Will I Have to Pay for Tax or Customs on My Order?

When a package ships internationally, it may be subject to import taxes, customs duties, and/or fees imposed by the destination country. These charges are typically due once the package arrives in the destination country. Depending on the country, the buyer may be required to pay these charges at the time of delivery, or Etsy may be required to collect the tax at checkout and remit it to the tax authorities. 

When selling domestically, it's normally the seller's obligation to collect any sales taxes, VAT, or similar taxes on the orders and pay those amounts to the relevant tax authorities. However, many US states and Canada in some instances require online marketplaces like Etsy to collect sales tax at checkout on certain purchases within the US/Canada. Purchases for which Etsy is required to charge sales tax at checkout differ between states and countries.

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Am I responsible for paying customs fees?

There are two types of taxes charged when goods are imported into a country: customs fees and VAT (or similar tax).

Customs fees are placed on physical goods that are imported into a country from another country or territory. These fees are applied to international sales, but never domestic (unlike VAT, JCT, GST, SST, HST, QST or similar tax, which can be applied to both goods imported into a country and goods sold locally). 

In general, the buyer is responsible for paying the additional costs such as duties, taxes, and customs clearance fees. In some countries, Etsy is obligated to collect those as VAT on imported goods and to pay this over to the tax authorities

Most customs charges are due once the package arrives in the destination country. The amounts can vary widely and are often based on the price and type of item, package weight and dimensions, origin country, and the taxes, duties, and fees of the destination country.

If a buyer and a seller are located in different countries, we inform buyers that additional duties and taxes (such as those charged at customs) may apply. This is to make it clear to buyers that they may be responsible for paying these additional fees.

Please contact your local customs office to find out your next steps as you may need to pay additional charges. 

Want to shop locally? Use search filters to find local sellers on Etsy.

When does Etsy collect and remit US sales tax?

We’re legally required to charge sales tax if the US state you’re in mandates it, often no matter where the seller is located. The price you see on Etsy is the price you pay, so you should not be charged any additional taxes on delivery.

Check if your US state collects sales tax on online purchases.

When purchasing internationally, US buyers may be charged custom fees.

If you’re purchasing something for a US tax-exempt organisation, learn how to submit a tax-exemption form to Etsy.

When does Etsy collect and remit VAT-type taxes?

VAT, or value-added tax, is sales tax based on the consumption of goods and services that are commonly found in the EU and select other regions of the world.

Sales taxes have many names. For example, it is known as VAT in Europe; JCT in Japan; GST in New Zealand, Australia, and India; and GST/HST in Canada.

Etsy automatically collects and remits applicable taxes at checkout when required by law. Learn more about when Etsy collects and remits taxes.

In cases where physical goods are shipped cross-border between countries or states, please be aware that additional duties and taxes may apply. This will be the responsibility of you, the buyer, to pay, unless otherwise stated.

For goods sold within the European Union, VAT – if applicable  – will be included in the purchase price at the time of sale. Since Etsy requires sellers to list their prices inclusive of VAT, you shouldn’t have to pay any additional amounts other than the total price displayed at checkout.

Goods arriving into EU from non-EU country

The amount of customs duty will be assessed at the point of entry of the destination country. Customs duty only applies to packages with a value over 150 EUR.

VAT will be collected at the time of checkout where the value of the package is less than 150 EUR and you should not be charged additional VAT by the courier. For packages over 150 EUR, VAT will be collected by the carrier with the customs duty. 

New Zealand requires Etsy to collect and remit GST on applicable goods sold to New Zealand buyers from overseas that meet the following criteria:

  • The buyer is located in New Zealand (based on shipped to address).
  • The seller is not located in New Zealand.

Etsy doesn’t collect GST where the goods are located in New Zealand. Since Etsy requires sellers to list their prices inclusive of GST, you shouldn’t have to pay any additional amounts other than the total price displayed at checkout.

Norway requires Etsy to collect and remit VAT on applicable goods sold to Norway buyers from overseas that meet the following criteria:

  • The seller is located outside Norway.
  • The shipping address is in Norway.
  • The package has items less than 3,000 NOK (approximately 275 EUR /310 USD*).
  • The item is subject to VAT at the standard rate.
  • Items that Etsy is not required to charge VAT on, but instead will be charged and collected at the border, are Food & Drink (including Candy and Chocolate) and goods subject to excise duty. For more information, visit the Norwegian Tax Authority’s website.

For amounts higher than 3,000 NOK (approximately 275 EUR /310 USD*), and other orders that don’t meet the above criteria, VAT will be charged and collected at the border.

Etsy doesn’t collect VAT  where the goods are on transactions between buyers and sellers both located in Norway. Since Etsy requires sellers to list their prices inclusive of VAT, you shouldn’t have to pay any additional amounts other than the total price displayed at checkout.

*Amount is based on June 2020 conversion rates.

Australia requires Etsy to collect and remit  GST on applicable goods sold to Australian buyers on orders that meeting the following criteria: 

  • Less than or equal to 1,000 AUD

For amounts higher than 1,000 AUD, GST and any other taxes will be charged and collected at the border. 

