EU & UK Tax Information

As of July 1, 2021, Discogs is charging two types of VAT for all countries impacted: Electronic service fee VAT and Supply of goods VAT.

We have outlined in a table below a list of countries where the VAT taxes are applied and the corresponding VAT rates.

Electronic Service Fee VAT: This is VAT charged on the selling fee Discogs charges for the use of our platform. Historically, this VAT charge has appeared on seller invoices at the bottom of the invoice. Moving forward, with our PayPal payments system, this tax will automatically be deducted from the order amount when the buyer sends payment.

The Electronic Service Fee VAT to the seller is charged as follows:

• Discogs’ electronic service fee is charged on the fee that Discogs charges for using the platform. The Discogs selling fee is calculated at 9.0% of the selling price of the item, along with the shipping costs. More information and examples can be found in the document Discogs & VAT
• Sellers that have a registered VAT ID (except those in the Netherlands) can add this ID to their seller settings and will be exempt from the Electronic Service Fee. Sellers located in the Netherlands will be charged VAT on all electronic service fees because Discogs B.V, is a registered business in the NL and is required to collect VAT on all NL related transactions regardless of whether NL sellers are VAT registered or not.

Supply of Goods VAT: This is the VAT charged on the total landed cost of an order. Supply of goods VAT is new to Discogs and its sellers and buyers as of July 1, 2021. This tax will be charged when the buyer sends payment, and will appear on the order page.

The Supply Of Goods VAT to buyers is charged as follows:

• The total landed cost of an order is the total of item value and shipping amount. VAT is charged at the rate applicable to the country of importation (usually the buyer’s location or the location where the order is being shipped) and is calculated on the total of the item value plus the shipping amount (total landed cost).
• Supply of goods VAT is applicable for orders imported into the EU and the UK from another country.
  • Since Brexit, orders shipped to the UK from the EU are now subject to supply of goods VAT if they are at or under the UK threshold (GBP 135).
  • Likewise, orders shipped to the EU from the UK are now subject to supply of goods VAT if they are at or under the EU threshold (EU 150).
• Discogs will charge, collect and remit VAT on orders with a total landed cost up to EUR 150 and GBP 135.
  • VAT becomes the responsibility of the buyer when the total landed cost of an order exceeds the supply of goods VAT thresholds noted above. The buyer will need to pay any applicable VAT and customs fee at the moment of importation.
  • This means Discogs will not charge VAT on orders with a total landed cost that exceeds EUR 150 for orders imported into the EU and GBP 135 for orders imported into the UK.
• Supply of goods VAT will not be charged to buyers who are VAT registered and supply Discogs with a valid VAT ID in seller settings.

Overview of countries affected by Electronic Service Fee and Supply of Goods VAT