I'm NETP with a UK company + UK VAT number. Will Amazon now allow me to pay my own VAT rather than deducting at source?
I've recently realised after 3 years that i'm technically NETP and Amazon are now billing my back-VAT. This is fine however now I'm VAT registered I have to file my VAT returns and am in a tricky position in terms of where sales are accounted for. I would like Amazon to stop deducting at source, and let me account for sales VAT on my own return as this causes tons of problems.
a) If I go FRS then VAT should be 12% rather than 20% so how do I tell them this?
b) If I stay on the main scheme then how do i account for the VAT having already been paid when I file my return? VAT are NOT going to be happy that most of my returns involve them providing a refund rather than the other way around.
Even the UK VAT helpline suggested that Amazon shouldn't be holding on to the VAT now I'm registered but this doesn't tally with what Amazon are saying. Any other NETP people who can offer some thoughts?
I'm NETP with a UK company + UK VAT number. Will Amazon now allow me to pay my own VAT rather than deducting at source?
I've recently realised after 3 years that i'm technically NETP and Amazon are now billing my back-VAT. This is fine however now I'm VAT registered I have to file my VAT returns and am in a tricky position in terms of where sales are accounted for. I would like Amazon to stop deducting at source, and let me account for sales VAT on my own return as this causes tons of problems.
a) If I go FRS then VAT should be 12% rather than 20% so how do I tell them this?
b) If I stay on the main scheme then how do i account for the VAT having already been paid when I file my return? VAT are NOT going to be happy that most of my returns involve them providing a refund rather than the other way around.
Even the UK VAT helpline suggested that Amazon shouldn't be holding on to the VAT now I'm registered but this doesn't tally with what Amazon are saying. Any other NETP people who can offer some thoughts?
7 replies
Seller_ZJhFeE3tNKzfh
I know on point a) that from other recent threads, amazon don't recognise the flat rate scheme
Seller_JkTq8VxPcrhoa
This is unfortunate, many are facing the same situation and i hope it comes to a better solution. Did you pay any amount to HMRC in terms of VAT before.? or you get registered through Amazon VAT services.
As far as i know by reading all cases, Amazon itself liable to collect VAT for all NETPs. and that too they are deducting 20% rate and not giving the option to choose for flat rate scheme.
Seller_RlZVPg3d6ZUGP
So have you paid HMRC everything you owe from the last 3 years or are Amazon paying that?
Have you given Amazon your VAT number?
Seller_SZGqyAQCvjNVA
I have a UK company VAT registered and they say I'm not domiciled for VAT purposes and are collecting the VAT. I was also on the flat rate scheme which worked quite well but now I have swapped over to regular VAT payments. My VAT account is up to date, yet Amazon are refusing to provide any information about the claimed back-taxes (such as reports or information as to how the back amount was calculated, spreadsheets on the affected sales, or simple explanation how to claim the back tax from HMRC), it's frustrating when simple requests for information are not replied to for months.
Seller_6j4opF67t253D
Use software like LinkMyBooks to automate your financial data from Amazon and post it in your Xero or Quickbooks acount. It is Xero and Quickbooks that will calculate your FRS that has to be paid to HMRC.
