Marketplace Facilitation Tax
Dear Sellers,
I am a UK resident and my company is registered in the UK. My orders are shipped from a US warehouse to UK customers. I am not VAT registered in the UK. Why is Amazon collecting marketplace facilitation VAT from my orders?
Thank you
Marketplace Facilitation Tax
Dear Sellers,
I am a UK resident and my company is registered in the UK. My orders are shipped from a US warehouse to UK customers. I am not VAT registered in the UK. Why is Amazon collecting marketplace facilitation VAT from my orders?
Thank you
Seller_7VbclcPFFRTnc
What are Marketplace Facilitator regulations and how can these affect my business?
Countries are implementing Marketplace Facilitator regulations which mean, under certain conditions, Amazon is liable to collect and remit VAT from customers in respect of your marketplace transactions. One of the elements needed in this respect is confirmation of your business address. It is therefore important to keep your business address up-to-date.
What happens if I provided a default ship-from address which is not my actual ship-from address?
When Amazon calculates taxes for your marketplace transactions, the total price including VAT is displayed to the customer at check out (based on your VAT inclusive list price). One of the factors that impacts this tax calculation is the default ship-from address. If your actual ship-from address is in a different country, this may lead to VAT calculation errors. It is therefore important to keep your ship-from address up-to-date.
You may also want to check any US tax obligations you may have
12 replies
Seller_7VbclcPFFRTnc
Because your stock is shipped from US to UK customers
As soon as they see your ship from address is non UK, it triggers MFT
