Selling on Amazon in the USA When you're not living there
One of the greatest things the internet has brought forth, is that it does connect the world in ways we haven’t been connected before.
And although it does have its drawbacks , you just have to look at the average you tube comment section for proof of that, the pros outweigh the cons.
In the particular case of selling on Amazon, it is for instance quite possible for you to sell on Amazon in the United States, even if you don’t live there.
Read our article on how to sell on Amazon HERE
What most don’t tell you however, is that there are certain things you can’t really utilize living abroad and that there are certain limitations:
- For instance your order may be blocked by certain retailers, because you don’t have an USA creditcard or Paypal account.
- If you live in certain regions of the world it may be that Amazon can’t pay you directly into your local account, which means you have to use a 3rd party service who operates as an intermediary.
- And you most definitely have to use a prep center.
Now if you don’t know what a prepcenter is;
It ‘s basically a company who will check, prepare and ship your item to an Amazon warehouse.
Another painpoint , although it becomes much more relevant later on, is a little thing called salestax, also known as VAT.
Now in the beginning you won’t show up on any radar and most sellers I know really only start worrying about this once they hit a 5 or 6 figure revenue.
The key however, is to determine where you have Nexus ( i.e. where are your goods stored) and in order to determine this, you really need to get advice of a tax professional.
Depending on the agreement between your government and the USA, you might not have to pay sales tax and just pay income tax in your country.
If you happen to live in the states, also go to a professional but I think it is safe to say to open a LLC in a state where there is little to no salestax.
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