Amazon Return Policy Updates (2025-2026)
Amazon's 2025–2026 changes hit FBA reimbursement rules, returns processing fees, and FBM refund timelines. Sellers should re-check their reimbursement claims and update refund SLAs now, or risk silent margin loss on every return.
Platform policies change frequently. This reflects the rules as of early 2026 — always confirm against the platform’s current official policy.
Amazon has introduced several changes to seller return policies and inventory reimbursement for 2025-2026. These changes will affect daily operations and costs, so it is recommended to understand them in advance.
1. FBA Inventory Reimbursement Policy Changes
Effective March 31, 2025
Changes to FBA inventory lost/damaged reimbursement: For items lost or damaged in the warehouse prior to a customer order, Amazon will reimburse based on the product’s procurement cost rather than the retail price. Sellers can submit their cost data in the “Inventory Defects and Reimbursements” portal.
Key points to note:
- If cost data is not provided, Amazon will estimate based on similar products.
- Items lost after a customer order will still be reimbursed based on sales price minus fees.
- Claim window shortened to 60 days; overdue claims will not be accepted.
2. Returns Processing Fee Changes
Fees for High Return Rate Products
Starting June 2024, Amazon charges an additional returns processing fee for products (excluding apparel/shoes) with return rates exceeding the category threshold.
⚠️ 2026 Apparel Category Changes
Starting in 2026, apparel, footwear, and fashion accessories will also be subject to returns processing fees. For these categories, every returned item may incur a fee, not just those exceeding a threshold.
FBM Refund Processing Extension
Starting January 26, 2026, the refund processing time for FBM orders is extended from 2 business days to 4 calendar days after receiving the return, giving sellers more time to inspect items. However, automatic refunds may occur if not processed on time.
3. New Features for Sellers
📋 Custom Returnless Refund Rules
Sellers can now set more flexible returnless refund rules in Seller Central, including:
- By price range (e.g., direct refund without return for items under $10)
- By product category
- By return reason
- By return window
This helps sellers save on reverse logistics costs for low-value items.
4. Holiday Return Window
Amazon extends the return window during the holiday season:
- Items purchased between November 1 and December 31, 2025
- Can be returned until January 31, 2026
Sellers need to prepare sufficient customer service resources to handle the post-holiday return peak.
5. FBA Prep Service Termination (US)
Starting January 1, 2026, Amazon will discontinue FBA Prep & Labeling services in the US. This means:
- Sellers must handle packaging, labeling, bagging, bundling, etc., themselves.
- Or find a third-party service provider to handle it.
6. Impact on CS Teams
These policy changes impose new requirements on CS teams:
- Faster Response: Although FBM refund time is extended to 4 days, prompt processing is still needed to avoid auto-refunds.
- Cost Data Management: Need to coordinate with operations to update product cost info.
- Holiday Scheduling: Plan ahead for January return handling staffing.
- Rule Familiarity: CS agents need to know the conditions for returnless refunds.
Policies are constantly changing. It is recommended to check official notifications in Amazon Seller Central regularly. This article is for reference only.
Conclusion
Amazon policy adjustments are the norm, and sellers need to pay continuous attention to stay ahead of them and adjust their operations accordingly.