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Where does it go on your VAT return?

A general guide, not advice, for UK-established sellers, based on HMRC VAT Notice 700/12 and GOV.UK import guidance.

What changed for online sellers after Brexit

  • Sales to EU customers are now exports from Great Britain. They are zero-rated in the UK if you keep evidence the goods left the UK, and EU import VAT and duty may be due when they arrive.
  • Imports into the UK are subject to import VAT. Postponed VAT accounting lets you account for it on your VAT return instead of paying at the border.
  • Marketplaces must account for VAT on some sales made through them, mainly goods sold by overseas sellers.
  • Boxes 8 and 9 on the VAT return are only used for goods moving between Northern Ireland and the EU.

How marketplace VAT rules affect you

  • If you are established in the UK and sell goods already in the UK through a marketplace, you account for the VAT on those sales yourself, as normal.
  • If you are an overseas seller selling goods in the UK through a marketplace, the marketplace is usually responsible for the VAT.
  • Consignments up to £135 imported to UK customers: VAT is charged at the point of sale rather than at the border, by the marketplace if it facilitates the sale, otherwise by the seller.
  • Your marketplace reports are records you should keep. Reconcile them against your own figures before you file.

For non-UK sellers, see UK VAT for overseas sellers.

Where online sales go on your VAT return

TransactionVATBoxes
UK sale, own website or marketplace20% (or the rate for the goods)VAT in Box 1, net sale in Box 6
Goods sent from Great Britain to the EU or outside the UKZero-rated export, with evidenceNet sale in Box 6, nothing in Box 1
Goods imported with postponed VAT accountingImport VAT on your returnVAT in Box 1 and Box 4, value in Box 7
Stock and costs from UK suppliersVAT you can reclaimVAT in Box 4, net in Box 7
Marketplace or app fees billed from overseas without UK VATReverse chargeVAT in Box 1 and Box 4, net in Box 6 and Box 7

If a marketplace bills its fees with UK VAT, treat them as a normal UK purchase.

Records online sellers should keep

  • Sales reports from your website, each marketplace and your payment providers.
  • Export evidence for every zero-rated sale, such as courier or postal proof of shipment.
  • Your monthly postponed import VAT statements, downloaded from HMRC.
  • Supplier invoices and marketplace fee invoices.

Pull these into one spreadsheet with VAT in its own columns, so your nine box totals come from formulas. See VAT for Shopify, Amazon and Etsy sellers.

Online seller? File your VAT return from your spreadsheet, from £5 a month

Bring your website, marketplace and import figures into one spreadsheet, then upload the nine box totals as a CSV and file.

  1. Connect to HMRC on HMRC's own page with your Government Gateway sign-in. We never see that password.
  2. See your VAT periods, due dates, amounts owed and payments, read from HMRC.
  3. Upload your nine box totals as a CSV. Box 3 and Box 5 are worked out and every box is checked.
  4. Submit and keep HMRC's receipt. Reminder emails arrive before each due date.
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Final thoughts

Online selling after Brexit is mostly about knowing which box each transaction belongs in. Keep your marketplace and shipping records, reconcile them before each return, and file from a spreadsheet whose totals come from formulas.

Disclaimer: This guide gives general information, not advice for your business. Selling into the EU can also bring EU VAT obligations. Speak to an accountant or contact HMRC if you are unsure.

Frequently asked questions

Checked against GOV.UK guidance on overseas goods sold to UK customers, postponed VAT accounting, VAT Notice 703 (exports) and VAT Notice 700/12. November 2026.

How did Brexit change VAT for UK online sellers?
Sales to EU customers became exports from Great Britain, zero-rated in the UK with evidence. Imports became subject to import VAT, which you can account for on your return with postponed VAT accounting. Boxes 8 and 9 now only cover Northern Ireland and EU goods.

Does Amazon or eBay pay VAT for me?
Not if you are established in the UK and sell goods already in the UK. You account for that VAT yourself. Marketplaces are mainly responsible for VAT on goods sold by overseas sellers, and on consignments up to £135 imported to UK customers.

Where do EU sales go on my VAT return?
Goods sent from Great Britain to the EU are zero-rated exports. Put the net sale in Box 6, with no VAT in Box 1, and keep evidence the goods left the UK.

How do I report postponed import VAT?
Put the import VAT in Box 1 and Box 4 if you can reclaim it, and the value of the goods in Box 7. Download your monthly postponed import VAT statement from HMRC.

How do I treat marketplace fees for VAT?
If the fees are billed with UK VAT, reclaim the VAT in Box 4 as a normal purchase. If billed from overseas without UK VAT, use the reverse charge: VAT in Box 1 and Box 4, net in Box 6 and Box 7.

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