Reduced 2026 fees = bigger margins. See what you saveReduced 2026 fees = bigger margins. See what you saveVAT KNOWLEDGE CENTRE
All you need to know about VAT in one place
Welcome to our dedicated page for information about VAT. This page aims to build your understanding of the EU VAT landscape as an Amazon seller. You should be able to find information related to existing regulations and how you might trigger VAT obligations. We will also highlight what steps you need to take to ensure VAT compliance and the solutions that are available for you to utilise.
Basic concepts
What is value added tax (VAT)?
VAT stands for value added tax. It's a tax that VAT-registered traders in Europe add to the price of the goods they sell, and pass on to the national tax authorities when they file their tax returns.
If you sell goods in any EU country, it's likely you will be required to register for value added tax (VAT) in each country you sell in.
Remember that it is the responsibility of every Amazon seller to ensure that they comply with VAT regulations. Seek professional advice if you are unsure about your obligations.
If you sell goods in any EU country, it's likely you will be required to register for value added tax (VAT) in each country you sell in.
Remember that it is the responsibility of every Amazon seller to ensure that they comply with VAT regulations. Seek professional advice if you are unsure about your obligations.
How does VAT work?
The basic principle is that businesses can recover the VAT they have paid on their purchases and then charge VAT on their sales. While you pay the VAT to the tax authorities, the end consumer pays the VAT as part of the purchase price. You will only be able to recover the VAT you have paid on your purchases and charge VAT on your sales if you are VAT registered.
Sellers with a VAT number in the respective European country must state the VAT charged, including the VAT rate and number to customers on invoices, where a VAT invoice is required. In this way, the customer knows how much VAT is due on the purchased product.
Sellers with a VAT number in the respective European country must state the VAT charged, including the VAT rate and number to customers on invoices, where a VAT invoice is required. In this way, the customer knows how much VAT is due on the purchased product.
What are the EU VAT rates?
The actual VAT rates that apply vary between European countries (the standard rate must be at least 15%) and between certain types of products. In addition, certain European countries have retained other rates for specific products.
VAT guidelines offer national governments the freedom to set the number and level of VAT rates, subject to two basic rules:
VAT guidelines offer national governments the freedom to set the number and level of VAT rates, subject to two basic rules:
- The standard rate for all goods and services.
- A European country may choose to apply one or two reduced rates, but only on the goods or services specified in the VAT directive.
The standard VAT rate is the rate that European countries apply to all non-exempt goods and services. It cannot be below 15%, but there is no maximum.
VAT rates across EU member states
Member state
Code
Standard rate
Germany
DE
19%
France
FR
20%
Italy
IT
22%
Spain
ES
21%
Poland
PL
23%
Czech Republic
CZ
21%
The Netherlands
NL
21%
Belgium
BE
21%
Sweden
SE
25%
What is a VAT return?
Every VAT-registered person is obliged to file a VAT return for each relevant period. VAT filing is the process of preparing and submitting reports to tax authorities to provide them with information on your transactions in the relevant period and to provide them with the amount of VAT you are due to pay (or receive in the case of an overpayment of VAT).
A VAT return includes information on the VAT collected from customers, VAT paid to suppliers, along with cross-border sales, cross-border acquisitions, imports and exports.
A VAT return includes information on the VAT collected from customers, VAT paid to suppliers, along with cross-border sales, cross-border acquisitions, imports and exports.
FAQ:
How often should I file returns?
This depends on the requirements of the European country and the seller's obligations in that country. Many European countries require returns to be submitted every month or three months. Please consult a tax advisor to guide you further.
What are customs duties?
Customs duties may be payable when importing goods into an EU country from outside of Europe. The rate of customs duties is determined based on the HS commodity code that applies to the imported product and may be affected by the origin of the goods. The customs duties and import VAT are calculated as a percentage of the customs value of the goods. Please consult your tax advisor for further guidance.
FAQ:
What do customs duties mean for me as a seller?
