EUROPEAN BUSINESS SALES

[esb-wends63]

Hi, I have reached out to the Ebay community,for advice  because after a couple of attempts I can’t get an answer to a question.

The query is. as a VAT registered member, if I sell in the UK 20% is deducted on the invoice for VAT. (e.g sale £120 = £100 nett + vat £20)

If I sell the same item to say someone in Asia or USA, and they are happy to pay the £120, that will be the payment received, and the invoice will show the amount of £120

If I sell to Europe, Ebay deduct an amount of 20% i.e £120 receive nett £100 ( I believe there is a reciprocal agreement)   

The problem I have experienced is that if someone offered, and is happy to  to pay me,  say £90 for the item, and I agree to the offer, I believe that is the amount I should receive.

Can anyone explain that when the invoice is generated Ebay again deducts 20% ie £90- £15 = £75 payment received  

• Is there a set up problem on my account
• Is there a problem on Ebays software

Has anyone experienced the same problem and how did you solve it

Cheers

[therenewalworkshopltd]

If your asking ebay to answer these kind of questions, your going to the wrong place.

HMRC or your accountant is place for this.

Where are you phsically located?  ie. UK based or elsewhere?

[esb-wends63]

hi

based in the UK

[ojewellery]

That's just how eBay is programmed to work.  It's intended.  So EU offers are gross i.e. including VAT.  When you do your accounts your sale is outside if the UK so no VAT element due.  Essentially you make/ profit  the same amount.

It's different for other countries, like USA, where the VAT element isn't deducted but for accounting purposes still count as a sale outside UK so no VAT due.