Amazon Locked Seller’s Funds in the UK, probably they have a serious cashflow issue
Since late December, thousands of sellers have received notifications from Amazon UK, stating that they need to prove their businesses are established in the UK. Amazon is requesting absurd documents, and once the sellers provide them, Amazon continues to ask for the same documents repeatedly without releasing the funds or verifying the provided information. I am one of the affected sellers, and there seems to be no resolution for this issue. It’s possible that there is a cash flow issue. Since January 1, 2021, a new law holds Amazon liable for VAT unpaid by sellers in the United Kingdom. However, it seems that Amazon may not have checked this law, and now they may have received a substantial bill from HMRC. It’s plausible that they lack the funds to pay, leading them to lock our funds. What are your thoughts on this situation? You can read a recent article about this issue (https://www.devonlive.com/news/devon-news/devon-dad-left-desperate-after-9070813). This issue initially surfaced in August 2023, and the UK government intervened, resulting in the release of funds. Do you think Amazon is simply making a mistake, or is there something more concerning happening? Another article from August 2023 can be found (https://www.bbc.com/news/business-66486803).
submitted by /u/Piergianni
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