Goods imported from outside of Europe may have to go through customs checks. Customs documentation (e.g. customs declarations) must be prepared and accompany imported goods. This documentation is the main source of information used by customs authorities to validate custom duties/taxes payable. However, in some instances customs authorities may check the goods to determine how much customs duties and/or tax needs to be paid and may request further information, including to establish compliance of the goods with European regulations.
What is import VAT?
Import VAT may also be payable on the same importation of goods from outside Europe into an EU country, in addition to any customs duties due. This is calculated on the customs value of the goods plus any applicable duties. Import VAT is usually recoverable through your VAT return, provided that you are registered for VAT in the country where the goods are declared to the customs authorities and you are the "owner" of the goods.
What is invoicing?
In many European countries, customers expect a VAT invoice. VAT laws in the country where you ship your goods from and where the customer is located may require you to provide a VAT invoice. The process for the issuance of a VAT invoice varies based on the country. For further information, click here.
Tax representation
If you are a seller based outside of the EU, you will be required to appoint a tax representative in some EU countries in order to register for VAT.
Tax representation is the process where an individual or business acts on behalf of a non-resident company for VAT purposes in the EU. Tax representatives in many EU countries are jointly and severally liable for the VAT debts of a non-EU-based seller.
As an online seller, there may be a need for bank guarantees and extra fees to secure the use of a tax representative. These additional requirements are dependent on the country-specific requirements and the provider of tax representation services.
Get tax representation with VAT Services on Amazon
Tax representation is the process where an individual or business acts on behalf of a non-resident company for VAT purposes in the EU. Tax representatives in many EU countries are jointly and severally liable for the VAT debts of a non-EU-based seller.
As an online seller, there may be a need for bank guarantees and extra fees to secure the use of a tax representative. These additional requirements are dependent on the country-specific requirements and the provider of tax representation services.
Get tax representation with VAT Services on Amazon
Visit our dedicated VAT information pages on Seller Central to learn more.
VAT obligations
Do I need a VAT number?
Depending on the nature of your business, you will be required to register for VAT in a European country as per the regulations. This depends on multiple factors, some of which are: location of registered office, fulfilment model and your annual sales.
Register for VAT with VAT Services on Amazon
VAT regulations across Europe
What are the different VAT regulations in Europe?
It is important for you to meet your VAT and tax obligations in all countries where your business operates. Please consult your tax advisor for guidance on how to meet your VAT obligations. While there are multiple factors involved in defining compliance requirements across the EU, we have summarised them for the Amazon marketplaces from a seller's perspective.
What is included?
VAT returns
5-step process
1) Review the product tax file
The product tax file contains details of all products that have been sold, refunded or returned in each of the countries registered in VAT Services on Amazon in the last three months.
2) Review Amazon VAT Transactions Report
The Amazon VAT Transactions Report contains relevant VAT information regarding transactions that occur in VAT Services on Amazon for registered countries.
3) Check the additional VAT report and add any non-Amazon transactions
The additional VAT report contains information on your non-Amazon sales, refunds, returns, credits, EU cross-border stock movements, purchases or imports. It can also already contain your Amazon sale and refund transactions if you have not activated VAT Calculation Services. You need to add your non-Amazon transactions so that they can be included in your monthly returns.
4) Review the draft returns
You will need then to review your draft returns, where you can see a summary of VAT liability for each country as well as the status and deadline for each return.
5) Make VAT payment
After your VAT returns have been generated by your tax service provider, you will be able to see your VAT payment due and the payment deadline for each respective country on the VAT Services on Amazon portal. This payment is not automated; you will have to make this payment yourself.
Tax representation
As described in the "Tax representation" section above, if you are a non-EU seller, you will need to provide tax representation in some EU countries in order to register for VAT.
The countries that require tax representation are France, Italy, Spain and Poland.
If you need to register in any of these countries, your tax service provider will support you with the tax representation as part of VAT Services on Amazon.
