B2B Sales VAT UK?
I have registered to provide automatic VAT invoices. I am a VAT registered LTD company in UK.
I am somewhat confused as to how Amazon processes these transactions.
For example I sold some DLINK routers recently and I had some private customer purchases as well as some B2B purchases as shown:
So based on this information which I extracted from my sales summary I can see that Amazon will pay me the price amount less the VAT for the B2B transactions? Is that how it works? So Amazon is collecting the VAT on my behalf for B2B sales? This is most unusual.
How do I register these B2B sales in my accounting books? Just put in the £52.07 and apply Zero Rated VAT as it was already collected by Amazon on my behalf where I assume Amazon will forward the collected VAT to the VAT man directly on my behalf?
Obviously the sales for £62.49 will be as per normal where I would pay £10.42 VAT to VAT Man at the end of the quarter for each one of those.
I appreciate the help if someone can explain if my understanding is correct.
0 replies
Seller_ejwc84JNL5Uk6
No - Amazon do not get involved in VAT in any way whatsoever m. They do not collect it on your behalf and they definitely do not send any Vat to HMRC on your behalf.
Suggest you ask your accountant for advice.
Seller_5mLDKnKu2zhvV
Are you sure the purchases in question were not outside the EU? So Channel Islands for example.
Seller_MT8rt0A2OpbCx
It looks as though you are receiving £52.81 in each case, even where the sales figure is shown as £52.07.
62.49 - 4.37 - 2.31 = 55.81
52.07 - 4.37 - 2.31 also = 55.81. I think someone has put superglue on Amazon’s abacus, or it’s a display issue.
Seller_xqoQgfCfzvBJC
that’s a good question, same query here from a oversea seller, if it works by the amazon collecting the VAT on our behalf, it will be convenient for sellers like us from other countries, however, it seems like a impossible thing basing on the now situation of all feedback of guys
Seller_Hdmu3frHmb36R
Hi,
You should really get professional advice regarding VAT matters, but the basics are:
Amazon do not collect VAT or pay VAT on your behalf.
If you are vat registered and enrolled on the Amazon VAT Calculation service then Amazon will show your item prices with VAT seperate.
If a business buyer is VAT registered and entered their VAT number into Amazon then buys one of your items they pay no VAT.
The transaction is zero rated for accounts but you need their VAT number. Obtainable from either sales report or transaction reports (someone will be along shortly to tell which exactly. 
)
Paul
Seller_MPrpH4WRyQRQC
I am going to roll in to the automatic VAT invoices,however,I am also confuse about how it works.
Seller_af9V364GeAfci
I don’t know activate the vat invoice, which address is file in on the second step.
