Who are Avalara's competitors
Amazon: its dealers, their taxes, our problem
| Everything at Amazon - most people are now familiar with this from their private lives. But the omnipotence of the US trade giant has limits when it comes to service. This is especially true if this is also regulated by professional law. For some time now, the question has been circulating on the internet as to whether Amazon might not offer unauthorized assistance in tax matters and thus ultimately compete with the consultants. This is not the case, but there are still problems. |
More and more clients are trading online
When Amazon began to expand its PAN-EU network three years ago, created storage capacities in Poland and the Czech Republic and made this attractive to the ever-growing community of online retailers through attractive conditions, hardly anyone thought of taxes. Neither the platform operators nor the dealers wasted more than a thought on delivery thresholds that would later lead to sales tax liability in various countries. Today this is exactly where the problem lies. A large number of clients are affected who may sell goods via Amazon exclusively to German customers and who are not even aware that foreign storage can be a tax issue. The number of those who become Amazon sellers full-time or part-time is growing. This is not least due to the fact that Amazon has continuously lowered the hurdles for entering a sales career by expanding its marketplace services. Most recently, the sales tax services were added.
For tax consultants, this means that almost every law firm is now confronted with clients who conduct online trading and often cross borders without foreign customers. The attitude towards this depends on the point of view:
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