Amazon require all the Germany sellers register VAT before 1st March 2019. We are the pet products factory, our customers told us the term of the Germany VAT is coming, does the Germany sellers have registered and submitted the VAT number? If not,then you have to think about the continuous operation on Amazon.
Some sellers are selling for some time if you do not want to make up the high cost. You can consider registering a new account and VAT to continue the items. Germany market is the biggest market in the EU, it is necessary to register the VAT number.
Here are some questions we need to know about before the Amazon Germany VAT registration:
Q: How about the Germany tax law requirement for the seller’s VAT registration.
A: It is suitable for import, business trade, and service in Germany. The VAT is suitable for the sellers using an overseas warehouse. According to the EU tax law, no matter in which country you sell the items. If the item stores and ship from local country, then the seller needs to register the VAT number.
Q: How long does it take for the Germany VAT registration?
A: According to the tax law, the company needs to fill the tax of the previous month before the 10th every month. It needs a summary at the end of the year, which is 12+1 times filling tax.
Q: When do I need to register VAT?
A: The seller needs to register from the 1st order. Sellers need to pay attention that, it has no relations with the site of the consumers ordering site. For instance, 1 customer bought 1 item on amazon.fr, but it is shipped from Germany warehouse, then this item belongs to the Germany VAT registration.
Q: What about the function of EORI, how many does it need to register?
A: EORI is the unique identification code and used in the customs clearance. It is generic in the EU, no need to repeat the application.
Q: What about the tax rate?
A: In Germany, books, newspaper, food and agricultural products are subject to a 7% rate. But other major products and services are subject to a 19% rate. Sellers need to separate the low tax rate in the UK, UK sellers can applicate a low rate if the year sales amount is under 150 thousand GBP.
Q: I do not have the account, can I first register Germany VAT and use it?
A: Of course. Sellers register Germany VAT must have eBay and Amazon account. If you have both 2 accounts, then you need to make an indication of the use.
Q: I have the UK VAT, do I need to apply for the VAT of Germany or other EU countries?
A: If the item you ship to DE or other EU countries, it is delivered from UK warehouse to DE or other EU countries, then according to the EU Distance Selling Regulation, sellers can use UK VAT, the items shipped from UK FBA.
If it is under the Distance Selling Regulation law, then sellers do not need to apply for other EU countries VAT.
But you need to register the VAT if the 12 months sales over 100 thousand Euros in Germany and 35 thousand Euros in France and Italy.
I hope it is clear for the Germany sellers if you want to do longterm business in Germany, it is necessary to register the VAT number asap. Hope this post will help you to know more about Amazon Germany VAT Registration.
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