March 11th, 2024.



Hundreds of small business sellers have had their funds withheld by Amazon. Here's what to do if it happens to you.
There could be a number of reasons that Amazon may withhold your funds: suspicion of fraud, suspicious transactions or – in the most recent spate of cases – doing VAT checks.

It was first reported in August 2023 that Amazon was withholding funds from small business sellers due to these checks, leaving many small sellers struggling. The checks are being done to stamp out VAT fraud and follow rules introduced in 2021 which require retailers to collect and send VAT on transactions involving overseas sellers.

Etsy did something similar in 2023, withholding money for its ‘reserve system’ to “keep the marketplace safe”, with some sellers only given hours of notice.

In response to Amazon’s withholding of funds, Enterprise Minister, Kevin Hollinrake, has written a letter to Amazon UK’s chief executive demanding that they unfreeze these sellers’ funds...


For the full story at smallbusinss.co.uk CLICK HERE.