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How VAT and GST are collected on fees charged to sellers

Quick answer

Depending on your taxable status and location, Reverb may be required to apply VAT or GST on fees charged to sellers and remit it to the relevant tax authority.

VAT stands for value-added tax. It's a tax based on the consumption of goods and services that is commonly found in the EU, UK, Australia, and select other regions of the world. VAT is also known as JCT, GST, HST, SST, PST, RST or QST in some countries.

VAT may be charged to buyers on their purchases as well as to eligible sellers on their fees.

This article contains general information. You should always contact your local tax authority or tax advisor for more information.

Will I receive a bill from Reverb for VAT or GST on fees?

Reverb provides statements to sellers where VAT/GST has been charged. The VAT or GST invoices will appear on the first of each month for the previous month’s statement.

Each monthly statement contains a summary of fees assessed in the previous month. Invoices are based in the currency of your Reverb account.

You can access the statement by visiting your My Bill page. Once there, select the month to get an invoice for that period. Select Export to download a CSV file of the statement.

VAT for shops based in the EU, UK, and Australia

If you haven’t submitted a VAT/GST ID to Reverb

For sellers in the EU, UK, and Australia who have not submitted a VAT or GST ID to Reverb, applicable VAT/GST will appear in the current balance on your monthly invoice.

You’ll receive a monthly statement on the first of the following month that includes a list of fees and how much you were charged on those fees during the prior month.

If you have submitted a VAT/GST ID to Reverb

If you added your VAT/GST ID to your Reverb account, you won’t be charged VAT/GST on your fees. You will have access to statements starting with the month you added a VAT/GST ID to your account that will show the fees charged to you in that month.

You should consult your tax advisor with regards to any VAT obligations as a result of the services you receive from Reverb.

If you received a VAT or GST credit during a month for a charge that was in a previous month, you will also receive a credit note along with your statement on the first of the month. For example, if you sell an item in June, and then refund the order in July, the VAT you were charged in June and refunded in July will be reflected in the credit note issued for July’s transactions.

Will VAT on fees information be accessible via API?

Yes. If you are an integrator, you can visit our API documentation Changelog to learn how API responses have been updated to display this new information.

You can learn more in our Terms of Use and Billing Policy.

GST/HST for shops based in Canada

Reverb is required to charge GST/HST, PST, RST or QST depending on your tax status and the taxing requirements on the underlying goods. Learn more about taxes on Canadian fees for sellers.

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