What is the VAT percentage for Amazon Germany? What are the types?

As the Amazon platform continues to grow, more and more merchants are opening stores on this platform. For Amazon merchants, there are many aspects that need to be understood, such as what percentage of Amazon's VAT in Germany is? The following is an introduction for everyone.

What is the VAT percentage for Amazon Germany ?

Amazon officially announced that its VAT service will update its charging structure in 2022.

From January 1, 2022, sellers registered for VAT Services on Amazon will be charged a monthly VAT filing and fiscal representation fee of €33.30.

Amazon VAT Services Europe is a VAT compliance solution: it allows sellers to manage their European VAT registration and reporting obligations in up to seven countries (the United Kingdom, Germany, France, Italy, Spain, Poland, and the Czech Republic) through a third-party tax services provider.

Simply put, the program is designed to help sellers better comply with Europe's VAT requirements, which means that all businesses operating in Europe must collect consumption taxes on their goods and products, and every time a customer buys their products, the price they pay includes VAT.

What are the types of VAT?

There are three VAT rates:

20% standard tax rate (applicable to most goods and services); 5% low tax rate (such as household electricity or gasoline); 0% tax rate (applicable to very special cases). The actual VAT that the seller needs to pay = sales tax VAT - import value-added tax (IMPORTVAT).

Import VAT = (declared value of goods + first-leg freight + tariff) × 20% (the seller can apply for a refund of import VAT). Usually, sales tax VAT refers to the after-sales tax that must be paid after the goods are sold.

Different categories of products are charged different VAT rates. The vast majority of products are charged at the standard VAT rate of 20%. In the EU market, the general sales tax VAT is borne by the customer.

That is: sales tax VAT = product price × 20%. It should be noted that the VAT number is unique, and the overseas warehousing service company you use cannot pay the VAT on your behalf, and you cannot use the VAT number of the overseas warehousing service company or other individuals as your own VAT account number.

Now more and more people choose to do cross-border e-commerce. Sellers need to understand the VAT calculation service and should be objective about the changes in Amazon's VAT service charges. After all, this service greatly facilitates sellers' VAT declaration and saves them a lot of energy.

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