eBay announcement about VAT compliance for overseas sellers

eBay have made an announcement regarding UK VAT compliance by overseas sellers. It would seem that eBay is busy behind the scenes trying to ensure sellers are paying their appropriate taxes. In the Budget earlier earlier this years HMRC was granted new powers that means it could hold the marketplaces jointly liable if a sellers wasn’t compliant.

What we don’t know is how many, if any, sellers have since become compliant or whether any have been permanently banished from eBay.

Below is the text verbatim. You can see it on the the eBay UK announcement board here.


Earlier this year, the UK government announced new measures to tackle the non-payment of VAT by overseas sellers whose goods are forward deployed to the UK.

We work closely with HMRC to ensure our sellers comply with their VAT obligations. If we are informed by HMRC that a seller is not complying with these requirements, then we will take appropriate action, up to and including permanent suspension.

We have already contacted hundreds of overseas sellers to notify and educate them on the need to comply with the law and we will continue to remind sellers of their obligations.

To ensure you are compliant, and for further details on this issue please read the latest guidance from HMRC at: https://www.gov.uk/guidance/vat-overseas-businesses-using-an-online-marketplace-to-sell-goods-in-the-uk

eBay remains committed to providing a level playing field for all sellers and we will continue to work closely with HMRC on this issue.

The eBay Team”