How does Amazon handle VAT collection for EU sellers?
Last updated: 2026-08-02·Verified: 2026-08-02
📋 Direct Answer
Amazon's VAT handling depends on your setup: (1) FBA sellers: Amazon may act as deemed supplier in some cases and collect VAT on B2C sales, (2) FBM sellers: you must collect and remit VAT yourself, (3) IOSS sellers: Amazon can collect VAT on low-value imports under €150. You still need your own VAT registration and OSS filing. Amazon provides VAT calculation service (VCS) for an additional fee.
2
Requirements
VCS: additional fee
Est. Total Cost
Setup 1-2 weeks
Timeline
Item by Item
RecommendedAmazon VAT Calculation Service (VCS)Per-sale fee1-2 weeks
- 1Enroll in Amazon VCS in Seller Central
- 2Amazon calculates correct VAT rate per transaction
- 3VAT collected shown on buyer invoices
RequiredSelf-Collection (FBM)N/AImmediate
- 1FBM sellers must collect VAT themselves
- 2Set correct VAT rate per country in Shopify/your platform
- 3File OSS returns for all EU B2C sales
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- • Amazon Seller Central VAT guidance
- • Amazon VCS documentation
Disclaimer: This page is for informational purposes only and does not constitute legal or tax advice. Consult a professional for your specific situation.