Many businesses in the United States now offer services and sell goods to customers in the United Kingdom — and VAT becomes part of the process.
It does not matter whether you ship products through Amazon FBA, run a Shopify store with UK buyers, or provide digital services from the U.S. At a certain stage, HMRC will require you to register for VAT and remain compliant.
In this guide, you’ll learn:
- when a U.S. company must register for UK VAT
- what documents HMRC requires
- how long the approval takes
- common mistakes and how to avoid delays
- why many American sellers choose a VAT specialist instead of doing everything themselves
Do U.S. Companies Need to Register for UK VAT?
For many American businesses, the answer is yes.
UK VAT rules depend on the customer’s location, not where your company is based.
When U.S. Businesses Must Register for UK VAT
A U.S. company must register if it:
- sells goods to UK consumers (no threshold applies to non-UK businesses)
- stores goods in UK warehouses (Amazon FBA UK, 3PL, etc.)
- uses Shopify, Etsy, eBay, WooCommerce to reach UK buyers
- imports goods into the UK before delivery
- sells digital or electronic services B2C
- operates a SaaS platform with UK-based paying users
When VAT Registration May Not Be Required
A U.S. company may avoid registration if it:
- sells only B2B services to UK VAT-registered companies (reverse charge applies)
- does not ship or store goods in the UK
- sells exclusively to customers outside the UK
However, most successful U.S. ecommerce brands eventually need a VAT number once they gain traction.
UK VAT Registration for U.S. Ecommerce Sellers
The United Kingdom is one of the most lucrative international markets for American online sellers.
Once you start shipping goods from the U.S. to UK shoppers, VAT becomes mandatory from the first sale.
Platforms That Trigger VAT Obligations
- Amazon (especially FBA storage in the UK)
- Shopify (shipping from the U.S.)
- Etsy, eBay, WooCommerce
- Dropshipping models targeting the UK
- Brands using UK-based 3PL centres
Common Searches by U.S. Sellers
- “Do U.S. Shopify sellers need UK VAT?”
- “UK VAT for U.S. Amazon sellers?”
- “Do I need a VAT number to sell to the UK?”
Key VAT Rules for U.S. Sellers
- non-UK companies have no VAT threshold
- shipping from the U.S. does not exempt you
- Amazon FBA UK storage requires VAT registration
- VAT returns must be filed quarterly
- marketplaces may block payouts until you provide a VAT number
Amazon UK VAT Requirements for U.S. Sellers
Amazon UK enforces VAT compliance for non-UK sellers.
Amazon may:
- withhold or freeze funds
- remove product listings
- suspend your seller account
To avoid interruptions, U.S. sellers must register for VAT, file quarterly returns, and comply with MTD rules.
UK VAT for U.S. Exporters and Manufacturers
Many American exporters incorrectly believe that operating from the U.S. eliminates VAT responsibilities.
If you supply goods into the UK, VAT rules still apply.
VAT Registration Is Required If You:
- ship goods from the U.S. to UK customers
- import goods into the UK before delivery
- store inventory in UK warehouses
- supply bulk goods to UK wholesalers or retailers
Common U.S. Exporter Questions
- “UK VAT for U.S. exporters?”
- “Import VAT vs UK VAT U.S.?”
- “Do American manufacturers need UK VAT?”
Once goods enter UK customs, VAT obligations start regardless of your business location.
UK VAT for U.S. Digital Service Providers (SaaS, Software, Subscriptions)
The UK is a major market for U.S. SaaS platforms and digital creators.
When selling services B2C, VAT registration is often required.
Registration Is Required If You:
- sell digital services to UK consumers
- offer apps, digital subscriptions, or online courses
- provide automated or electronic services
Registration May Not Be Required If You:
- sell only B2B to VAT-registered UK companies
- use reverse charge rules
Common Searches
- “Do U.S. SaaS companies need UK VAT?”
- “UK VAT for American consultants?”
- “Digital services VAT USA to UK?”
How U.S. Companies Register for a UK VAT Number (Step-by-Step Guide)
Step 1: Create a Government Gateway Account
Foreign companies are permitted to create an HMRC account to manage VAT online.
Step 2: Submit VAT Registration Details
HMRC may request:
- U.S. company formation documents (LLC / Inc)
- ID of the owner/director
- business activity description
- website or marketplace profile
- expected turnover from UK sales
- U.S. operational address
Step 3: HMRC Application Review
Typical approval time: 1–4 weeks, depending on checks.
Step 4: Receive Your VAT Number
After approval, you can:
- charge VAT
- file quarterly returns
- reclaim eligible VAT
Common Problems Faced by U.S. Companies
U.S. businesses often experience delays due to:
- unclear business activity descriptions
- choosing the wrong VAT scheme
- confusion between import VAT and sales VAT
- missing supporting documents
- not declaring Amazon FBA warehouse storage
- misunderstandings around B2B reverse charge
We help resolve these issues quickly and accurately.
Why U.S. Companies Choose vatnumberuk.com
We simplify VAT setup for American businesses expanding into the UK.
What Makes Us a Trusted Partner
- specialists in VAT for non-UK companies
- fast turnaround for ecommerce and SaaS
- no UK address required
- full service: registration + quarterly filings
- Amazon & Shopify VAT experts
- tailored support for U.S. companies
Frequently Asked Questions
1. Does a U.S. company need a UK VAT number?
Yes — if selling goods or B2C services in the UK.
2. Do U.S. Amazon sellers need UK VAT?
Yes — Amazon may restrict payouts without it.
3. Can a U.S. company register without a UK address?
Yes — not required.
4. How long does registration take?
Usually 1–4 weeks.
5. What documents are needed?
U.S. company documents, ID, proof of trading activity.
6. Can a U.S. company reclaim VAT?
Yes — reclaimable after registration.
7. How often do companies file VAT returns?
Quarterly — four times per year.
Start Your UK VAT Registration With Us Today
We support U.S. ecommerce sellers, exporters, SaaS platforms, and consultants through every step of VAT registration and compliance.
