Etsy Fee Calculator with VAT
Fees, VAT on fees, and VAT on sales, kept separate.
Payment processing, the regulatory fee and VAT all follow where your shop is registered, not where the buyer is.
Enter 0 for free shipping — the fee is charged on the item price either way.
Registered sellers charge VAT on sales and can usually reclaim VAT on fees.
Rates last verified August 2026. Platforms change fees without much notice — every rate here is editable, and you should check the current schedule before pricing against it.
You keep after VAT
$36.66
not Sales tax registered
Not registered: you do not charge VAT on sales, but you pay VAT on Etsy's fees and cannot reclaim it.
How the Etsy Fee Calculator with VAT works
VAT enters Etsy's fee arithmetic twice, and the two are unrelated. Etsy charges VAT on its own fees to sellers in VAT jurisdictions. Separately, if you are VAT registered, you owe VAT on your sales. Confusing the two is one of the most common bookkeeping errors in handmade selling.
Not financial advice. Marketplace fees change, and they vary by country, plan and seller status. Every rate here is an editable default, not a quoted price — check the platform's current fee schedule before you price a product against it. This is not tax or business advice.
Frequently asked questions
Does Etsy charge VAT on its fees?
Yes, for sellers in countries with VAT where Etsy is required to charge it. If you supply a valid VAT registration number, Etsy generally applies the reverse charge instead and bills the fees without VAT.
Can I reclaim VAT on Etsy fees?
If you are VAT registered and the fees relate to your taxable business activity, generally yes — Etsy fees are a business expense like any other. Keep the monthly statements, which itemise VAT charged, as your evidence.
Do I charge VAT on my Etsy sales?
Only if you are VAT registered, either because you crossed the threshold or registered voluntarily. Below the threshold you do not charge it. Digital downloads are treated differently — Etsy handles VAT on those automatically in most markets regardless of your status.
Should I register for VAT voluntarily?
It can pay off if you sell mostly to VAT-registered businesses or have significant reclaimable input VAT on materials and equipment. For sellers to consumers it usually means either raising prices or absorbing the VAT out of margin. This is a decision to take with an accountant.