Amazon hikes UK seller fees in response to digital services tax
Miles Dean, Head of International Tax, comments in Accountancy Daily in relation to the news that Amazon has been accused of “opting out” of fair taxes after passing on a levy on tech giants to small businesses.
Miles’ comments were published in Accountancy Daily, 6 August 2020, and can be found here.
“Online marketplace Amazon is to increase fees for UK sellers next month by 2%, in response to the introduction of the UK’s digital services tax (DST), in a move which is likely to increase costs for small businesses and traders who use the platform
The US company’s fee hike follows a similar decision last year after the introduction of a 3% DST in France, when sellers there saw their fees raised by the same amount.
Miles Dean, head of international tax at Andersen in the UK said: ‘It should come as no surprise that Amazon is passing the cost of this new tax onto its customers.’
‘It might not be fair but Amazon won’t be the only online company to be passing this cost on – the article even states that some of the retailers are passing the cost on to their customers.
‘Any prudent business would do the same, especially a listed company whose stakeholders would expect the cost to be passed on.’”