Dec '25 • 💬 Discussions
The Tax Trap (For Authors Selling Outside Amazon)
This is for authors who sell directly to readers (not on Amazon).
When you sell on your own website, you become the legal seller.
That means VAT (UK/EU) and US sales tax can apply based on where your reader lives — even if you don’t live there.
Most authors don’t realize this until revenue grows.
The simplest fix is using a Merchant of Record (MoR).
A Merchant of Record legally sells the product on your behalf and handles:
• VAT and sales tax
• Compliance and remittance
• Refunds and chargebacks
You focus on writing and marketing. They handle the legal side.
Examples authors commonly use: Gumroad, Lemon Squeezy, Paddle, Payhip (with MoR option).
Amazon already does this for Amazon sales.
This is specifically for authors building income outside Amazon.
Question for discussion:
Are you currently selling direct, or planning to in the future?
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The Tax Trap (For Authors Selling Outside Amazon)
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