Marketplace facilitator order (legislation: UK VAT on eCommerce): Amazon is collecting VAT on this transaction.
Hi all,
Apologies, if this question has been asked many times before but I couldn’t find the answer for this when I look to other similar issue.
Today, I received a MFN order and with the order AMazon mentioned me that this is a Marketplace facilitator order (legislation: UK VAT on eCommerce): Amazon is collecting VAT on this transaction.
I see mostly people who have or had their business registered from overseas faced this issue but I am a UK resident, have a resident and business of both UK, yet still got this alert from Amazon.
Can someone explain what could be the possible reason behind this?
Btw, I am not a VAT registered business because my I am still very new to a business and fall way under the VAT threshold limit.
The only "out of the ordinary" thing I see in that order is it is from the following postcode: JE3 1GY.
Marketplace facilitator order (legislation: UK VAT on eCommerce): Amazon is collecting VAT on this transaction.
Hi all,
Apologies, if this question has been asked many times before but I couldn’t find the answer for this when I look to other similar issue.
Today, I received a MFN order and with the order AMazon mentioned me that this is a Marketplace facilitator order (legislation: UK VAT on eCommerce): Amazon is collecting VAT on this transaction.
I see mostly people who have or had their business registered from overseas faced this issue but I am a UK resident, have a resident and business of both UK, yet still got this alert from Amazon.
Can someone explain what could be the possible reason behind this?
Btw, I am not a VAT registered business because my I am still very new to a business and fall way under the VAT threshold limit.
The only "out of the ordinary" thing I see in that order is it is from the following postcode: JE3 1GY.
9 replies
Seller_ZVAz3d5lZuGid
That postcode is for Jersey, and the marketplace facilitator tax is correct for orders from Jersey, even if you are not VAT registered - I think their GST is 5%. You don't need to do anything.
This is the info when you google it: Amazon will automatically calculate, collect, and remit GST at the prevailing standard rate.
Seller_FQHkqHJI5SqTh
Contrary to what @Seller_ZVAz3d5lZuGidhas said, you certainly DO need to do something.
You will need to send with a CN22 and include on it Amazon's Jersey retailer number; they will have supplied it on the order, begins with a J.
Whether or not handwritten CN22's are acceptable or they need to be electronic through Click & Drop etc., I don't know.
Again I don't know how hot Jersey Customs are on this, but failure to do it could result in your customer being charged the GST again plus a fee to collect it.
Seller_76AUwmqvSyRIM
Don't forget that your revenue from this sale is lass than it would be if it was not a market facilitator order.
