EU Sellers Must Submit DAC7 Tax Information or Risk Account Deactivation
Amazon now enforces EU DAC7 tax reporting. Sellers who exceed €2,000 in sales or 30 orders on any EU marketplace must upload verified business and tax data via the new “DAC7 Upload” widget in Seller Central within 60 days of the first notice (e.g., notice on 15 May → deadline 14 July). Non‑compliance leads to account suspension and frozen funds.
Overview
Amazon is now enforcing the EU’s DAC7 tax‑reporting rules. Effective immediately, any seller who meets the DAC7 thresholds must upload verified business and tax data through Seller Central, or risk having the account deactivated and funds frozen. The deadline for new sellers is 60 days after Amazon’s first notification, making swift compliance essential for anyone operating in or from the European Union.
Key Points
- Threshold 1 – €2,000 sales — Sellers who generate €2,500 in gross revenue on the German marketplace in 2024 will be flagged for DAC7 reporting.
- Threshold 2 – 30 transactions — A seller with 42 completed orders on the French site in the same year also meets the requirement, even if total sales are below €2,000.
- All accounts matter — A UK‑based vendor who runs three Amazon stores (UK, DE, and ES) must submit the same information for each storefront, not just the EU‑based ones.
- Required data set — Amazon asks for legal business name, registered address, tax‑identification number (or VAT number), date of birth for individual sellers, and the bank account linked to the seller’s payouts.
- 60‑day compliance window — Sellers who receive their first DAC7 notice on 15 May must complete the upload by 14 July, or Amazon will suspend the account.
- Ongoing annual duty — Once the initial submission is accepted, any change to the business name, address, tax ID, or banking details must be updated within a reasonable period each year.
How DAC7 Reporting Works
- Notification receipt — Amazon sends an email and a Seller Central alert when a seller’s 2024 activity crosses either the €2,000 sales or 30‑order threshold. Example: A seller on Amazon.it sees a red banner on the dashboard on 10 May indicating “DAC7 information required.”
- Data upload via dedicated tool — The seller logs into Seller Central, navigates to Account Settings → Tax Information, and uses the new “DAC7 Upload” widget to attach a CSV file or manually enter the required fields. : The seller fills in “Acme GmbH,” “Musterstraße 12, 10115 Berlin,” VAT DE123456789, and the IBAN DE89 3704 0044 0532 0130 00.
Analysis & Recommendations
Why This Matters
Failure to meet the DAC7 thresholds—€2,500 gross sales on Germany or 42 orders on France in 2024—will trigger a 60‑day compliance window after Amazon’s notification. If sellers do not upload the required legal name, address, tax ID/VAT, birth date and bank details via Seller Central, Amazon will suspend the account and freeze payouts, directly impacting revenue.
Key Takeaways
- Threshold 1: €2,500 gross sales on the German marketplace in 2024 flags a seller for DAC7 reporting.
- Threshold 2: 42 completed orders on the French site also meets the requirement, even below €2,000 sales.
- Compliance window is 60 days from the first DAC7 notice (e.g., notice 15 May → deadline 14 July).
- Required fields are legal business name, registered address, tax‑ID/VAT, birth date (individuals) and payout bank account, submitted via Seller Cen...
Recommended Actions
- →Review sales and order counts for each EU marketplace in Seller Central; if ≥ €2,000 or ≥30 orders, treat the account as DAC7‑eligible.
- →Navigate to Seller Central → Account Settings → Tax Information and use the “DAC7 Upload” widget to submit the required CSV or manual entries.
- →After uploading, check the “Compliance Status” tab daily and contact Seller Support if the status remains “Pending” after 24 hours.
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