Brexit VAT & Customs Guide 2026 (FBA & EFN)
Update (2026): Selling Between the UK and the EU After Brexit
The United Kingdom left the European Union customs union and single market on 1 January 2021. As a result, movements of goods between the UK and EU are treated as imports and exports rather than intra-EU transactions.
For e-commerce sellers, this means that customs formalities, import VAT requirements and local VAT obligations must be considered whenever goods cross the UK-EU border.
Amazon FBA and Stock Management
Amazon’s decision to stop automatic inventory transfers between the UK and EU Fulfilment by Amazon (FBA) networks remains in place.
Businesses wishing to sell through Amazon FBA in both the UK and the EU generally need to maintain inventory separately within each market. Sellers commonly hold stock in UK fulfilment centres for UK customers and in EU fulfilment centres for EU customers.
Where inventory is moved between the UK and EU, the movement is treated as an export from one territory and an import into the other, requiring customs declarations and compliance with local import procedures.
VAT Registration Requirements
Holding stock in a country generally creates a local VAT registration obligation.
For Amazon sellers, VAT registration may therefore be required where:
- Goods are stored in local fulfilment centres;
- Inventory is transferred between countries;
- Local sales are made after importation;
- Marketplace or fulfilment programmes involve warehousing in multiple jurisdictions.
Businesses should regularly review their fulfilment arrangements to determine where VAT registrations are required.
Customs and EORI Requirements
Businesses importing or exporting goods between the UK and EU must ensure that they have the appropriate customs registrations.
This typically includes:
- An EORI number;
- Commodity codes for products being traded;
- Customs valuation procedures;
- Origin documentation where preferential tariff treatment is claimed;
- Import VAT procedures in the country of importation.
Failure to comply with customs requirements may result in shipment delays, additional costs and customs penalties.
Marketplace VAT Rules
Since Brexit, both the UK and EU have introduced significant e-commerce VAT reforms.
In many situations, online marketplaces may be deemed suppliers for VAT purposes and become responsible for collecting and remitting VAT on certain B2C sales. However, these rules do not remove all VAT obligations for sellers, particularly where inventory is held locally or imports are made.
Businesses should therefore review both marketplace responsibilities and their own direct VAT obligations.
Cross-Border B2C Sales
For sales to EU consumers, businesses should assess whether the One Stop Shop (OSS) scheme can simplify VAT reporting obligations for distance sales within the European Union.
For imports of low-value goods into the EU, the Import One Stop Shop (IOSS) may also be available depending on the supply chain and sales model.
Key Considerations for 2026
Businesses selling between the UK and EU should regularly review:
- VAT registrations;
- Customs compliance procedures;
- Amazon FBA inventory locations;
- Import VAT recovery processes;
- OSS and IOSS obligations;
- Marketplace reporting responsibilities.
Brexit is no longer a future risk but an established part of the trading environment. The focus for businesses in 2026 should be on maintaining efficient customs processes and ensuring ongoing VAT compliance in all countries where goods are stored or sold.
