Increase limit on non-EU customs duty

Princess_Jane

Apologies if anyone has posted this - doesn't sound very sexy but as below from HMRC:

From next month, internet shoppers will no longer have to pay customs duty on non-EU purchases worth up to £105.
Customs duty is currently payable on goods bought online from non-EU countries worth £18 or more. But from 1 December, the new £105 limit will apply. VAT will still be charged on goods over £18, and is not affected by the changes.

Good news for online Christmas shopping fests!

King_Of_Fools

But VAT is still charged so it will make little difference.

Princess_Jane

My SIL was charged £25 duty on a pair of Uggs she bought from the US, surely that's more than a little difference?

King_Of_Fools

Princess_Jane wrote: »

My SIL was charged £25 duty on a pair of Uggs she bought from the US, surely that's more than a little difference?

I am not certain what the rate of duty on boots is but it is usually around 5%. Therefore, either the boots cost around £500 or the £25 included VAT at 17.5% as well and the boots were around £100.

The VAT is still payable so the difference in your SIL's case would have been around £5 not £25.

fedupconsumer

King_Of_Fools wrote: »

But VAT is still charged so it will make little difference.

it will the customs duty charge costs £7 so it will make a big difference.

King_Of_Fools

fedupconsumer wrote: »

it will the customs duty charge costs £7 so it will make a big difference.

But there will still be the VAT and courier administration charges so proportionally it will not be that large.

Princess_Jane

King_Of_Fools wrote: »

I am not certain what the rate of duty on boots is but it is usually around 5%. Therefore, either the boots cost around £500 or the £25 included VAT at 17.5% as well and the boots were around £100.

The VAT is still payable so the difference in your SIL's case would have been around £5 not £25.

Clothing is 12 per cent, not sure if boots would come under this.

Even if it's only a fiver I'd rather have it in my pocket.

roses

Can anyone explain how this works?

If I order a dvd for £19 from amazon.com, .do I have to pay VAT plus the customs admin fee?

deanos

roses wrote: »

Can anyone explain how this works?

If I order a dvd for £19 from amazon.com, .do I have to pay VAT plus the customs admin fee?

You will pay VAT on the total amount including postage if its over £18 + a handling fee which is around £7 from Royal Mail.