Payment Account Currency Problem After Connecting to the Payoneer Account

[MasonicRegaliaStudio]

Hi,

I am facing a serious issue in my account after it was connected with the Payoneer.

The problem is that, in the payment account, in some transactions Etsy is writing the amount in both the currencies USD and INR while in some transactions only the INR. For example, please check the following transactions:

Dec 13, 2023

Fee
Listing fee ($0.20 USD)
Listing # 123456789
Auto-renew sold listing

-₹ 17

In the above transaction, the amount is written in both currencies so there is no problem in calculation.

Now see the following transaction:

Dec 13, 2023

Tax
Sales tax paid by buyer
Order # 1234567890
Remitted to tax authorities
-₹ 276

Here the amount is written in INR only so I am unable to know the amount in USD.

Here there is no mention of amount in USD so unable to reconcile the account.

As the Foreign Exchange is involved, in India, we need to know and to report to the regulatory agency that how much amount we received in USD and how much amount was deducted towards charges otherwise our bank will not clear the Shipping Bill entries from the EDPMS system which may result in penalties and/or suspension of our IEC.

Solution of this problem is that you also mention the amount in USD (like you mentioned in the first example above) in all the transactions whether the transaction belongs to Tax or Sales tax or TDS or TCS or any other charge.

This is a serious issue and we request you to please provide the amounts in both the currencies.

Your early solution in this matter is requested.

Thank you.

[BagmakerSupply]

@MasonicRegaliaStudio: "Your early solution in this matter is requested." Just so you know, even if Etsy Support or the Help Pages sent you here this is a seller peer to peer forum, and should not be considered a way to contact Etsy, if that is your hope (although Etsy does sometimes read and reply to posts).

[MasonicRegaliaStudio]

Hi,

I have written this here as other seller would also be facing this problem then maybe some solution can be found.

[CappuccinoLace]

It's not writing the currency in 2 different amounts.

It's the information description that is telling you that the Listing Fee is US$0.20. And then the actual fee in your currency.

Just like the transaction fee line would says Transaction Fee 6.5%.

As you setup in India, with Etsy Payments, Etsy will only show transactions in INR.

[MasonicRegaliaStudio]

Hi,

What Etsy is doing, in the 'Payment Account' they are showing amount in INR but remitting it to Payoneer in USD.

Now there is now way to know the amount is USD as neither amount in USD is mentioned nor the applied forex rate.

For example, recently there is a transaction in my payment account of INR  174 towards the processing fee but no mention of amount in USD so it becomes difficult to know it in USD.

There is no problem if they mention all the amounts in USD and remit it to the Payoneer who will later convert it to the INR. Payoneer provides the forex rate applied.

[Amaradorn]

Could you supply all your accounting in INR instead of USD? This would surely make more sense.

I'm in the UK so all my accounting is in GBP and that's what I supply to the tax authorities.

Have you downloaded the CSV files from your Monthly Statements page? What currency is used in those?

[MasonicRegaliaStudio]

Hi,

I am based in India and primarily selling in USA so I have to mention prices in USD and have to receive payment in INR.

I tried downloading the CSV but it shows the same information as 'Payment Account' is showing online i.e. no mention in USD.

[PrimFun]

The tax money is not yours.  Etsy removes that money at the point of sale so you never receive that money.

Can you use a currency conversion?  276 INR is 3.32 USD.

Etsy is going to show the funds in your currency but as I said you will not have the money for the US sales tax.  It is not your funds.  Etsy takes and remits to the state in question. 

[MasonicRegaliaStudio]

Hi,

It's not about the tax amount but the all charges and fees.

I know that the tax amount does not belong to me and there is no problem if they do not write it in USD as they will be remitting it to the tax authorities.

My main concern is that whatever amount is being received, fee and charges are deducted should  be informed in USD too as in India, sellers are supposed to report the forex amount received and charges deducted in both INR and as well as in foreign currency to the regulatory authority.

[ShylockedHerShop]

Hello, I am an Indian seller and I have international buyers here on Etsy. I receive money through paypal. Can i know how i can get back my itc and tds from etsy?

[MasonicRegaliaStudio]

Hi,

TDS by Etsy will reflect in your GSTR-2 and TCS in Income Tax Form 26AS.

You can claim TDS in form of ITC and TDS against your Income Tax liability.

[ShylockedHerShop]

Thanks for writing back. This is was I expected. But my TDS is not reflecting in my gstr2. It has not for the past three months. Etsy support is not responsive. Is there something I can do about this?

[MasonicRegaliaStudio]

First of all make sure that Etsy is having your corret GSTIN.

In my case Etsy started deducting tax only from the month of December 2023 and return is to be filed within a couple of days so the TDS figures will start appearing once Etsy files return.