Overview

Amazon requires all sellers to provide accurate tax information as part of their account setup and ongoing compliance obligations. This Seller Central help page covers the foundational tax details that sellers need to understand, including tax identity verification, sales tax collection, and reporting tools available within the platform. Staying on top of tax requirements is essential for maintaining good account standing and avoiding potential legal issues.

Key Points / What Sellers Need to Know

• Tax identity verification is mandatory — All sellers must complete a tax interview within Seller Central, providing either a W-9 (for U.S. persons) or W-8BEN (for non-U.S. persons) to verify their tax identity before they can receive disbursements.

• Amazon collects marketplace sales tax automatically — Following the South Dakota v. Wayfair Supreme Court decision, Amazon calculates, collects, and remits sales tax on behalf of sellers in states that have enacted marketplace facilitator laws, which now covers the vast majority of U.S. states.

• Tax calculation settings still matter — While Amazon handles marketplace facilitator obligations, sellers may still need to configure tax settings for states or situations where they have independent nexus or where marketplace facilitator laws do not apply.

• 1099-K reporting applies to qualifying sellers — Amazon issues 1099-K forms to sellers who meet the IRS reporting threshold, which sellers must use when filing their federal tax returns.

• Tax documents are accessible in Seller Central — Sellers can find their tax interview status, tax documents, and transaction-level tax reports in the Tax Document Library within their account settings.

How Tax Information Works in Seller Central

When a seller first creates their Amazon selling account, they are prompted to complete a tax interview. This process collects the seller's legal name, address, and taxpayer identification number (TIN), such as a Social Security Number or Employer Identification Number for U.S. sellers. Amazon uses this information to validate the seller's identity against IRS records through TIN matching. If there is a mismatch, sellers may be subject to backup withholding at a rate of 24% on their earnings until the discrepancy is resolved. Completing and keeping this information current is therefore one of the most important administrative tasks for any seller on the platform.