For Amazon fulfilled units under FBA program, Amazon determines a Shipping fee and Giftwrap fee to be charged to the customer (Clause F.10.2 of the Business Solution Agreement). The Shipping and Giftwrap fees between sellers and customers are tax inclusive and same are reported to the seller by Amazon. Amazon can charge seller a fee equal to the amount charged to the customer.
Currently, Shipping and Giftwrap chargeback amounts are calculated as total amount collected from the customer net of applicable taxes if any charged by the seller for their orders.
Effective September 5, 2018, Shipping chargeback and Giftwrap chargeback will be as below. The chargeback amount will be equal to the lower of:
*includes GST on Amazon fee
Refer to the example below for further understanding.
Order Payment Details page:
Payment Settlement Report showing Shipping Chargeback:
For any questions, contact Seller Support.
To provide feedback, write to firstname.lastname@example.org.