METHOD & SOURCES

TikTok Shop Europe Profit Formulas and Fee Sources

How the profit estimate is structured

The model begins with the VAT-inclusive customer price and separates standard VAT to estimate operating revenue. It then accounts for platform commission, affiliate commission on attributed orders, advertising, product cost, fulfilment and expected return effects.

Why policy dates matter

TikTok Shop platform fees and new-seller incentives can change. Always retain the source and effective date used for an order cohort, and reconcile historical orders against the policy that applied at the time.

Source hierarchy

  1. TikTok Shop Academy, Seller Center and Partner Center documentation
  2. European Commission and national tax authority guidance
  3. Anonymised settlement examples used only to check fields and rounding
  4. Industry commentary for issue discovery, never as the source of a calculator rate

Official references currently used

Important limits

Country standard VAT is a planning default. Reduced product rates, special territories, OSS or IOSS treatment, registration and filing obligations depend on your facts. TokMargin is independent and is not affiliated with or endorsed by TikTok or ByteDance.