How does the payment option works for the vat uk establishment
So amazon concluded that we have to pay VAT on all our sales from 2021 because they believe that we are not UK established for vat purpose even though we are(we submitted evidence for this, yet they reject it)
Now, they have got back to us with our 'vat liability' of over GBP20,000.
So what I want to know is, do I have payment option where I pay this back in installments as I do not have enough cash flow to pay this amount.
Can amazon allow us to keep selling and take some of the money every week/month until we pay it back fully.
How long does the payment plan last? 2 years? 6 months?
If any have experience on this, please shed some light.
Thanks.
How does the payment option works for the vat uk establishment
So amazon concluded that we have to pay VAT on all our sales from 2021 because they believe that we are not UK established for vat purpose even though we are(we submitted evidence for this, yet they reject it)
Now, they have got back to us with our 'vat liability' of over GBP20,000.
So what I want to know is, do I have payment option where I pay this back in installments as I do not have enough cash flow to pay this amount.
Can amazon allow us to keep selling and take some of the money every week/month until we pay it back fully.
How long does the payment plan last? 2 years? 6 months?
If any have experience on this, please shed some light.
Thanks.
22 replies
Seller_ZVAz3d5lZuGid
" they believe that we are not UK established for vat purpose even though we are".
Even if your account is registered in UK, if you do not actually live here, then that does not count as being established in UK, and if you are a non-UK resident and store your goods here for FBA then you do need to be VAT registered here.
Sorry cannot help with your payment plan query.
Seller_k2X0L9mVRT0pW
a few people in this position have asked for a payment plan but no one - to my knowledge- has ever reported being granted one.
Seller_RlZVPg3d6ZUGP
Why would you think of paying 20k if you dont need to?
Is your amazon account linked to your physical address or is your ltd registered to a virtual address?
Seller_RlZVPg3d6ZUGP
Edit: 2 years ago you said you were relocating outside the UK, did you?
also, you say your turnover has exceeded the 90k, when did your rolling turnover pass the 85k (before april) or 90k after april? dont forget thats all income not just amazon
Seller_0HwgQjBzrC6Qv
1. My amazon account is linked to a physical address where I pay rent and receive taxable goods at.
2. I do not recall me saying I am relocating outside of UK.
3. My turnover just exceeded 90K threshold after April
4. All my business income comes only from Amazon
Seller_0HwgQjBzrC6Qv
Because Amazon is forcing me to.
My account has been on hold for close to 3 months. The only response I received from my submission is from a robot and no one is helping.
What other choice do I have.
My account is linked to a physical address, same address on the document I have sent them.
Seller_RlZVPg3d6ZUGP
Did you go over 85k before April?
Have you sent invoices with your company name and amazon registered address on as the delivery address? Does that match what is on the details at companies house (assuming you are ltd)
Seller_ZVAz3d5lZuGid
"2. I do not recall me saying I am relocating outside of UK."
I think this must be the post that CherryTree is referring to, from a couple of years ago and asking about using a VPN: "I am relocating outside of the country I opened my account "
(if you're wondering how this was found, it is possible to see all posts and threads that sellers have posted on, by clicking on the seller's name in the forum).
Seller_KlbXZHzQGSDZv
Will make a "littleshop" of you yet jillyb excellent reply.
On the subject of the 20k something seems a bit out there if you turned over 90K apr to apr then that alone is 17 odd k from that year alone never mind 21-22 22-23
Seller_0HwgQjBzrC6Qv
I did go over 90K before April.
I have sent invoices that has my name(I am the director of my company) on it with amazon registered address on the delivery address.
I also sent invoice with my company name on it.
Yes the address matches the details on the companies house.
Winston_Amazon
Hello @Seller_0HwgQjBzrC6Qv,
Can you explain your current situation that you are having now? Are you still in the process of resolving this?
