hello James Greaney here from Internetbizuni.com and in this really quick
video today I'm gonna be speaking to you about tax setting up your company etc
what I'm gonna be giving you is just general guidelines in regards to tax and
setting up your company if you are starting or if you have an existing
business that sells via Amazon FBA or just sells buy e-commerce in general I'm
just going to be giving you some general guidelines because as you probably know
I'm not a tax attorney or a you know a tax consultant or have any
qualifications intact so what I'm going to be giving you is just a few general
guidelines if you're getting started or if you're expanding what way you should
do and where you should go and seek help so the first thing that I'm gonna speak
about is that I recognize where you are if you're you know just starting out I
know this was the most complicated time and there's so much to do you're you
know trying to get your business all set up and then you have you know the
questions whether you should set up a company or you should just run it
through your own name how you're gonna pay tax etc so I'm gonna just run
through those questions quickly the rain is coming down here I had a few minutes
but the rain is starting to come down so hopefully I get through it fairly
quickly and won't get too wet while while talking to you here so yeah so on
that the first one if you're setting up if you're just setting off in your own
country you can simply set it up like you would set up any business you know
either just starting your own name or you can set up an LLC if you're in the
US or a limited company if you're in the UK you can just set it up like you would
set up any regular company then at the end of the year you will need to provide
your accountant or your tax attorney with two different pieces of information
one is your revenue for the year again if you're selling via Amazon FBA you can
simply download this report in Amazon which shows every bit of revenue that
you made through the year and this is just all of your different sales and as
well as this they'll have all of the different Amazon expenses on this report
that you download from inside seller central so we'll show exactly how much
you made in total sales how much Amazon talk for different
things whether that's PPC Amazon fees or anything like that so you will just
download that report and then you also keep your own list whether you keep
it on Excel or use you know an outside software to do this you will keep a list
of all of the expenses that you made for your business through the year then you
will provide these to your tax attorney sorry I got cut off there just had a
call come through but yeah just jump back into it so the two reports that
you're gonna send to your accountant or tax advisor at the end of the year is
the one that you get inside Amazon seller central with all of your sales
and Amazon expenses and then your own one with all of your other expenses so
whether that's your product cost your shipping costs your custom payments
under them that you spent on your business throughout the year as well at
that if you purchase down at them for your business like a laptop phone or
anything like that again you could send this excel sheet with your invoices for
these products to your accountant and they will be able to work out exactly
how much tax you pay so it's very straightforward if you're just setting
up just getting started in your own country but if you are expanding
internationally and this is where I get a lot of questions because as you
probably know I sell on Amazon UK all the EU platforms as well as Amazon a
u.s. amazon.com in the US so I put together a blog post answering all of
the questions that I had about you know expand into the US and again just more
guidelines from what I was told by speaking with tax advisers and what
you should do if you are going international whether that's starting
out or you know you have an existing business in your own country you should
speak with an international tax consultant again searching Google for
these they aren't cheap but you will be able to get you know a quick appointment
with one of them just to generally speak about your business and then if you want
to go further and book an hour consultation with them you'll be able to
do that there as I said they're not cheap but they're well worth it you know
if you're expanding internationally or you plan on selling internationally then
you want to set up a big business you want it set up in the most tax-efficient
way and the only one that can give you legitimate tax advice is an
international tax advisor on this issue because they will be able to tell you
how to best structure Europe nice weather to set it up in your local
country or to set it up in a different country as you know lots of countries
have different rates of tax so at the end of the year you will be paying tax
on your profits but different countries have different rates so this is what you
should speak to an international tax advisor about what's the best country to
set up your business in when you're selling in the different countries and
that's the type of questions that he or she will have for you is which countries
you plan to sell in you know how you'll be fulfilling orders different things
like that but you'll just go through them with them and they will be able to
advise you on the best country to set your company apart then with each
country they will have internal tax as well that you will have to pay so in the
UK there'll be v80 in the US there's sales tax and again you can run through
all of these with your tax attorney the different rates that you have to pay and
on Amazon you can get all the reports which show which countries or which
states if you're selling in the u.s. you have made sales in so again you'll be
able to give these reports to your accountant and they will be able to work
out what rate attacks you should pay to which states or to which country but
yeah I hope that this video has cleared it up for you because I get questions
time and time again about this you know I think this is a big hang-up
that a lot of Amazon sellers have and I know I had a lot of questions about it
when I first started so I hope that this video has helped clear up some of them
questions for you the rains don't come down heavy now so I dropped in under a
tree here to get some shelter but yeah if you want to get more videos like this
see more videos around e-commerce Amazon FBA then make sure to hit the subscribe
button so that you do see my updated videos when I release them on YouTube
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