Yes, if selling into UK or EU markets. UK VAT registration required for goods stored in the UK regardless of sales. EU VAT registration required in markets where inventory is stored (Germany, France, etc.). Cross-border sales without registration violate tax law, risk Amazon account suspension, and create retroactive tax liability with penalties.

Consequences include: shipment delays (goods held at customs), financial penalties (incorrect VAT/duty calculations), retroactive tax assessments (years of back-taxes plus penalties), Amazon chargebacks (late/missing shipments), and potential account suspension (serious compliance violations).

Constantly. Post-Brexit created massive changes. EU VAT rules evolve regularly. Tariffs change with trade agreements. Product regulations update frequently. Compliance requires continuous monitoring what was compliant last year may not be today. Automated monitoring and proactive updates prevent expensive surprises.

Each market adds complexity: additional VAT registrations, market-specific regulations, labeling requirements, and compliance obligations. However, proper initial structure makes expansion easier correct entity setup, HS codes, and documentation processes scale efficiently. Starting with scalable compliance infrastructure prevents costly restructuring later.