The Ultimate Guide to E-Commerce Tax & Compliance in the US, UK & Canada

Navigating Cross-Border E-Commerce Compliance

Operating across the US, Canada, and the UK requires understanding three distinct tax and compliance jurisdictions:

1. United States: Marketplace Facilitator Laws & Prep Nexus

- **Marketplace Facilitator**: Amazon, Walmart, and eBay automatically collect and remit consumer sales tax in 45+ states. - **Physical Nexus**: Storing inventory in 3PL prep centers can trigger state corporate filing requirements. Devlip partners with **Delaware tax-free prep facilities (0% sales tax)** to minimize unnecessary state nexus exposure during small-batch testing.

2. United Kingdom: HMRC VAT (20%) & Non-Established Taxable Persons

- Overseas sellers storing goods inside UK fulfillment centers (Amazon UK FBA) must register for UK VAT immediately with zero threshold exemption. - Standard UK VAT is 20%, remitted quarterly to HMRC.

3. Canada: GST/HST Harmonized Sales Tax

- The CRA requires foreign sellers exceeding CAD $30,000 in annual gross sales to collect and remit Canadian GST (5%) or provincial HST (13% in Ontario, 15% in Atlantic provinces).

Review our transparent [Sample Master Services Agreement](/service-agreement-sample) to see how Devlip protects clients with strict scoped access and zero root credential handoffs.