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The short version
- The Regulatory Operating Fee is a percentage Etsy charges sellers in some countries on top of its other fees. It applies to the item price plus shipping (and gift wrap or personalization if you charge for it).
- Rates changed on June 22, 2026: UK 0.48% (was 0.32%), France 1.14% (was 0.47%), Italy 0.80% (was 0.32%), Spain 0.88% (was 0.72%), Hungary 1.97% (new), Turkiye 1.67% (was 2.27%), India 0.05% (was 0.29%).
- Etsy's Help Center also lists Canada at 0.50% and Vietnam at 1.24%.
- It is small per order but it stacks: a UK seller now pays 6.5% transaction fee + payment processing + 0.48% on every sale.
What is Etsy's Regulatory Operating Fee?
The Regulatory Operating Fee is a percentage of each sale that Etsy charges sellers based in certain countries, which Etsy ties to the cost of operating under regulations in those countries. Etsy calculates it on the item price and shipping costs, including gift wrap and personalization costs if they apply. It shows up in your Payment account next to your other seller fees, and VAT is added to it where VAT applies to Etsy's fees.
It is separate from the main Etsy fees (USD 0.20 listing fee, 6.5% transaction fee, payment processing and optional Offsite Ads). Buyers never see it: it comes out of what you receive.
What are the Regulatory Operating Fee rates by country in 2026?
| Seller country | Rate now | Before June 22, 2026 | Change |
|---|---|---|---|
| United Kingdom | 0.48% | 0.32% | up |
| France | 1.14% | 0.47% | up |
| Italy | 0.80% | 0.32% | up |
| Spain | 0.88% | 0.72% | up |
| Hungary | 1.97% | none | new fee |
| Turkiye | 1.67% | 2.27% | down |
| India | 0.05% | 0.29% | down |
| Canada | 0.50% | not shown by Etsy | listed on the Help Center |
| Vietnam | 1.24% | not shown by Etsy | listed on the Help Center |
Sources: Etsy Help Center article on the Regulatory Operating Fee and Etsy's Community announcement of the June 22, 2026 changes, checked October 13, 2026. Etsy can change these rates; your Payment account shows what you were charged.
Hungary had no Regulatory Operating Fee before June 22, 2026. If you sell from Hungary, your margin on every order dropped by about 2% that day. Check that your prices still cover it.
How much is the fee on a real order? Worked examples
The fee is charged on the item price plus shipping. These examples are illustrative and show only the Regulatory Operating Fee and the 6.5% transaction fee, not payment processing.
| Seller in | Item + shipping | Regulatory Operating Fee | Transaction fee (6.5%) |
|---|---|---|---|
| United Kingdom | £30 + £4 = £34 | 0.48% = £0.16 | £2.21 |
| France | €30 + €5 = €35 | 1.14% = €0.40 | €2.28 |
| Spain | €25 + €5 = €30 | 0.88% = €0.26 | €1.95 |
| Hungary | €40 + €6 = €46 (example in euros) | 1.97% = €0.91 | €2.99 |
| Canada | C$35 + C$8 = C$43 | 0.50% = C$0.22 | C$2.80 |
To see your full payout with payment processing and Offsite Ads included, use the free Etsy fee calculator.
Who pays the Regulatory Operating Fee?
Sellers whose shop is based in one of the countries Etsy lists. It depends on where your shop is registered, not where your buyer lives. A seller in France pays 1.14% on a sale to a buyer in the US; a seller in a country Etsy does not list does not see the fee on that same order. If you are unsure, open a recent order in your Payment account: the fee appears as its own line when it applies.
How should you price for it?
- Add it to your fee stackTransaction fee 6.5% + payment processing for your country + Regulatory Operating Fee. For a UK seller that is roughly 11% before Offsite Ads; check your exact processing rate in Etsy's Payments Policy.
- Include shipping in the mathThe fee is charged on shipping too, so free-shipping prices that fold postage into the item price pay it either way.
- Recheck after every Etsy fee noticeEtsy announces changes in its Community announcements and by email. Our seller fee changes tracker logs them.
- Round prices up, not downOn a £34 order the UK increase from 0.32% to 0.48% costs about 5p. Small per order, but across 1,000 orders that is £54 a year.
How is it different from VAT and the transaction fee?
| Fee | Who pays | Charged on | Rate |
|---|---|---|---|
| Transaction fee | Seller | Item price + shipping + gift wrap | 6.5% |
| Payment processing | Seller | Total sale incl. tax and shipping | Depends on your bank's country |
| Regulatory Operating Fee | Seller (some countries) | Item price + shipping (+ gift wrap, personalization) | 0.05% to 1.97% |
| VAT on Etsy's fees | Seller (where VAT applies) | Etsy's fees, including this one | Your country's VAT rate |
| Sales tax / VAT on the sale | Buyer | The order | Collected by Etsy in many places |
Know your real Etsy profit per sale
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Frequently asked questions
What is the Regulatory Operating Fee on Etsy?
A percentage of each sale that Etsy charges sellers in certain countries which Etsy ties to the cost of local regulations. It applies to the item price and shipping, plus gift wrap and personalization if charged.
How much is the Etsy Regulatory Operating Fee in the UK?
0.48% since June 22, 2026. It was 0.32% before.
How much is the Etsy Regulatory Operating Fee in France?
1.14% since June 22, 2026, up from 0.47%.
Does Hungary have an Etsy Regulatory Operating Fee?
Yes. Since June 22, 2026 sellers in Hungary pay 1.97%. Hungary had no such fee before.
Is there an Etsy Regulatory Operating Fee in Canada?
Etsy's Help Center lists Canada at 0.50%.
Is the Regulatory Operating Fee charged on shipping?
Yes. Etsy charges it on the item price and shipping costs, and on gift wrap and personalization costs if you charge for them.
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Rates as of October 13, 2026, from Etsy's own pages; Etsy can change them. Examples are illustrative. This guide is general information, not tax or accounting advice. SuanSupply is not affiliated with Etsy.