How often should I pay VAT on Amazon Europe? How should I declare it?

Nowadays, many merchants who open stores on Amazon will give priority to the European site because the market there is larger. However, if you open a store on Amazon's European site, you need to understand VAT. Many merchants don't know what it means. Let's introduce it and talk about how often to pay it.

1. How often do I pay VAT on Amazon Europe?

Germany and France report monthly, that is, once a month; the United Kingdom and Spain report quarterly, that is, once every three months; Italy can choose to report quarterly or monthly, quarterly reporting is reported every three months, and monthly reporting is reported once a month.

2. How to declare VAT tax on Amazon Europe every quarter?

Under normal circumstances, when the declaration period comes every quarter, J&P's customer service will remind sellers in advance to prepare relevant declaration materials, including business license, legal person ID card, input receipts and sales data, etc., and submit these materials to the customer service staff. After J&P's European accountants have calculated the taxes, tax declaration work will be carried out.

Then the seller only needs to pay the tax to J&P, and the accountant will pay the seller's tax to the local tax bureau bank account; if there is a tax refund, the tax will be refunded to the seller's VAT account as the next declaration deduction amount.

What is Amazon Europe VAT?

The EU imposes VAT on all goods and services throughout the EU. It is also known as a transaction tax, which is paid every time value is generated. This includes material suppliers, wholesalers, retailers, and consumers. This tax is of great concern and importance to local tax authorities because it can generate revenue for the government. EU tax authorities are keen to find non-compliant online merchants.

Moreover, the EU is constantly making new legislation, which makes online sellers have to pay attention. Sellers need to know that as long as they sell goods on Amazon, they need to pay VAT. If they do not pay VAT, once discovered, they have no right or qualification to defend themselves. If sellers do not understand VAT or fail to calculate it correctly, it will have a great impact on them. The tax authorities will impose corresponding penalties and charge interest for delayed VAT payment, which can be as high as 400% of the VAT owed.

I have introduced the payment time and relevant rules of Amazon Europe's VAT. Since this is a European tax policy, merchants must pay on time as required, otherwise your store may be punished, and you must also understand the VAT rules clearly.

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