TikTok Shop Fee Calculator UK: Commission, VAT and Logistics Costs

Model boundary

What this UK TikTok Shop fee calculator includes

This page combines two jobs without mixing their outputs. Estimate mode models a single order before sale. Actual mode retains the same assumptions, adds a reported settlement and optional statement lines, and identifies a difference that still needs reconciliation. Neither mode decides whether TikTok Shop made an error or whether a seller is eligible for reimbursement.

The distinction matters for TikTok Shop seller fees UK sellers see in Finance. A Shipped via Platform or FBT logistics charge can be a statement deduction, while a Ship by Seller carrier or 3PL bill is normally an external business cost. Use the 3PL warehouse for TikTok Shop UK guide to evaluate provider controls that sit outside this fee model. The calculator keeps those paths separate instead of reducing the expected TikTok settlement by both.

Official Commission Fee basis

How the TikTok Shop commission fee UK formula works

The current UK Commission Rate Policy gives this formula:

The official worked example defines Net Sales after both seller and Platform Discounts, then adds the Platform Discount back in the Commission Fee basis. The calculator follows that sequence and keeps both named refund components visible. It does not import the US referral-fee formula, US tax field or US category schedule.

For a partial refund, enter the applicable Net Sales Refund and Platform Discount Refund. For an entire returned order, select that status so the model applies the official rule that the full Commission Fee is refunded. Other logistics, service or return-related statement lines may still remain and must be checked separately.

The affiliate field is a planning input rather than a claim that one rate applies to every collaboration. The current UK seller-fees guide states the affiliate basis as product price minus Seller Discount minus Platform Discount; this tool applies the entered rate to modeled Net Sales. Confirm creator terms, refunds and the final signed statement line for the order.

Rates and TikTok Shop VAT

Standard 9% rate, specified 5% reductions and VAT treatment

How much commission does TikTok Shop take in the UK? The current policy states that the Commission Fee rate is 9% before incentive reductions. It documents an effective 5% rate for specified Electronics and Beauty & Personal Care categories. Other reductions can depend on missions or incentives made available at TikTok Shop’s discretion.

The 5% choice is therefore an eligibility preset, not a promise that every product with a similar category name qualifies. Product categorisation, seller eligibility, the live account schedule and the transaction date remain controlling. A custom input is available for a verified incentive or later rate change.

Is VAT included in the TikTok Shop commission? Yes. The official category guide says the documented rate is inclusive of applicable taxes, including VAT. The £0.50 Shipped by Seller Service Fee is also VAT inclusive. This tool does not add VAT to either charge a second time.

The logistics controls first ask whether the amount entered is before VAT or already VAT inclusive. For a before-VAT quote, the calculator starts at the official tool’s UK-based seller setting of 20% and provides its Global Selling 0% setting. For an official Logistics Cost Calculator estimate, choose VAT inclusive because TikTok’s guide says VAT has already been applied. These are cost-model inputs, not tax advice or a determination of the seller’s VAT obligations.

Route comparison

Ship by Seller, Shipped via Platform and FBT logistics costs

The policy route is commonly described as Ship by Seller. The current official fee card and Logistics Cost Calculator use the exact labels Shipped by Seller and Shipped via Platform. This page preserves those labels where they identify the fee or tool mode.

What is the £0.50 Ship by Seller fee?

The official rate card calls this the Shipped by Seller Service Fee. It is £0.50 per package, VAT inclusive, and applies only upon delivery to an order fulfilled through Shipped by Seller. It excludes FBT and Shipped via Platform. The calculator therefore multiplies the editable fee by the delivered parcel count only when that route is selected; enter zero delivered parcels before the trigger occurs.

How do I compare Ship by Seller vs Shipped via Platform costs?

Open TikTok Shop’s in-account Logistics Cost Calculator, compare its Shipped by Seller and Shipped via Platform modes, and transfer the relevant VAT-inclusive estimate here with the matching input basis selected. TikTok’s guide says its output is for reference and does not guarantee cost accuracy. Final planning should use the applicable rate card, carrier or 3PL quote and actual Seller Centre statement.

Illustrative order

Worked example: a £50 delivered Shipped by Seller order

Assume one £50 item, no shipping charge, discounts or refunds, the standard 9% Commission Fee, no affiliate commission, one delivered Shipped by Seller parcel and no entered logistics estimate. The Commission Fee basis is £50, producing a £4.50 Commission Fee. The VAT-inclusive service fee is £0.50, so modeled expected settlement is £45.

With £20 total COGS for the modeled order and no advertising or other entered cost, contribution profit is £25 and contribution margin against modeled seller revenue is 50%. A real Ship by Seller order will normally also have a carrier, packaging or 3PL cost. Entering that amount with the correct VAT basis reduces contribution profit but does not make it a TikTok statement deduction.

This example is illustrative. It is not a universal payout, profit forecast or confirmation that the standard rate applies to every product.

Actual settlement mode

Compare the estimate with Seller Centre statement lines

Switch to actual mode only after defining one comparable scope. Enter the reported settlement, then add the actual Commission Fee, affiliate, platform logistics or FBT charge, Shipped by Seller Service Fee, signed adjustments and reserve amount available for that same order or statement slice.

The reconstructed line starts with modeled seller revenue and applies the actual lines entered. If it matches the reported settlement while the original estimate does not, the difference is explained by those lines. If it still does not match, check signs, refund scope, statement timing, omitted transaction types and later adjustments before treating it as an exception.

A payout and a bank deposit can aggregate multiple statements. Do not enter a whole bank payment against a one-order estimate unless the scopes genuinely match. For wider UK statement, payout and bank review, use the TikTok Shop UK reconciliation support page.