How to Navigate Amazon Expansion in 2025 — Tax, Compliance & Strategy
The world of international e-commerce is changing rapidly — and Amazon sellers can’t afford to fall behind.
In this Executive Roast episode, Emma Bagley (Founder of Zeal Agency) sits down with Khaled Khaled from AVASK, one of the UK’s leading tax and compliance firms for e-commerce brands.
The conversation dives deep into what UK sellers need to know about expansion into Europe — from Irish FBA opportunities to Italy’s complex new tax rules and upcoming EPR changes across the EU.
This blog post breaks down the entire interview and highlights what you must be aware of going into 2025.
🇮🇪 Expansion Opportunity: Amazon’s New Irish Fulfilment Centre
Amazon has officially opened a fulfilment centre in Ireland. Here’s why it matters:
✔ UK-based sellers can now store stock in Ireland — a powerful entry point into EU markets
✔ Sellers require an Irish VAT number to take part
✔ Amazon is currently offering a free Irish VAT registration and two years of compliance if done through AVASK
This means no compliance fees until 2027 — a low-risk way to trial expansion without the financial burden.
“This is an amazing opportunity for UK sellers who want to test European markets before committing to full Pan-EU infrastructure.” — Khaled, AVASK
🇪🇺 What’s Changing with Pan-EU in 2025
Pan-European FBA is Amazon’s most powerful tool for rapid delivery and Prime eligibility across Europe.
But to access it:
→ You need at least two VAT registrations in major countries (France, Germany, Italy, Spain)
→ Listings must now be active in all five core markets (FR, DE, IT, ES, NL)
Here’s the strategy Khaled recommends:
Start with France + Germany — they’re the strongest Amazon markets in Europe.
Expand listings across all eligible markets (even if you’re not storing there).
Assess sales quarterly and obtain additional VAT numbers only where demand supports it.
This phased approach balances speed with cost-efficiency.
🇮🇹 Italy’s Bank Guarantee Requirement: What You Need to Know
Italy is cracking down on VAT non-compliance and fraud. The result? A new regulation requiring a financial guarantee of up to €50,000 for non-EU sellers.
You have 3 options:
A bank letter from your business bank
An insurance-backed guarantee (issued by a local insurer in your country)
Paying the full €50,000 into a designated account (least preferred option)
This requirement is still being finalised, but sellers considering Italy in the next 6–12 months should plan ahead.
AVASK can guide you through the most cost-effective route to remain compliant and avoid nasty surprises.
♻️ EPR Compliance: Avoid Listing Suppression in 2025
Extended Producer Responsibility (EPR) rules are expanding — and ignoring them will lead to deactivation.
New countries enforcing mandatory compliance by August 2025:
Poland
Netherlands
Belgium
Sweden
Italy
Ireland
What you need to do:
→ Understand which categories you fall into (packaging, electronics, batteries, single-use plastics)
→ Register for a compliance number in each relevant country
→ Upload that number to Seller Central to avoid suppression
Amazon’s “Pay on Behalf” scheme can help with some fees — but comes at a cost (€25/category/year + 3% commission).
Tip: Packaging compliance is mandatory for all sellers. Start here.
🧠 Product Compliance Is a Blind Spot for Most Sellers
Sellers expanding into the EU often forget: it’s not just about tax.
You’re now legally responsible for the safety and labelling of your product — including:
→ Health & safety certifications
→ Ingredients & origin information
→ Manufacturer compliance
And with Amazon retiring its “Responsible Person” service, you are now accountable.
AVASK can’t do this piece directly, but they strongly recommend sellers get specialist advice before shipping stock.
🔮 What’s Next? Amazon in 2030
Emma closed the episode with a crystal ball question:
“Where is Amazon headed?”
Khaled’s prediction:
More marketplaces across Europe
Deeper AI integration in how customers discover and choose products
Search may be replaced by voice, chatbots, and AI-led recommendations
If you’re not building trust, reviews, and clarity into your listings now — AI won’t pick you.
✅ Key Takeaways
✔ Take advantage of the free VAT registration + 2 years compliance in Ireland (via AVASK + Amazon promo)
✔ Be proactive about EPR compliance in PL, NL, BE, SE, IT, and IE
✔ Start exploring the bank guarantee process for Italy now
✔ Contact AVASK for step-by-step guidance — they are specialists for a reason
📞 +44 (0)23 8060 0120
📩 enquiries@avaskgroup.com
About Zeal Agency
We’re a performance marketing agency for brands selling on Amazon and beyond. From PPC to strategy to conversion-led creative, we help you turn traffic into profit.
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