The countries that require tax representation are France, Italy, Spain and Poland.
If you need to register in any of these countries, your tax service provider will support you with the tax representation as part of VAT Services on Amazon.
Free EORI number in the UK and/or EU
The free EORI service is provided by your tax service provider. Your tax service provider will also determine for which European Union country it is appropriate to request an EU EORI number.
Real-time updates via Seller Central
Real-time updates about your VAT reporting obligations and payment deadlines via Seller Central.
Sworn translation
Automated returns — Intrastat, list of intra-Community sales, any declarations required at the local level
Important note:
a) VAT Services on Amazon does not provide support on reporting of VAT related to supply of telecommunication services, television and radio broadcasting services and electronically supplied services. These are covered in the "Mini One-Stop Shop" (MOSS) plan. To find out more about the MOSS plan and the registration process, see the relevant page on the official website of the European Commission. Please contact your local tax service provider for further assistance on these items.
b) They do not offer VAT registration and VAT reporting services in the country where your company has its registered office, and therefore would not promote the creation or filing of OSS (One-Stop Shop) reports when this law is introduced. However, we will help you identify the transactions that must be reported in your OSS returns. These transactions will be excluded from VAT returns prepared by VAT Services on Amazon. You will need to collaborate with tax agents in your current or home country for OSS returns. Contact the tax agent in your current or home country to obtain an OSS number and create your OSS returns.
a) VAT Services on Amazon does not provide support on reporting of VAT related to supply of telecommunication services, television and radio broadcasting services and electronically supplied services. These are covered in the "Mini One-Stop Shop" (MOSS) plan. To find out more about the MOSS plan and the registration process, see the relevant page on the official website of the European Commission. Please contact your local tax service provider for further assistance on these items.
b) They do not offer VAT registration and VAT reporting services in the country where your company has its registered office, and therefore would not promote the creation or filing of OSS (One-Stop Shop) reports when this law is introduced. However, we will help you identify the transactions that must be reported in your OSS returns. These transactions will be excluded from VAT returns prepared by VAT Services on Amazon. You will need to collaborate with tax agents in your current or home country for OSS returns. Contact the tax agent in your current or home country to obtain an OSS number and create your OSS returns.
Why sign up?
Cost effective
When you sign up for VAT Services on Amazon, Amazon covers the cost of the first six months of tax reporting and representation in all countries you registered in. After your first six months, you will be billed a monthly fee for VAT Services on Amazon for a minimum amount of €33.30/month (one country, not including tax representation).
Simple
Get tips on VAT registration and automated VAT returns.
All you need to do is provide us with the required data and documentation in line with the countries you choose. VAT Services on Amazon will then handle the complex, costly and time-consuming processes for you.
- Valid for all of your Amazon and non-Amazon transactions
- Experienced and trusted third-party tax service provider submitting your VAT returns
- Free EORI number in the UK and/or EU using VAT Services on Amazon*
- Service and support localised to your needs
* The free EORI service is provided by your tax service provider, who will also determine for which European Union country it is appropriate to request an EU EORI number
All you need to do is provide us with the required data and documentation in line with the countries you choose. VAT Services on Amazon will then handle the complex, costly and time-consuming processes for you.
- Valid for all of your Amazon and non-Amazon transactions
- Experienced and trusted third-party tax service provider submitting your VAT returns
- Free EORI number in the UK and/or EU using VAT Services on Amazon*
- Service and support localised to your needs
* The free EORI service is provided by your tax service provider, who will also determine for which European Union country it is appropriate to request an EU EORI number
Dedicated customer support
VAT Services on Amazon offers self-service help content as well as dedicated customer support directly provided from our Seller Support team in Chinese, English, French, German, Italian, Spanish, Korean and Japanese.
Our partners
VAT Services on Amazon has selected experienced and trusted tax service providers in Europe to bring you support at a cost-effective fee in multiple geographical locations.
