FEDEX - Admin Fee

injustice-gene

Hi,
I'm pretty sure that this has been discussed on this site before, although I can't find any threads.

I recently received a parcel, delivered by FedEx, from a country outside the EU. The parcel contained a wristwatch and the parcel was clearly marked as a 'GIFT' with a value of US$40.00. I had to sign for delivery, but was given no other information or documentation at this time.

Two weeks later, however, I received an invoice from FedEx for an amount of £10.44. This amount was for a 'deferred Revenue' (customs VAT) of £3.64 and a FedEx 'Administration Fee' of £6.80.

I fully understand the requirement to pay any VAT to our esteemed Chancellor, however I am not happy paying an admin fee to FedEx - particularly as their fee is almost twice the cost of the VAT.

Can anyone advise me as to whether I have a legal obligation to pay FedEx their fee, and if I don't, what consequences could there be?

Ivory_Tinkler

Sorry but yes you do have to pay. Fedex have already paid the vat on your behalf to release the parcel to you and this is their fee for processing your parcel through customs. Parcelforce also charge a fee for handling the import of goods over the allowance threshold but they make you pay up front before they will release the goods to you. If you import anything (whether gift or otherwise) you as the recipient are responsible for taxes and charges to import. For the amount involved its probably not worth the bother so just chalk it up to experience.

injustice-gene

Thanks for the reply Ivory Tinkler, but as you can imagine, it wasn't what I was looking for or hoping for :rotfl:

I'm still mightily annoyed over it all though and the money has no bearing on my annoyance. The item was a gift and I didn't import it. It was exported by the sender and the importers were FedEx. I was just the recipient of a postal delivery and was blissfully unaware of the arrival of a gift or the terms and conditions coming with it.

I don't mind paying the VAT although I believe the sender was the one under contract with FedEx and not me, so why should I pay their admin fee, why wasn't this paid by the customer in the first instance? I was not the one entering into a contract with FedEx and I dread to think what would have been charged if the sender of the gift had grossly over-represented the value (as some people do when sending gifts). :mad:

Thanks again Ivory Tinkler, much appreciated.

custardy

customs are decided in the receiving country so its not as easy as fed ex charging the sender
though some companies do a full inclusive service
however given the item was marked as a gift at $40 the you may want to appeal the customs fee in the first place.

injustice-gene

Thanks Custardy, but I think that the UK's custom limits only allow up to £18 (or something like that) before duty is levied.

I really haven't got a problem with the duty element though, it's just the principle of paying an admin fee (twice the cost of the customs VAT charge) to a third-party when I'm not their customer. :mad:

custardy

injustice-gene wrote: »

Thanks Custardy, but I think that the UK's custom limits only allow up to £18 (or something like that) before duty is levied.

I really haven't got a problem with the duty element though, it's just the principle of paying an admin fee (twice the cost of the customs VAT charge) to a third-party when I'm not their customer. :mad:

£36 for gifts IIRC

edit: http://www.nibusinessinfo.co.uk/bdotg/action/detail?site=191&type=RESOURCES&itemId=1082225059

injustice-gene

Thanks again Custardy... I'm going to appeal! :beer:

The_Pedant

There's a few more caveats on the customs website: http://www.hmrc.gov.uk/customs/post/buying.htm#4

Was the sender clearly an individual? If so, sounds like you should be able to challenge at least the VAT/duty portion. Not sure if Fedex would still charge for 'processing it'

injustice-gene

Thanks Pedant. Yes, the recipient was an individual and the gift was for a special occasion (birthday). I've sent an e-mail to FedEx asking for review of the charges... I might just be lucky!

KeithP

injustice-gene wrote: »

Thanks Pedant. Yes, the recipient was an individual and the gift was for a special occasion (birthday). I've sent an e-mail to FedEx asking for review of the charges... I might just be lucky!

But The Pedant asked...
Was the sender clearly an individual?

injustice-gene

Hi KeithP,

Yes, the sender was clearly marked as an individual, my mistake, I meant this in my reply.