Sellers who open stores on the Amazon platform are generally more profitable, and Amazon sellers generally involve tax expenses in the process of trading. So how are American Amazon sellers’ taxes calculated? This will be introduced in detail below.
The specific algorithm of taxes for Amazon sellers in the United States is as follows:
1. The seller’s import tax is equal to the tariff IMPORTDUTY + the import value-added tax IMPORTVAT;
2. The tariff DUTY is equal to The declared value of goods is multiplied by the product tax rate. The tax rates for different products are different;
3. Import value-added tax MPORTVAT is equal to (declared value of goods + first-leg freight + tariff) multiplied by 19%;
4. Sales VAT is equal to (after-tax sales price/(1+tax rate)) times the tax rate;
5. The actual paid VAT is equal to sales VAT – import VAT – other applicable Deduction amount.
Amazon seller taxes mainly include the following types:
1. Import tax. If buyers purchase goods from overseas to China, they need to pay import taxes.
2. Consumption tax. Consumption tax mainly applies to goods sold by Amazon in some countries, mainly including consumption tax, value-added tax and service tax determined by the government.
3. Export tax. Goods sold domestically to overseas and shipped through international logistics services are subject to export taxes.
4. Tariffs. As long as you buy or sell goods in cross-border e-commerce, you need to pay tariffs.
5. System development tax. This tax is mainly for the purchase of third-party software and the tax on software services provided by Amazon.
Generally, if the price of a product exceeds US$200, it needs to be declared to US Customs and make a tax declaration. When buyers purchase overseas goods, they need to request a VAT tax invoice from the seller, which is beneficial to tax work. When buyers purchase overseas goods through purchasing agents or businesses, they need to try to avoid multiple transactions and pay taxes in a timely manner to avoid tax arrears. Amazon sellers need to carefully understand relevant laws and regulations and can establish contact with local customs.
The above content has provided a detailed introduction to the calculation of taxes for Amazon sellers in the United States. Sellers need to pay attention to timely payment of taxes in the process of operating stores, and also follow up on policy changes on taxes in real time to avoid being Tax arrears will cause problems in the store and prevent it from operating normally, which will have a great impact on the seller’s interests.