Bookkeeping for Amazon sellers
Every two weeks Amazon pays out one net amount in which revenue, fees, advertising and refunds all run together — and at year-end the 1099-K reports a gross number your net-based books cannot explain. We turn it into an administration that balances.
Settlement reports that finally make sense
- Settlement breakdown: product revenue, shipping credits, referral fees, FBA fees and advertising each on the right account
- Refunds and reserves processed correctly — revenue stays revenue, a delayed payout stays a receivable
- Gross revenue per marketplace (.com, .ca, .co.uk, .de) split per country
- 1099-K reconciliation: books that match what Amazon reports to the IRS
- Nexus check on the states where your FBA inventory sits
- EU VAT when you expand to Amazon Europe — one partner for both sides
Frequently asked questions
What is actually in an Amazon settlement report?
Everything mixed together: product revenue, shipping credits, FBA fees, referral commissions, advertising costs, refunds, credits and reserves — over a two-week period, paid out as one net amount. We split the report onto the correct accounts, so revenue and costs each balance on their own.
Amazon sometimes holds money back as a reserve. How do I book that?
As a receivable from Amazon, not as a revenue correction. The revenue has already been earned; only the payout shifts. Our setup tracks that reserve separately, so both your cash picture and your revenue figures stay correct.
Does FBA inventory create sales tax obligations?
It can. Amazon remits sales tax on marketplace orders under facilitator laws, but inventory sitting in FBA warehouses can create nexus in those states — relevant for your own website sales and, in some states, for registration duties. We check this as part of the nexus study.
My 1099-K is much higher than my revenue. Is that wrong?
No — and that is exactly the trap. The 1099-K reports unadjusted gross sales, before refunds and fees. If your books are built on net payouts, they will not match what the IRS already has. We keep your books gross so everything reconciles.
Selling on Amazon, or about to expand?
Book an intro call before you scale into new warehouses or new marketplaces. The order of registrations decides whether it goes smoothly or has to be repaired retroactively.