Amazon on parcel tax: “It can’t be easily cushioned”

Thousands of domestic companies use Amazon as a sales channel. Last year they have more than 730 million euros implemented via the marketplace. Even if almost 85 percent of which were earned abroad, the government’s planned tax of two euros for parcels delivered in Austria is also an issue here.

The tax affects all trade, says Iris ThalbauerManaging Director of the Federal Trade Division in the Chamber of Commerce. Over 4,000 domestic SMEs would sell their products on platforms such as Amazon or Ebay. She says it will remain with small businesses or will have to be paid for by consumers. In order to fend off cheap competition from the Far East, other measures are needed, such as stricter customs controls for parcels from third countries.

Impact on SMEs

The planned tax is to be collected 1 October of platforms with more than 100 million euros annual turnover. However, also for packages from small retailers who offer their products on their marketplaces. They would have to pay large platforms like Amazon. How the marketplace operator will deal with the tax, whether it will be passed on to retailers or consumers or swallowed by the online leader, is not wanted to be discussed in detail.

The legislation is still in flux and it is too early to comment on operational decisions, says the Amazon country manager responsible for Austria Yorck von Mirbach. However, a tax of 2 euros, regardless of whether on orders worth 5 or 500 euros, will have an impact on customers and SMEs in Austria and reduce digital competitiveness: “Retail has low margins and that cannot easily be cushioned.”

He says he would also like to see good growth in online sales next year Lukas Grubauerwhich is responsible for the online sales of the beverage company water drop is responsible. The company, which produces flavored cubes that can be dissolved in drinking water, sells them not only through brick-and-mortar retailers and its own online store, but also through marketplaces such as Amazon or Shop Apotheke. In any case, customers or SMEs should not pay the bill for the planned fee, says Grubauer.

Also Toni Polster is present at the opening of the Amazon store. The record goalscorer warns his ex-national team-mate, who is also present, about this Andreas Herzog too close to the buffet and promotes products from local retailers. Including a red hat that football fans are supposed to wear to cheer on the national team at the upcoming World Cup.

The headgear, made in Italy, is sold by the traditional Viennese company Sibling walls. The hat specialist shop, which has been around for more than 150 years, generates almost 20 percent of its sales online. Hats and caps are mainly sent to Germany via the Amazon marketplace. The tax would only affect you to a small extent. Mauerer junior boss Max Runge can still gain little from her.

On the one hand, politics is trying to… Inflation on the other hand, it will be driven up with a new tax: “In the end, the parcel tax will hit consumers.” This is not doing the location a good service. Austria is already lagging behind Germany in online trading.

Hurdles in the internal market

WKÖ division manager Thalbauer also sees it Digitalization There is a need to catch up in domestic trade. The opportunities for small businesses are huge. She would like to see a reduction in the hurdles in the EU internal market. Regarding the parcel tax, she says: “I hope that the government will say goodbye to it.”