How much does Amazon's European VAT charge per month? What does it mean?

Merchants who open stores on Amazon must register VAT before they can sell goods. Even if the goods are sold, they may be detained if they cannot clear customs. So how much does Amazon charge for European VAT per month? The following is an introduction.

How much does Amazon Europe VAT cost per month?

UK VAT registration fee: official time is 4-6 weeks (the fastest is two working days, the slowest is 6 weeks, the actual time is an average of 7-12 working days, depending on the efficiency of the tax bureau), the registration fee is RMB (annual package price).

German VAT registration fee: German VAT tax returns are required 13 times a year (monthly: 12 times; annual: 1 time), and the fee is 23,380 yuan;

French VAT registration fee: French VAT registration takes 4-8 weeks and costs 28,230 yuan;

Italian VAT registration fee: Italian VAT registration takes 4-8 weeks and costs 28,230 yuan;

Spanish VAT registration fee: Spanish VAT registration takes 2-3 weeks and costs 21,380 yuan, but does not include registration on VIES;

What does it mean?

The European Union 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 highly valued and paid attention to by local tax authorities because it can generate revenue for the government.

The EU tax authorities are keen on finding non-compliant online merchants. In addition, 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 will have no right or qualification to defend themselves.

If sellers do not understand VAT or fail to calculate it correctly, it will have a huge impact on the seller. The tax authorities will impose corresponding penalties and charge interest for late payment of VAT, which can be as high as 400% of the VAT owed.

After completing the Amazon store registration, merchants need to register for VAT, otherwise the store cannot operate normally. However, before registering for VAT, you may not be clear about the fees. In fact, to put it bluntly, VAT is value-added tax.

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