Providing VAT Invoices to Amazon Business customers

What are Amazon sellers required to do regarding VAT invoices for Amazon Business customers?

As an Amazon seller, you are required to provide Amazon Business customers with a correct and legally valid VAT invoice, if applicable, for each order within one business day after the dispatch of the order was confirmed. Similarly, credit notes on returns from Amazon Business customers must be provided within one business day of return confirmation. Amazon offers a free VAT invoicing solution (Amazon VAT Calculation Service) to provide invoices and credit notes, in which case the invoice is automatically available for download in the customer account. If you are not using the Amazon VAT Calculation Service, you can upload your invoices and credit notes on Seller Central either manually via Manage Orders or automatically through your solution provider.

How do I know if an order was made by an Amazon Business customer?

Information on whether an order was placed by an Amazon Business customer can be found in the order details (Order Report, FBA Report, Manage Orders page in Seller Central and XML data feeds).

Why do I have to provide invoices and credit notes?

As an Amazon seller, you have to comply with all applicable legal requirements as well as the Amazon Services Europe Business Solutions Agreement and relevant Amazon policies. Amazon Business customers require invoices, receipts and credit notes for tax and accounting purposes. Failure to comply can result in actions being taken against your selling account.

Why can I not include the invoice in the parcel or send it in an email?

Business customers have indicated that they prefer downloadable invoices over invoices in an email or paper invoices sent in the parcel. Billing and shipping addresses might vary within an order and it cannot be guaranteed that the intended recipient of the invoice will receive a paper invoice that was put in the parcel. Those invoices are also more likely to get lost. Having invoices available to download ensures that you are providing the best customer experience. You can still include a duplicate of the original invoice in the parcel, but should mark it as such.

What about invoices that fall under the e-invoice requirement in Italy?

E-invoicing is mandatory for B2B transactions where the seller and customer are both based in Italy. Sellers are required to create an invoice in XML-PA format and submit it directly to the Tax portal, Sistema di Interscambio (SDI). In addition, a PDF copy of the invoice must be uploaded via MWS API through their solution provider (preferred) or manually through Manage Orders.

I am VAT-exempt and thus cannot provide VAT invoices. What do I have to do?

If you are not required to apply VAT on your sales, you are required to provide a receipt for each order from an Amazon Business customer. Receipts need to include the following information:

1. Seller legal name and address
2. Customer legal name and address
3. Date of issue
4. Type and quantity of products supplied
5. Gross price per item as well as total payable amount

What do valid VAT invoices and credit notes look like?

VAT invoices and credit notes have to comply with applicable law. Based on the EU VAT Directive and UK VAT Regulations, invoices and credit notes must contain certain mandatory information and certain country-specific details might need to be included as well. Further information on requirements in the EU is available here and in the UK here. Please consult your tax advisor for further guidance.

I do not have the means to provide VAT invoices and credit notes to Amazon Business customers. What can I do?

Amazon offers a free VAT invoicing solution for all of your Amazon orders. This solution also issues credit notes. More information about the solution and how to activate it can be found here. Alternatively, third-party invoicing solutions are offered by several providers.

Can I use this solution to provide invoices and credit notes to all customers?

Yes, the free VAT invoicing solution will provide invoices and credit notes for all of your Amazon orders and customer returns.

I am already using the free VAT Calculation Service from Amazon. Do I still have to provide invoices or credit notes and send them to Business customers?

You must ensure that you no longer produce VAT invoices or credit notes for any orders that occur after enrolling into VAT Calculation Services. However, you remain responsible for the creation and provision of VAT invoices and credit notes for any orders that are shipped from countries in which you store FBA stock and have not entered a valid VAT number. You can check here on your VAT invoice responsibility.