i am selling close to the VAT threshold - what will amazon do?
I deliberately sell under the VAT threshold to avoid registering for VAT (not just on amazon, i keep my entire sales under the limit for the year) but my business is seasonal and so some months are bigger. If I sell 10k in a month will maazon write to me or force me to get registration for VAT? I am UK based. Has anyone gone through this?
i am selling close to the VAT threshold - what will amazon do?
I deliberately sell under the VAT threshold to avoid registering for VAT (not just on amazon, i keep my entire sales under the limit for the year) but my business is seasonal and so some months are bigger. If I sell 10k in a month will maazon write to me or force me to get registration for VAT? I am UK based. Has anyone gone through this?
2 replies
Seller_hOZNPw7G8FIjl
As of April 2024, sellers have to register for VAT if their turnover is more than £90,000. This is calculated on a rolling 12 months.
So if your turnover over the last 11 months is £81k and the current month's is £10k, that will tip you over the threshold and you must register for VAT.
It would be an idea to keep a spreadsheet of your monthly turnover and calculate the rolling 12 months value so you can see if you are close to going over the threshold.
Seller_76AUwmqvSyRIM
They may have some systems which alert them when your projected annual sales are likely to exceed the threshold but they can't know about the amount of sales off-Amazon.
So realistically, if you are doing what you are doing (something which I have never understood personally), nothing is likely to happen.