When you sign up, you'll be able to choose your preferred partner from the tax service providers available for the location of your registered office.
When you sign up, you'll be able to choose your preferred partner from the tax service providers available for the location of your registered office.
Fees and promotions
VAT Services on Amazon fee
VAT registration fees — One-time fees
€50/one-time fees — to register for VAT in one country with our tax service providers.
VAT return fee — Monthly fees
starting at €33/month; total monthly fee per number of countries requiring a return
Number of countries
1
2
3
4
5
6
7
Total monthly fee
€33
€62
€92
€117
€142
€142*
€142*
*Adding the 6th and 7th countries is free of charge!
Tax representation (only if required) — Monthly fees
€21/month/country; for each country where you need tax representation.
See our dedicated VAT services on the Amazon fees page on Seller Central to find out more.
Frequently asked questions
Who is eligible to join VAT Services on Amazon?
All Amazon selling partners registered to sell on a European marketplace can sign up to the VAT Services on Amazon programme without limitation.
How do I proceed with payment? Do I have to pay tax service providers first and then get a refund?
For VAT registration, VAT filing services and tax representation, the fee will be debited directly from your main Amazon Seller Central account. We will send a communication prior to debiting your account with the amount to be debited and exact date of debit. You do not need to pay the tax service providers, you will be charged by Amazon directly after your promotion period, if applicable.
If you are interested in other services, such as tax advisory services, you can work separately with the tax service provider outside of VAT Services on Amazon. Click here to see the additional services offered by our tax service providers and the relevant fees.
If you are interested in other services, such as tax advisory services, you can work separately with the tax service provider outside of VAT Services on Amazon. Click here to see the additional services offered by our tax service providers and the relevant fees.
Do the monthly fees for VAT Services on Amazon include the VAT associated with the subscription fees?
The price does not include the VAT associated with subscription fees for VAT Services on Amazon. If applicable, this value will be included on your bill and deducted from your Amazon Seller Central account balance. It will appear as a "Miscellaneous adjustment" on your Transactions page. You can reclaim the VAT amount through your periodic VAT return as a normal input VAT charge.
What do my VAT registration fees include?
Your VAT registration fees include:
• VAT registration
• EORI (Economic Operators Registration and Identification) in the UK
• EORI in one country of the four EU countries
• Sworn translation services
• VAT registration
• EORI (Economic Operators Registration and Identification) in the UK
• EORI in one country of the four EU countries
• Sworn translation services
What do my VAT return service fees include?
Your VAT return fees include:
• VAT returns as required by the registered country
• Intrastat reporting
• Reporting on European service declarations
• Locally required reporting, such as Spesometro in Italy
• Requesting a UK and European EORI number
• Managing your VAT from Seller Central through Amazon technology
• Dedicated customer support
• VAT returns as required by the registered country
• Intrastat reporting
• Reporting on European service declarations
• Locally required reporting, such as Spesometro in Italy
• Requesting a UK and European EORI number
• Managing your VAT from Seller Central through Amazon technology
• Dedicated customer support
When will I be charged?
You will be charged a one-time VAT registration fee, per country, once you have signed up for VAT Services on Amazon. For VAT reporting and tax representation services, where applicable, we will start charging monthly fees once your first return has been filed or after your promotion period ends, if applicable.
How will I be billed?
Your VAT Services on Amazon fees will be billed and debited from the account of your main marketplace in the EU. The fees will be deducted as a "Miscellaneous adjustment" from your existing balance.
You will be billed separately for Amazon technology fees and the tax service provider, as shown in the table below:
You will be billed separately for Amazon technology fees and the tax service provider, as shown in the table below:
Number of countries
VAT return services
Billed by the tax service provider
Billed by Amazon
1
€399
€200
€199
2
€749
€400
€349
3
€1099
€600
€499
4
€1399
€800
€599
5
€1699
€1000
€699
6
€1699
€1000
€699
7
€1699
€1000
€699
More resources on VAT
EU tax authorities
Other resources
Frequently asked questions
Get answers to frequently asked questions about value added tax (VAT).