Etsy doesn’t collect GST on where the goods are located in Australia. Since Etsy requires sellers to list their prices inclusive of GST, you shouldn’t have to pay any additional amounts other than the total price displayed at checkout.

As of 1st January 2021, the UK requires Etsy to collect and remit VAT on applicable goods from buyers on orders that meet the following criteria:

  • The purchase is for a physical item. 
  • The recipient is located in the UK.
  • The total value of the package (including gift wrap but excluding delivery) is less than or equal to £135.
  • VAT is applied to the full order total, which includes item price, delivery, and gift wrap charges.
  • The goods are dispatched from outside the UK.*

*Etsy is not obligated to collect VAT on shipments from the EU to Northern Ireland, or on shipments from Northern Ireland to other parts of the UK. Learn more.

For amounts higher than 135 GBP, VAT will be charged and collected at the border.

Etsy doesn’t collect VAT  where the goods are located in the UK and the transaction is between buyers and sellers both located in the UK. Since Etsy requires sellers to list their prices inclusive of VAT, you shouldn’t have to pay any additional amounts other than the total price displayed at checkout.Taxes at checkout

If you’re in a country where Etsy is collecting VAT,  your basket details will show the item price, postage costs, and any additional add-ons such as gift wrap at checkout.

For questions about the item’s prices and the inclusion of VAT, it’s best that you contact the seller directly

If you believe the incorrect VAT rate was charged, please reach out to us

 

Starting on 1st July, Etsy will be required to collect GST/HST as well as PST in Saskatchewan and British Columbia, RST, in Manitoba, and QST in Quebec once eligible orders are placed by buyers in Canada. Etsy will automatically include tax in buyers total at the last stage of checkout. Etsy will be responsible for remitting tax information to the relevant tax authorities. To learn more about the new tax requirements you can visit Canada’s government website for more information

  • Seller added GST/HST ID: If an item is being delivered from a seller in Canada to a buyer in Canada, the listing price will automatically include GST/HST. 
  • Seller did not add GST/HST ID:GST/HST will be charged during checkout when a physical item will be delivered from a Canadian seller to a buyer in Canada, or if it is a digital item that is sold to a Canadian buyer from a Canadian seller. 
  • Seller added QST ID: If an item is being delivered from a Canadian seller to a Quebec buyer, the listing price will automatically include QST. 
  • Seller did not add QST ID:  QST will be charged at checkout when a physical item is being sold from a Canadian address to buyers located in Quebec, or a digital item is sold to a buyer in Quebec, from sellers in other provinces or outside Canada. 
  • British Columbia Provincial Sales Tax (PST)*: PST will be charged at checkout on all physical and digital downloads that are delivered to buyers located in British Columbia 
  • Saskatchewan Provincial Sales Tax (PST)*: PST will be charged at checkout on all physical items and certain digital downloads that are delivered to buyers in Saskatchewan. 
  • Manitoba Retail Sales Tax (RST)*: RST will be charged at checkout on physical items and certain digital downloads that are delivered to buyers in Manitoba. 

*Etsy is required by law to collect these taxes from buyers in Manitoba, Saskatchewan and British Columbia and remit it to the local tax authorities. 

 

 

How does VAT work for digital purchase? 

If Etsy is required to collect the VAT (or similar tax) Etsy automatically collects and adds the appropriate amount to the listing price when you purchase a downloadable digital item.

Some examples of digital items:

  • E-books 
  • Digital patterns 
  • Downloadable PDFs

You can see the total price with VAT or similar tax included on each listing that applies, as well as in your cart, invoice, and purchase page.

At this time, all digital downloads on Etsy are considered B2C (business to consumer) purchases and therefore you aren’t required to provide a VAT ID (or similar tax ID). 

Where can I find my tax invoice? 

For physical items imported to Australia and New Zealand, buyers can download an official GST invoice. Buyers located in the EU and the United Kingdom can see the VAT charges on their purchase receipt.

Outside this, it's the seller's responsibility to provide a legally-compliant VAT invoice when required. The default receipt from Etsy cannot be used for this purpose. 

If you need a tax invoice for your purchase, you’ll need to contact the seller directly before placing the order to make sure they can facilitate your request. 

To download the invoice for your physical item purchase: 

  1. Sign in to Etsy.com and go to Your account.
  2. Go to Purchases and reviews.
  3. Select the View receipt next to your item. 
  4. If you’re in the UK or EU, select Print Options to download your invoice. For all other locations, select View official invoice

VAT invoices for digital purchases

To download the invoice for your digital purchase:

  1. Sign in to Etsy.com and go to Your account.
  2. Go to Purchases and reviews.
  3. Select the View receipt next to your item. 
  4. Select View official invoice to see the invoice. 

VAT invoices for buyers in Taiwan

If you’re located in Taiwan, we are partnering with Taxamo who will send the VAT invoice to the email address associated with your purchase. Learn more about VAT invoices in Taiwan. 

We do not provide VAT invoices for gift cards purchased on Etsy

 

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