fb
Incorporate.ltd
Comparison

Best Country for Amazon FBA Sellers (2026)

Wyoming LLC + Mercury Bank is the default answer for FBA Sellers targeting US Amazon — you need a US entity, US EIN, and US bank account. For UK Amazon sellers, UK Ltd works perfectly. For EU selle...

March 2026 3 min read
Best Country for Amazon FBA Sellers (2026)

What Amazon FBA actually requires

Amazon's seller onboarding requires: 1. A valid legal entity (company or sole trader) 2. A bank account in the country you're selling in (or a compatible bank account) 3. A tax identification number (EIN for US, VAT number for EU/UK) 4. Government-issued ID verification (passport)

Amazon does NOT require you to be incorporated in the country you're selling in — but it does require a bank account that Amazon can deposit to.

---

By marketplace

  • Amazon US (.com):
  • Best structure: Wyoming LLC
  • Why: Mercury Bank provides a US bank account for Amazon US deposits. The EIN (obtained free from IRS) lets you register as a US seller. Wyoming LLC is the cheapest way to establish a US entity.
  • Alternative: Delaware LLC (slightly more expensive but equally effective)
  • Tax note: A foreign-owned US LLC with no US-source income pays 0% federal tax; file Form 5472 annually ($25K penalty if missed)
  • Amazon UK (.co.uk):
  • Best structure: UK Ltd
  • Why: Wise Business provides a UK sort code and account number; Stripe UK and Amazon UK both work with this. 24-hour setup, £12 fee.
  • VAT: Mandatory registration for Amazon UK sellers above £90,000 turnover; Amazon collects and remits for some sales
  • Amazon EU (DE, FR, IT, ES, NL):
  • Best structure: Estonia OÜ, Irish Ltd, or any EU company
  • Why: You need an EU VAT number; the EU VAT OSS (One Stop Shop) allows you to register in one EU country and cover all EU marketplaces with a single VAT return
  • Practical: Estonian OÜ registered for EU VAT via OSS covers all five Amazon EU marketplaces with one quarterly return

---

Cost comparison for FBA structures

MarketplaceBest EntityYear 1 CostTax Rate
Amazon USWyoming LLCUSD 825–1,5250% on foreign-owned LLC income
Amazon UKUK Ltd£700–1,70019–25% CT
Amazon EUEstonia OÜ€1,070–2,5300% retained / 20% distributed

---

Common mistake: One entity for all marketplaces

Many sellers try to use a single entity for all Amazon marketplaces. The practical issue: each marketplace has separate banking requirements. Amazon US needs a US bank; Amazon UK needs a GBP account; Amazon EU needs an EU IBAN.

Pragmatic solution for scaling sellers: Wyoming LLC (US) + UK Ltd (UK/EU) + Wise Business for EUR receipts. Three entities sounds complex but the combined cost is ~USD 3,500–5,000/year — easily absorbed by any seller doing >USD 100K revenue.

---

---

هل تحتاج مساعدة في اختيار الولاية القضائية المناسبة؟

استخدم أداة اختيار الدولة المجانية أو احصل على استشارة مخصصة.

This content is educational and does not constitute legal or tax advice. Always consult a qualified professional for your specific situation. Data last verified March 2026.