UK VAT

Overview

UK VAT of 20% will be charged on seller's commission when the buyer's location is from the UK. Please refer to the example below:

UK VAT on Seller Commission Scenario:

• UK Seller & UK Buyer: UK VAT 20% will be charged on the UK seller's commission
• Thailand Seller & UK Buyer: UK VAT 20% will be charged on the Thailand seller's commission
• UK Seller & Thailand Buyer: UK VAT will not be charged because the buyer is not from the UK

Special Double Taxation Scenario Applies to the Following:

Singapore Seller & UK Buyer: SG GST 7% + UK VAT 20% will be charged on the seller's commission
Indonesia Seller & UK Buyer: ID VAT 11% + UK VAT 20% will be charged on the seller's commission
Australia Seller & UK Buyer: AU GST 10% + UK VAT 20% will be charged on the seller's commission

Sample Calculation

If you're a Singaporean seller selling to a UK buyer for SGD 100, and the seller commission is 4.99%, your net earnings will be SGD 93.66, calculated as follows:

Selling Price	SGD 100.00
- G2G Seller Commission @ 4.99%	SGD 4.99
- SG GST	(SGD 4.99 x SG GST @ 7%) SGD 0.35
- UK VAT	(SGD 4.99 x UK VAT @ 20%) SGD 1.00
Net Earning Payable to Seller	SGD 93.66