Overview

Effective from the latest tax cycle, Amazon must apply Singapore’s Goods and Services Tax (GST) to the marketplace services it provides to sellers who reside in Singapore. The tax is levied at the standard 9 % rate on fees such as listings, referrals, and subscriptions, unless the seller is already registered for GST in Singapore and supplies a valid registration number. This change directly raises the cost of selling on Amazon for non‑registered sellers and creates a simple exemption pathway for those who are GST‑registered.

Key Points

• 9 % GST on core fees — Amazon adds a 9 % GST charge to every marketplace fee billed to Singapore‑based sellers who lack a GST registration, turning a S$100 referral fee into a S$109 charge.
• Registered sellers are exempt — Sellers who have obtained a Singapore GST registration and upload their 10‑digit GST number to Seller Central will see the GST surcharge removed from all subsequent fee invoices.
• Remote services trigger the tax — Singapore’s tax authority treats Amazon’s marketplace functions—listing, referral, and subscription services—as “remote services,” which obligates non‑resident providers like Amazon to collect GST on behalf of the buyer.
• 10‑digit GST number is mandatory — The exemption only works when the exact 10‑digit GST identification number is entered correctly in the account’s tax information section; any typo will cause the surcharge to continue.
• Impact on margins — For high‑volume sellers, the extra 9 % can erode profit margins substantially; a seller with monthly fees of S$5,000 would incur an additional S$450 in GST if not registered.
• Compliance remains seller responsibility — Even when Amazon handles the collection, sellers must still ensure their overall GST obligations are met, including filing returns and maintaining records.

How Singapore’s Remote‑Service GST Works

1. Tax rule definition — Singapore law requires overseas companies that deliver digital or platform‑based services to local consumers to charge GST at the prevailing 9 % rate. Amazon’s marketplace platform falls under this definition because it enables Singapore sellers to list products, process orders, and receive payments.