Amazon Seller Account USA: Registration, Costs, and Compliance Traps for International Sellers

Why Most Amazon Seller Account Registrations Fail in the USA

Most guides will tell you that opening an Amazon seller account USA is a simple administrative checklist. They are wrong.

In today’s regulatory climate, hitting "Register" is not just a sign-up process—it is a compliance audit. From the second you submit your application, Amazon’s Identity Verification bots scan for the slightest inconsistency. A missing middle name on a bank statement or a blurry ID photo is enough to trigger an immediate Amazon seller account deactivation status before you list a single product.

Consider Mark. Mark spent six months sourcing the perfect hiking backpack. He had his inventory ready, his photos taken, and his capital lined up. He sat down to open his Amazon account. He typed his name, uploaded his driver’s license, and hit submit.

Twenty-four hours later, Mark wasn’t selling. He was staring at a "Deactivated" screen.

Why? He typed “Mark J. Reynolds” in the registration form, but his bank statement read “Mark Reynolds.” His utility bill showed “Mark J.” at “123 Main St.” while his passport and registration details used “123 Main Street.”

To a human, those differences are meaningless. To Amazon’s identity system, there are three different profiles.

That mismatch was enough to trigger a verification failure. The system didn’t ask for clarification. It flagged the account as high risk and halted the registration.

At ave7LIFT, we see this happen to thousands of sellers. The seller Amazon operates on a "Guilty Until Proven Innocent" basis. If their AI cannot verify your identity with 100% certainty, they lock the door. This guide is not just about how to sign up; it is about building a compliant foundation so your account stays open.

Planning to register soon? Don’t let a typo kill your launch. Use the ave7LIFT to run an Exact-Match preflight check (name/address/entity) before you press Register.

What Are The Essential Requirements To Sell On Amazon in the USA?

Before you open the registration page, you must understand the "Exact Match" Rule. This is where Mark failed. 

If the "Input" (your form data) does not perfectly match the "Evidence" (your documents), the "Output" is a rejection.

Let's understand how Amazon flags risk. The next sections cover mandatory document matches, recommended pre-checks, and behaviors that trigger fraud risk.

Required Documents: Exact Match Only

To avoid timeouts and IP flags, have these mandatory documents physically on your desk before you begin:

• Government-Issued ID: A passport or driver's license. It must be in color, unexpired, and the name must match your registration exactly.

• Bank or Credit Card Statement: Must be issued within the last 180 days. Amazon requires the official PDF statement showing your name and address—screenshots of mobile banking apps are automatically rejected.

• Chargeable Credit Card: This is required for Amazon to charge subscription fees. Crucial: Do not use a prepaid card or a virtual card. Amazon views these as high-risk and often rejects them immediately.

• Tax Information: A Social Security Number (SSN) for US citizens or a valid tax ID (EIN) for business entities.

• Mobile Phone: For Two-Factor Authentication (2FA).

Recommended Pre-Checks to Reduce Verification & Suspension Risk

These are not always required on Day 1—but not having them dramatically increases the chance of delays, manual review, or future deactivation.

• Registered business entity (US LLC preferred): Creates a clean, consistent document stack under a single legal name.

• Dedicated email address for seller operations: Do not reuse a personal buyer account email.

• US-based bank account or trusted cross-border provider: Reduces payout delays and name-matching issues.

• Single device + stable location for registration: Avoid switching networks or computers mid-process.

• Pre-flight Exact Match check: Confirm name, address, punctuation, and entity formatting match across all documents before registering.

Think of this as surgical prep: You can technically skip it—but the complication risk is much higher.

High-Risk Actions That Trigger Amazon Fraud Risks

Most Amazon Seller Account in the USA registrations don’t fail because the documents are “wrong.” They fail because seller behavior during setup trips fraud detection before a human ever looks at the file.

Amazon treats the seller central login creation process like a compliance audit—not a form submission.

Avoid these high-risk behaviors during setup:

• Using a VPN or masked IP address: Even “clean” commercial VPNs frequently flag country mismatches.

• Multiple failed registration attempts: Each retry increases fraud weighting. Do not “keep trying.”

• Editing or re-uploading documents repeatedly: Cropping, renaming, or modifying PDFs mid-process signals manipulation.

• Country mismatch signals: Example: non-US IP + US entity + foreign bank + foreign phone number.

• Using a VA’s device or shared computer: Shared fingerprints can link accounts before approval.

• Switching browsers, devices, or locations mid-registration: Consistency matters more than speed.

Rule of thumb: If Amazon detects instability or inconsistency, your application is silently escalated to manual review—or blocked entirely.

Once these foundations are set correctly, choosing between an LLC, SSN, or EIN becomes a strategic decision—not a recovery problem.

Do You Need An LLC To Open An Amazon Seller Account in the USA?

Technically, no. You are not legally required to have a Limited Liability Company (LLC) to start selling on Amazon. You can start as a Sole Proprietor.

However, from a "Defense" perspective, forming an LLC is highly recommended for two reasons:

1. Liability Protection: If a customer is injured by your product, an LLC protects your personal assets (house, car, savings). As a Sole Proprietor, you are personally liable.

2. Tax Interview Continuity: When you set up your tax profile in Seller Central, having an LLC allows you to use a business EIN rather than your personal SSN. If Mark had started with an LLC, his business identity would have been distinct from his personal banking inconsistencies, potentially avoiding his initial mismatch. It doesn’t ‘bypass’ verification—it gives Amazon a cleaner, consistent document stack (entity name, EIN letter, bank statement) instead of mixing personal variations.

Do I Need an SSN To Sell On Amazon in the USA?

If you are a U.S.-based seller (citizen or resident alien), yes, you must provide a Taxpayer Identification Number.

• Sole Proprietors: You will provide your Social Security Number (SSN).

• Single-Member LLCs: You may still need to provide your SSN for the "disregarded entity" status, though you can often use your EIN.

Do I Need A Tax ID To Sell On Amazon in the USA?

A Tax ID, specifically an Employer Identification Number (EIN), is issued by the IRS to identify a business entity.

While you can sell with just an SSN, getting an EIN is free (via the IRS website) and acts as a layer of privacy. It prevents you from having to share your personal SSN with suppliers or on public invoices.

The Tax Interview Process: Once you enter the Seller Central login area, you must complete the "Tax Interview." This is a digital form where you declare your tax status.

• If you use an EIN, the "Legal Business Name" line must match what is on your IRS CP575 notice (the letter you got when you received your EIN).

• Amazon will pause your account setup until this number validates against IRS records, which usually takes 1–4 days.

Can I Sell On Amazon If I Am Not A Business in the USA?

Yes, Amazon offers an Individual Selling Plan designed for casual sellers clearing out their garage or hobbyists testing the waters.

• Cost: No monthly fee, but you pay $0.99 per item sold.

• Limitations: This plan is restrictive. You are not eligible for the Buy Box (the "Add to Cart" button), you cannot run Amazon PPC advertising, and you cannot access advanced inventory reports.