Um and then 11 thing we discussed the forwards, this not an effect of with amazon charging you with amazon taking the V A T with it being different in each marketplace. So let's say the german v A T is different to France. Italy spain and with people jumping on from different countries within europe and buying on different amazon marketplaces, you're going to be there. They should be paid from confused that Alex Wyatt: um George Reid: the words right? But essentially the V. A. T rates going to be different. Alex Wyatt: Yeah, exactly. That's I think the most simple way of saying um George Reid: by the way, for anyone looking. Alex Wyatt: Um So the V. A. T. Rates range across the EU from 17% to 27%. So that's quite a wide range of that rates there. So um what is essentially happening with the whole EU that reform is that V. A. T. Is no longer gonna be due at the sale departure country up until those distant selling thresholds are met. However, it's now going to be charged based on the sale um arrival country or the country of consumption of the goods. Um And what that means is that any website or marketplace will have to have the facility to charge the correct rate of V. A. T. Where the end customer is. And what that means for you as a seller is that you need to make sure that the prices that you list um on a marketplace are at the gross price because the marketplace is going to be deducting the V A. T from the gross price. So amazon has stated that they're going to be taking the v A T off of the price that you set, which means that if even if you're selling on amazon dot D. E and you've accounted for 19% V A T. On your prices that you've listed. But somebody from Austria, for example, buys off of your website. Um and Austria's V A. T rates is 21% You could be losing out on that 2% there. And the more kind of scary figure is maybe somebody we talked about it before, George is somebody from Hungary, for example where it's, the heart rate is 27% or Sweden where it's 25% and they buy off of amazon dot D. E and you've only accounted for um 19% V A. T. You could be losing anywhere between uh 7 to 9% V. Like in your margins which can be a huge amount. So you'd want to make sure that the prices that you're setting on these marketplaces can account for the fluctuations and V. A. T. Depending on where your customers are buying from because you don't ultimately have that decision. Um Because the customer can purchase from any Eu country on any um amazon market, they don't necessarily just have to be in Germany buying on amazon dot de. So um it's something to consider. Maybe do a price review on all of your products or some of your products that you might have small margins or um where you might not be able to take the hit on the the fluctuations of the
Thanks,
George
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