***Changes to VAT on eBay fees for business sellers with a UK-registered address***

01 August, 2017 | 01:36PM BST

Hello,

From today, business sellers with a UK-registered address will contract with eBay (UK) Limited instead of eBay Europe S. à.r.l. That means we’re now required by HMRC to add UK VAT to all fees billed to business sellers, at the standard rate of 20%.

We’re not changing our net fees, or the services we provide, and sellers won’t need to update any of their listings. This change will appear on August invoices.

Business sellers registered for VAT will be able to claim an input tax credit if they’re entitled to deduct VAT. This change won’t represent an additional cost to them.

Business sellers not registered for VAT or using the flat rate scheme won’t be able to reclaim VAT paid.

We’d recommend all business sellers to consult their tax advisers to find out how VAT applies to their eBay businesses.

This change affects a number of our agreements, including our User Agreement, User Privacy Notice, and Billing Agreements.

We currently already charge 20% UK VAT on seller fees for non-business sellers. This won’t change, and non-business sellers won’t see any changes in their fees.

Regards
The eBay Team