Amazon FBA VAT Calculator for EU Sellers
Reduced rates, marketplace by marketplace, with the formulas Profit Scanner uses on every row.
Updated May 2026 · IT baby reset to 10% (Budget Law 2024) · UK pet food reset to 20% (HMRC 701/15).
Short answer: EU and UK Amazon listings include VAT. To get the amount you actually keep before Amazon fees, divide by (1 + VAT/100). The catch is picking the right VAT rate — books, food, baby and pet products often qualify for a reduced rate, and the rate differs by country and category. Get this wrong and your profit is mis-stated by 5–20 percentage points.
VAT rates per marketplace (2026)
🇮🇹 Italy
Standard rate: 22%| Rate | Applies to |
|---|---|
| 4% | Books, basic groceries (bread, milk, fresh fruit & veg, pasta), medical / orthopedic devices |
| 5% | Some niche social-purpose goods |
| 10% | Most processed food, pet food, feminine hygiene products, baby food / formula / nappies / wipes (raised from 5% on 1 Jan 2024), most non-prescription medicines |
| 22% | Standard rate for everything else, plus child car seats since 1 Jan 2025 |
🇩🇪 Germany
Standard rate: 19%| Rate | Applies to |
|---|---|
| 7% | Food and non-alcoholic drinks, books, pet food, feminine hygiene products, certain medical / orthopedic items |
| 19% | Standard rate. NOTE: baby non-food products (diapers, bottles, car seats, wipes) are 19% — Germany has no reduced rate for baby items |
🇫🇷 France
Standard rate: 20%| Rate | Applies to |
|---|---|
| 2.1% | Reimbursable medicines, certain media products |
| 5.5% | Basic food, books, feminine hygiene products, some medical devices |
| 10% | Restaurants, prepared food, non-prescription medicines, pet food |
| 20% | Standard rate. Baby non-food (diapers, bottles, wipes, car seats) is 20% |
🇪🇸 Spain
Standard rate: 21%| Rate | Applies to |
|---|---|
| 4% | Bread, milk, eggs, fruit, vegetables, olive oil, books, feminine hygiene (since 2023), human medicines |
| 10% | Other food, pet food, water, non-prescription medicines |
| 21% | Standard rate. Baby non-food = 21% (no reduced rate for baby in Spain) |
🇬🇧 United Kingdom
Standard rate: 20%| Rate | Applies to |
|---|---|
| 0% | Most basic food, books, children’s clothing/footwear, feminine hygiene (since 2021), most baby products: nappies, bottles, breast pumps, baby oil, baby wipes |
| 5% | Domestic energy, child car seats (Schedule 7A VATA 1994) |
| 20% | Standard rate. IMPORTANT: pet food is 20% standard (HMRC Notice 701/15 — only working-animal feed can be zero-rated, not retail Amazon pet food). Confectionery, ice cream, soft drinks, crisps and savoury snacks are also 20%, not 0%, despite being food. |
The formulas
Net sale price (Amazon listing price → what you keep before fees)
net_sale = amazon_price / (1 + vat_sale_rate / 100)
Use the reduced rate when applicable. Italy baby food at €30: net_sale = 30 / 1.10 = €27.27. The same product at the wrong assumption (22% standard) gives €24.59 — a €2.68 understatement of revenue per unit.
Net buy price (3 cases)
// VAT-registered seller, supplier invoice INCLUDES VAT (recoverable): net_buy = buy_price / (1 + vat_buy / 100) // Not VAT-registered, supplier gave you a NET price: net_buy = buy_price * (1 + vat_buy / 100) // Anything else (gross supplier price, you cannot reclaim): net_buy = buy_price
The non-recoverable case is common for small EU sellers below the VAT registration threshold buying from VAT-registered wholesalers. They see a NET price on the invoice but pay VAT on top, and they cannot reclaim it.
Fees VAT (referral + FBA)
// If your tax setup makes Amazon fees VAT-bearing for you: gross_fees = (referral_fee + fba_fee) * (1 + vat_sale_standard / 100) // Otherwise: gross_fees = referral_fee + fba_fee
Critical: fees VAT uses the STANDARD rate (22%, 19%, 20% etc.), never the reduced rate even on a reduced-VAT product. Amazon services are taxed at standard regardless of what you sell.
Frequently Asked Questions
How does Profit Scanner pick the right VAT rate per product?
Two layers. First we look at categoryTree[0] from Amazon (the root category) — Books, Pet Supplies, Prima infanzia, Lebensmittel & Getränke etc. — and apply the marketplace default reduced rate. Then for ambiguous categories like Health & Personal Care we run an AI classifier (Gemini Flash) per product title to distinguish cosmetics (standard) from medicines (reduced) from feminine hygiene (reduced). Result is one VAT rate per row, locked into the profit calculation.
Why is Italy baby 10% and not 5%?
Italy raised the rate on 1 January 2024. Budget Law 2024 reverted the temporary reduction from 5% back up to 10% for diapers, baby food, formula, baby cream, baby wipes and bottles. Child car seats moved further to the standard 22% rate from 1 January 2025. Many calculators still show 5% — that is outdated.
Why is UK pet food 20% and not 0%?
Pet food held out for sale as pet food (canned dog food, dry kibble, cat food, treats) is standard-rated at 20% under HMRC Notice 701/15. Only working-animal feed (livestock, working dogs specifically labelled, racing pigeons) can be zero-rated, and that is rare on retail Amazon. Calculators that apply 0% to UK Amazon Pet Supplies overstate profit by 20 percentage points.
Do I need to know the rate before scanning?
No. Set your scan-level VAT in the upload screen and Profit Scanner overrides it per row when a product belongs to a reduced-rate category. The override appears on the result screen so you can audit it. If our detection is wrong on a specific row, you can manually override it from the row selector — that flows back into the profit, margin and ROI columns immediately.
What about marketplaces outside the EU and UK?
Amazon US, Canada, Mexico, Brazil, Japan, India do not use VAT — they have sales tax / GST regimes that are calculated and remitted differently. Profit Scanner does not extract tax from the listing price on those markets; the price you see on Amazon is the price you receive. Setup-wise this means setting sale_price_includes_vat = false and vat_sale_rate = 0 for those marketplaces.
Stop calculating VAT in spreadsheets
Upload your supplier list. Profit Scanner detects the reduced VAT category per product and applies the correct rate to every row, across IT / DE / FR / ES / UK and 6 more markets.