TikTok Shop Malaysia has announced that it will be introducing a new marketplace commission fee of 2 per cent to sellers beginning 10am on 1 March 2023. The marketplace platform clarified that the commission fee is subjected to 6 per cent value-added taxes (VAT).
According to the TikTok Shop Academy website, the commission fee is being imposed so that the platform can “continuously provide the TikTok Shop experience” to its sellers and buyers. Furthermore, the commission fee will only be applied to all successfully delivered orders.
As for items returned by buyers, the commission fee will be refunded to the seller. For orders which are returned partially, they will be refunded based on the actual returned item.
Do note that the 2 per cent commission is exclusive of VAT, meaning that charges after VAT is 2.12 per cent and that the commission is calculated from the item price minus any seller promotional charges. As for the platform promotional charges, they will not be deducted from the item price.
Here is how the commission fee is calculated:
So, what do you guys think of this change introduced by TikTok Shop? Share your thoughts with us in the comments below and stay tuned to TechNave for more trending tech news.
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