Urgent: Unblocking Funds and Resolution on VAT Compliance
Dear Amazon Community,
We are a company operating in the EU and the UK, with an office outside these zones and a registered legal address in Europe. We are registered with Amazon VAT Services and have all necessary VAT numbers.
Recently, Amazon informed us that we are not registered in the EU for VAT purposes, and our balances were blocked. Amazon has been collecting VAT on our behalf in the UK, and we have been paying VAT as directed by Amazon VAT Services in the EU.
Amazon VAT Services guided us through the entire process, ensuring that we complied with all VAT regulations. Despite following their instructions precisely, our payments have been blocked. We are not receiving any response from mdri-exec-escalations@amazon.co.uk as well. We are considering legal action, as we have always complied with all regulations and cannot afford to pay taxes twice.
Obtaining tax refunds from European tax regulators is a complex process that involves significant accounting costs and long timeframes, making full recovery unlikely. Given that the whole process was led with Amazon VAT Services, we are not willing to make these actions, as it was their responsibility to guide us in the taxation process. Moreover, the funds on hold are critical for procuring items for the upcoming season and paying employees salaries.
Please advise on the next steps to unblock our disbursements so we can resume trading activities without involving our lawyers.
Thank you.
@Winston_Amazon, we would appreciate your help or the help of your colleague on this one.
Urgent: Unblocking Funds and Resolution on VAT Compliance
Dear Amazon Community,
We are a company operating in the EU and the UK, with an office outside these zones and a registered legal address in Europe. We are registered with Amazon VAT Services and have all necessary VAT numbers.
Recently, Amazon informed us that we are not registered in the EU for VAT purposes, and our balances were blocked. Amazon has been collecting VAT on our behalf in the UK, and we have been paying VAT as directed by Amazon VAT Services in the EU.
Amazon VAT Services guided us through the entire process, ensuring that we complied with all VAT regulations. Despite following their instructions precisely, our payments have been blocked. We are not receiving any response from mdri-exec-escalations@amazon.co.uk as well. We are considering legal action, as we have always complied with all regulations and cannot afford to pay taxes twice.
Obtaining tax refunds from European tax regulators is a complex process that involves significant accounting costs and long timeframes, making full recovery unlikely. Given that the whole process was led with Amazon VAT Services, we are not willing to make these actions, as it was their responsibility to guide us in the taxation process. Moreover, the funds on hold are critical for procuring items for the upcoming season and paying employees salaries.
Please advise on the next steps to unblock our disbursements so we can resume trading activities without involving our lawyers.
Thank you.
@Winston_Amazon, we would appreciate your help or the help of your colleague on this one.
0 replies
Ash_AMZ
Hellio @Seller_UpVEqmG9BUDRX,
Ash here to assist. It has been understood that you have concerns as your funds are on reserve due to the VAT liabilities.
Please note that to be considered "established" in the EU for VAT purposes, a business must physically operate from within the EU with sufficient resources. Businesses that have an EU-incorporated legal entity without any physical operations within the EU are not considered established in the EU.
If you meet the criteria for having a tax address in the EU: submit the required documentation following the instructions on the Account health page, which provides a list of the necessary documents.
Did you submit the requested documents as requested?
Once submitted, we will complete the review of your request within 3 days. If we verify that your company has a tax address in the EU, your Amazon sales revenue can be paid according to your payment schedule within 24 hours.
Please comment here if you have more questions. The forums community and I, are here to assist with your concerns.
Regards,
Ash.