What are the consequences of non-compliance with value added tax (VAT) obligations in the EU?
EU countries operate a harmonised VAT regime. Failure to comply with VAT registration and ongoing compliance requirements within the EU has serious consequences:
- Typically you have to pay the VAT that you should have paid to the appropriate (EU) tax authorities, plus interest on the VAT from the date it should have been paid. This is usually from the date you should have obtained a VAT registration number, accounted for VAT on your sales and remitted VAT to the tax authorities (despite not charging VAT on your sales during this time).
- If the tax authorities become aware that you have failed to comply with your VAT obligations, you may have to pay a financial penalty. The amount of the penalty will typically depend on the amount of VAT due and the length of time you failed to meet your registration obligations. Late registration penalties are generally a percentage based on the VAT amount that should have been remitted to the tax authorities. The ways in which penalties are calculated differ from country to country. If you intentionally or wilfully fail to comply with your VAT obligations, you could also be subject to criminal prosecution by governmental authorities.
Should Amazon be notified that you have not met your VAT compliance obligations, you may lose your selling privileges on Amazon websites. You will be prevented from re-listing until such time you have demonstrated VAT compliance.
On the VAT resources website, we have provided you with some useful information to help you understand your VAT compliance obligations. However, this information is not a comprehensive guide and does not constitute tax advice. If you are uncertain about your obligations, we recommend that you consult the relevant tax authority or an independent tax advisor.
- Typically you have to pay the VAT that you should have paid to the appropriate (EU) tax authorities, plus interest on the VAT from the date it should have been paid. This is usually from the date you should have obtained a VAT registration number, accounted for VAT on your sales and remitted VAT to the tax authorities (despite not charging VAT on your sales during this time).
- If the tax authorities become aware that you have failed to comply with your VAT obligations, you may have to pay a financial penalty. The amount of the penalty will typically depend on the amount of VAT due and the length of time you failed to meet your registration obligations. Late registration penalties are generally a percentage based on the VAT amount that should have been remitted to the tax authorities. The ways in which penalties are calculated differ from country to country. If you intentionally or wilfully fail to comply with your VAT obligations, you could also be subject to criminal prosecution by governmental authorities.
Should Amazon be notified that you have not met your VAT compliance obligations, you may lose your selling privileges on Amazon websites. You will be prevented from re-listing until such time you have demonstrated VAT compliance.
On the VAT resources website, we have provided you with some useful information to help you understand your VAT compliance obligations. However, this information is not a comprehensive guide and does not constitute tax advice. If you are uncertain about your obligations, we recommend that you consult the relevant tax authority or an independent tax advisor.
How is VAT charged and reimbursed?
In order to charge VAT you must first be registered for VAT and obtain a VAT number. Once registered for VAT, you are subject to the VAT regulations that apply to the EU country where you are registered. Generally speaking, this means that you should charge VAT (where applicable) on your sales and show this tax on a VAT-compliant invoice (check with your tax advisor for specific advice about billing conditions).
The amount of VAT due to a local tax authority, i.e. charged to your customers, can be offset by the VAT incurred on your business purchases/costs (check with a tax advisor regarding which costs VAT can be reclaimed on).
Check the VAT reporting and billing requirements for each country you are registered in. Although these requirements are similar, there can be notable differences.
The amount of VAT due to a local tax authority, i.e. charged to your customers, can be offset by the VAT incurred on your business purchases/costs (check with a tax advisor regarding which costs VAT can be reclaimed on).
Check the VAT reporting and billing requirements for each country you are registered in. Although these requirements are similar, there can be notable differences.
How can I register for VAT in multiple countries?
If you store, move or sell goods in multiple EU countries, you may be required to register for VAT in multiple countries. If this is the case, you could be required to submit VAT returns in more than one country.
