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Fruugo will pay for and administrate customer requests for refunds of VAT and duty to help alleviate some of the friction, but you should still expect increased returns if you ship DDU.

Marketplace Tax

In some countries there has been a change to the taxation law which means that the retailer is no longer responsible for the remittance of sales tax / VAT to that country where the sale is made on a marketplace. The marketplace instead charges sales tax/VAT on the order and remits it under their tax registration for that country, and thus handles the tax responsibility for the retailer. It allows retailers to trade to these countries more easily.

As a seller you will still need to provide the documentation required for international shipments, but you will need to document that Fruugo has collected the sales tax on your customs declaration and consignment with their courier, including Fruugo’s relevant tax IDs. Ideally you should include the Fruugo invoice/packing slip in the parcel and stick it on the outside of the parcel where possible.

More information see: Marketplace Tax Responsibility