VAT charge when buy from supplier on Alibaba
Hi,
I bought product from the supplier on Alibaba and was surcharged VAT tax “According to the relevant Laws and Regulation, depending on the destination of your shipment, we will calculate and collect VAT/GST/Sales Tax (“Tax”) when you place an order. If you are a registered business buyer, you may submit your applicable certificates to us. Your future order will be exempted from the Tax if you provide a valid certificate.”. Does anyone have experience with it? will I have to pay VAT import when my goods arrive in UK? Should I register a VAT number in the UK to update on Alibaba account or VAT in China? Sorry I am quite a newbie. Appreciate for your prompt commendation.
VAT charge when buy from supplier on Alibaba
Hi,
I bought product from the supplier on Alibaba and was surcharged VAT tax “According to the relevant Laws and Regulation, depending on the destination of your shipment, we will calculate and collect VAT/GST/Sales Tax (“Tax”) when you place an order. If you are a registered business buyer, you may submit your applicable certificates to us. Your future order will be exempted from the Tax if you provide a valid certificate.”. Does anyone have experience with it? will I have to pay VAT import when my goods arrive in UK? Should I register a VAT number in the UK to update on Alibaba account or VAT in China? Sorry I am quite a newbie. Appreciate for your prompt commendation.
17 replies
Seller_DTufFoxJuMU0M
Sounds to me like they are collecting the VAT and sending DDP, although I can’t be sure of that as I don’t import.
You shouldn’t base your vat registration status on because Alibaba told you to… Vat Registration incurs extra fees, extra vat returns etc - it is a discussion you should have with your accountant.
Seller_7VbclcPFFRTnc
Just to add on to the thread a separate issue
As a new seller particularly, amazon may request your supplier invoices for 3 random listings
Alibaba invoices tend not to be accepted, they need to be from your supplier directly and not pro forma
They may also request these for ungating certain categories
Seller_DTufFoxJuMU0M
You won’t have to register for Vat in China unless you are storing goods in China.
You only need to worry about UK (assuming you are a resident here) and any other countries where you plan on storing stock to be sold.