A VAT Identification Number (VAT ID) is used to identify individual businesses for the collection of taxes. Etsy does not require sellers to have a VAT number to sell in our marketplace.
You can add or update your VAT ID in Shop Manager:
- On Etsy.com, click the Your Account icon, then click Shop Manager.
- Click Finances.
- Click VAT ID.
- Enter your VAT ID.
- Click Submit.
VAT IDs have specific formats and European VAT IDs can be checked on the European Commission website for validity.
If you notice that your VAT ID is coming up as invalid, you will need to contact your local tax department to have it updated. You may also have an obligation to register your VAT ID with your local government.
Do I need to register for a VAT ID?
Businesses in certain countries may be required by their local tax authorities to register for a VAT ID if they reach their country’s sales threshold. However, in some countries, you may also register for VAT even if you have not reached the threshold.
VAT laws vary from place to place. We’re unable to advise sellers on whether they need to acquire a VAT ID. If you have any questions about whether you need a VAT ID, please consult your local tax authority or tax advisor.
How will Etsy use my VAT ID?
By providing a VAT ID to Etsy, you are establishing a business-to-business relationship between your shop and Etsy. This status and your business location determine whether or not Etsy will charge VAT on seller fees.
In some countries, Etsy has a reporting obligation to share your VAT ID, together with the total value of your seller fees applied for that period, with local authorities. Contact your local tax authorities for more information.