Amazon UK Demanding 3 Years of VAT – Not VAT Registered

[susan_emelia]

I deregistered my UK company from VAT in 2018 (well below the threshold), but now I’ve moved to Australia and Amazon UK is clawing back 3 years of VAT. They’re withholding all my sales revenue and charging customers VAT, even though I’m not VAT registered.

I never collected VAT, so I can’t pay what they’re asking. If I just shut down my Amazon seller account, can they still chase me or pass this on to HMRC?

[ft16]

Originally Posted by susan_emelia

I deregistered my UK company from VAT in 2018 (well below the threshold), but now I’ve moved to Australia and Amazon UK is clawing back 3 years of VAT. They’re withholding all my sales revenue and charging customers VAT, even though I’m not VAT registered.

I never collected VAT, so I can’t pay what they’re asking. If I just shut down my Amazon seller account, can they still chase me or pass this on to HMRC?

As you're not a UK resident the threshold does not apply and you need to be registered for VAT to sell on amazon.co.uk.

Amazon is very unlikely to chase you if you close the account, especially as you're not in the UK, but have probably already passed your details onto HMRC.

[susan_emelia]

Got it, thanks for clarifyingI didn’t realise the threshold didn’t apply for non-UK residents. I’ll look into whether HMRC has already been contacted and decide if closing the account is the safest move now. Appreciate the insight.

[murdered_by_ebay]

even if HMRC has been contacted you should lay low , they may not investigate you at all. additionally it is amazon's responsibility to charge VAT on your behalf so it should not be your problem , let them pay it if they want to

[JamesNorth101]

Originally Posted by susan_emelia

I deregistered my UK company from VAT in 2018 (well below the threshold), but now I’ve moved to Australia and Amazon UK is clawing back 3 years of VAT. They’re withholding all my sales revenue and charging customers VAT, even though I’m not VAT registered.

I never collected VAT, so I can’t pay what they’re asking. If I just shut down my Amazon seller account, can they still chase me or pass this on to HMRC?

When did you move to Australia? If it was recently they cannot backdate it 3 years if you were in the UK and under the thresholds

[gladys]

Originally Posted by susan_emelia

I deregistered my UK company from VAT in 2018 (well below the threshold), but now I’ve moved to Australia and Amazon UK is clawing back 3 years of VAT. They’re withholding all my sales revenue and charging customers VAT, even though I’m not VAT registered.

I never collected VAT, so I can’t pay what they’re asking. If I just shut down my Amazon seller account, can they still chase me or pass this on to HMRC?

That’s a tough situation. Even if you close your account, Amazon could report it to HMRC. Best to get advice from a VAT professional or contact HMRC to clarify your obligations first.