone through and altered the EU Prices and Shipping fees for the countries on the list so that should order come from here the pricing and shipping will be correct to take into account the additional costs. I’m not VAT Registered and will only have low sales figures so relying on Amazon’s automated vat capture to deal with this if needed.
Today I received an order from Hungary which is great, however I can’t see that there is an Amazon Hungary, therefore I am being charged VAT by Amazon on my UK product price and only have the UK shipping charge which is not sufficient. In effect if I send the goods I am going to lose money as my margin isn’t very big. I don’t want to cancel the order as I’ll get negative feedback. Unless I’m missing something it looks like if a customer anywhere other than the UK places and order through the UK site if if there is a local site, I’m going to suffer a loss, either in monetary terms or reputation. I can’t see a way to stop this, does anyone know if there is something I’ve missed?
Regards,
Anthony.
0 replies
Seller_FbAAgVzSus6Gl
Hey you may have to configure your account so that sales can only be made Nationally. The other option I’d recommend is to get VAT Registered in 1 EU Country > Send all your stock there > fulfill all EU Orders from this country.
Seller_NoMNQDGnEW5Bx
Have you taken international shipping off all your uk shipping templates ?
Seller_tRuvBEHDedp4q
Unfortunately this is now correct. EU Laws were passed last year making Amazon (and any other major online retailer) responsible for collecting the VAT. They do this by removing VAT from what they pay you and charging it to customer. Amazon do this whether you are VAT registered or not as apparently they cannot program their system to work out whether VAT should be removed for its non VAT registered sellers.
Seller_tRuvBEHDedp4q
You can get international orders in one of 2 ways.
People buy from the UK site and ask you to ship internationally. You turn this functionality off by unticking the ‘International settings’ option in all your Shipping Templates on the UK site.
You are advertising/listing your products on the various EU sites - this is turned off as TLS says in Holiday Settings.
If you have done both Amazon will not let anyone from outside the UK to buy your items.
If you want to advertise on say the French site then you need to again turn off International Settings on all Shipping Templates on the French site. If you do not then someone in say Hungary can buy from the French site. If (for example) Hungary VAT is 25% then Amazon will deduct the 25% VAT from the sale for the Hungarian customer and disburse you the difference.
