Amazon, the undisputed giant of E-commerce and privileged platform of distance selling, now offers its professional sellers the service “Shipped by Amazon-Pan-European”.
The service “Shipped by Amazon Pan-European”, what is it ?
By choosing this service, the seller makes his stock available to an Amazon warehouse in his country, and Amazon is then responsible for distributing stocks between its warehouses in other Member States, closer to customers.
A service to boost turnover
For the seller, the service makes it possible to effortlessly reach customers throughout the EU while simplifying the management of its stock and outsourcing the shipping of products.
Pay attention to VAT obligations
The service “Shipped by Amazon-Pan-European”, if it presents no tax risk, requires for the seller a VAT registration in all the Member States in which its customers are located.
An example with a French company
With the “Shipped by Amazon-Pan-European” service, goods are shipped from the buyer’s country: the German customer is delivered from the Amazon warehouse in Germany, while the Spanish customer is delivered from the Amazon warehouse in Spain. The French company therefore carries out local sales subject to VAT in Germany and Spain, it must therefore register there.
Amazon and tax administrations increased attention
In the United Kingdom, Amazon is responsible for the VAT refund by its sellers. This is why Amazon.co.uk already imposes VAT registration in the United Kingdom on all of its salespeople who have chosen the service and have customers in the United Kingdom. Similar regulation is foreseen at European level, the other Member States should follow quickly.
Moreover, the tax administrations of the Member States are extremely vigilant today and take advantage of the dematerialization of information: just go to the page of an Amazon seller and read the comments to determine in which State Member products are actually sold.
If you have opted for the “Shipped by Amazon-Pan-European” service, contact ASD Group as soon as possible to ensure compliance with tax regulations. We will allow you to quickly obtain a VAT number and we will take care of all your declarative obligations.