Amazon charging my customers VAT despite it being 0 rated
Hi,
I'm a newly VAT registered seller yet to complete my first return and so still dont really understand it all yet.
I have been selling a 0 VAT rated ASIN (i know its 0 rated bc my supplier did not charge VAT on it) for a while and have only just seen on the invoices amazon auto generate for my customers that VAT is being charged to them.
This has really messed my profit calcs and im now at a loss. Surely amazon have made the error here as it is defo a 0 rated item but they're issuing 20% VAT invoices to customers on my behalf? How can I have this reversed? Moreover, how can i look at the VAT rate amazon thinks an ASIN is so i can ensure it matches my suppliers rate, before chosing to join the buy box?
Any help would be very appreciated. Thanks
Amazon charging my customers VAT despite it being 0 rated
Hi,
I'm a newly VAT registered seller yet to complete my first return and so still dont really understand it all yet.
I have been selling a 0 VAT rated ASIN (i know its 0 rated bc my supplier did not charge VAT on it) for a while and have only just seen on the invoices amazon auto generate for my customers that VAT is being charged to them.
This has really messed my profit calcs and im now at a loss. Surely amazon have made the error here as it is defo a 0 rated item but they're issuing 20% VAT invoices to customers on my behalf? How can I have this reversed? Moreover, how can i look at the VAT rate amazon thinks an ASIN is so i can ensure it matches my suppliers rate, before chosing to join the buy box?
Any help would be very appreciated. Thanks
18 replies
Seller_ZJhFeE3tNKzfh
What is the ASIN of the product? Just because your supplier is not charging VAT - doesn't mean its not a zero rated product.
Seller_w5M0a9wYTqQt2
Really? They are a very big company and I'd be surprised that they would get this wrong. I asked them to double check it and they said yh its 0 rated.
In terms of the ASIN i'd rather not reveal it here.
Seller_ZJhFeE3tNKzfh
Fair enough - probably best to start here
Seller_QuM1AZgzfU9x4
None of your in-stock products jump out as being zero rated, but the post above has the link to find out more.
Seller_w5M0a9wYTqQt2
yh im out of stock in at the moment. Will drop it though tbh.
Seller_tRuvBEHDedp4q
Companies of all sizes have been known to make mistakes on whether goods should attract VAT or not.
If you do not want to share the ASIN then how about describing the goods in generic terms to see if anyone else knows the correct VAT code?
For example - 'dressing gown for age 12' would be zero rated, but a 'dressing gown for age 16' would have standard VAT applied.
Seller_w5M0a9wYTqQt2
Its a powder that you mix into water or any drink. Helps for when you do exercise.
Seller_ZJhFeE3tNKzfh
google excepted item 4a.
That would suggest sports nutrition drinks (including powders) are standard rate
Seller_SnNztJIII3ZP5
When you inputted the data for your product did you complete the section on VAT rate and set that to zero ?
Seller_d8YGbIjNqwFxn
Did you set the Product Tax Type correctly against the product
For example if you were selling children's clothing you would set it to A_CLTH_CHILD and then Amazon would issue zero rated VAT invoices.
