Amazon B2B product-specific VAT changes

Category: Amazon News
Amazon B2B product-specific VAT changes

Amazon are extending the scope of the European VAT Calculation Services Methodology policy to apply B2B product-specific VAT calculations to certain types of listings across Amazon’s European marketplaces.

These changes only apply to orders enrolled in the VAT Calculation service, for which sellers are responsible for the collection and remittance of VAT to the relevant tax authorities. Amazon’s VAT Calculation Service provides sellers with tax calculation, VAT invoicing and transactional VAT calculation reporting functionality. By enrolling in Amazon’s VAT Calculation Service, Business Sellers will also be able to surface VAT exclusive prices to Amazon Business customers. VAT exclusive prices will only be visible to Amazon Business customers and only if you are enrolled in Amazon’s VAT Calculation Service.

The current European B2B product-specific VAT calculations will be extended to include certain sales in the Netherlands and Slovakia. Effective from the 10th of May 2023, Amazon will apply the product-related domestic reverse charge (0% VAT) to sales that meet the following conditions:

  • Sale of electronic items subject to the product-related domestic reverse charge:
    • In the Netherlands, this includes cell phones, computer chips, e-readers, laptop computers, tablet computers, or video game consoles.
    • In Slovakia, this includes cell phones or computer chips.
  • Domestic B2B sales
  • Shipment value is above applicable threshold:
    • In the Netherlands this is EUR 10,000
    • In Slovakia this is EUR 5,000
  • Sale occurs in the Netherlands or Slovakia

    For more information on the upcoming changes, check out the “Changes to program policies” page on the Amazon website.

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