The requirements to register for VAT vary from country to country and we recommend that you consult a tax advisor, particularly if you store goods in more than one EU country or make distance sales within the EU.
The requirements to register for VAT vary from country to country and we recommend that you consult a tax advisor, particularly if you store goods in more than one EU country or make distance sales within the EU.
I sell products from a country outside the EU into an EU country. Where do I need to register for VAT?
When selling goods from one EU country into another EU country, you should be aware that the VAT requirements and rates could be different from country to country. If you store your goods in an EU country, you may be required to register for VAT in that country. Additionally, if you transfer your own goods from one EU country to another, or if Amazon (FBA) transfers your goods from a fulfilment centre into another country where you have indicated that your goods can be stored, the transfer may also be treated as a transaction, which needs to be reported on a VAT return. You are responsible for complying with all of the applicable VAT obligations, including VAT obligations on Amazon marketplaces, countries from which you deliver your goods, countries to which you deliver or ship your goods, and any other country (for example, the import country if you import goods from non-EU countries).
How soon after crossing the VAT threshold do I need to upload a VAT number in Seller Central?
You should monitor your account and apply for a VAT number from the relevant tax authority or VAT Services on Amazon as soon as you expect to exceed the threshold or believe you may be contravening a VAT registration obligation. Given that time is needed to complete the process, we recommend you apply for your VAT number sufficiently in advance of exceeding the threshold.
What is the difference between an EU VAT registration number and a local VAT number?
EU VAT registration number: a VAT registration number approved and listed in the VIES system. The EU VAT registration number is preceded by a country prefix (for example, IT for Italy, ES for Spain) from the country that granted the number.
Local VAT registration number: a local VAT registration number does not have a country prefix and is essentially only used for domestic transactions within the country that assigned the number (for example, purchases from a domestic supplier).
Local VAT registration number: a local VAT registration number does not have a country prefix and is essentially only used for domestic transactions within the country that assigned the number (for example, purchases from a domestic supplier).
What is a tax identification number?
This is the tax identification number officially issued by the country where the selling partner's business is legally established. For example, if their business is legally established in France, then their local tax identification number is their SIRET number. Similarly, if their business is legally established in China, then their local tax identification number is the Uniform Social Credit Code or, if operating as an individual, the ID number from their Chinese ID card.
The business name registered for my VAT number does not match my Seller Central legal name because of a clerical mistake. What do I do?
We cannot accept VAT numbers that don't match your legal name. You must contact the relevant tax authority to either update your business name for the VAT number registered, or request that they provide a new VAT number belonging to the legal name in your selling partner account.
You may also choose to change your business name in Seller Central, but this may (re)trigger the account verification process, and you will have to provide relevant proof to clear this verification.
You may also choose to change your business name in Seller Central, but this may (re)trigger the account verification process, and you will have to provide relevant proof to clear this verification.
Do I need to register for VAT to sell on Amazon Belgium?
Sellers on Amazon Belgium may need to register for VAT depending on where the products are stored, the countries in which they sell and how their business is structured.
For example, if products are stored in Belgium or in other EU countries, VAT obligations may apply. Tax rules may also vary according to sales volumes and the business model used.
It is important to keep accurate and up-to-date tax information before starting to sell on Amazon. New sellers can also check resources on how to sell online in order to understand the requirements for selling on Amazon better.
For example, if products are stored in Belgium or in other EU countries, VAT obligations may apply. Tax rules may also vary according to sales volumes and the business model used.
It is important to keep accurate and up-to-date tax information before starting to sell on Amazon. New sellers can also check resources on how to sell online in order to understand the requirements for selling on Amazon better.
Note: the information on this page is not the opinion of, and is not intended to be a substitute for, a professional in law, taxation or any other field. For specific advice on your VAT obligations, we recommend that you consult a tax advisor. Moreover, some legislative changes will occur in January 2021, which might affect the information provided on this page.
