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Gifts from USA...Now we have to pay VAT+ handling fees.

Roger_Tatt
Roger_Tatt Posts: 19 Forumite
edited 9 January 2010 at 12:29PM in Consumer rights
I just received another letter from Parcel Force stating that we owe them about £30 (£22 for VAT and £8 for handling) just to receive Christmas presents from my mother in the USA....I have lived in the UK with my husband and two kids for the pass 9 years...Over the pass two years we have had to pay over £200 just to received Birthday and Chirstmas presents from my mother in California...Up until two years ago we didn't have any of these problems...Can anyone please give me some advice so we don't occur any more taxes or VAT for receiving gifts from Grandma in California. She always checks the gift box when mailing out parcels. Any help and advice would greatly be appreciated...Thank-you in advance.

Jennifer....Roger's wife
«1

Comments

  • PeteMc
    PeteMc Posts: 567 Forumite
    Part of the Furniture 500 Posts
    Make sure the value of the contents in the parcel is below £36 (or $ equivalent) and no VAT or handling fee will be charged.
    Your mother may have to send more than one parcel but it may be cheaper than the charges.
    If the item is over £36 in value then you will have to suffer the charges.
  • custardy
    custardy Posts: 38,365 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    Roger_Tatt wrote: »
    I just received another letter from Parcel Force stating that we owe them about £30 (£22 for VAT and £8 for handling) just to receive Christmas presents from my mother in the USA....I have lived in the UK with my husband and two kids for the pass 9 years...Over the pass two years we have had to pay over £200 just to received Birthday and Chirstmas presents from my mother in California...Up until two years ago we didn't have any of these problems...Can anyone please give me some advice so we don't occur any more taxes or VAT for receiving gifts from Grandma in California. She always checks the gift box when mailing out parcels. Any help and advice would greatly be appreciated...Thank-you in advance.

    Jennifer....Roger's wife

    what value did she state on the package?
    writing gift does not exempt any package from being liable for HMRC charge
  • I don't the value of the parcel just yet, as it will be delivered on Monday...But, the another one send out before Christmas was bigger and I believe much more expensive and we had no problems...I am still scratching my head....
  • PeteMc
    PeteMc Posts: 567 Forumite
    Part of the Furniture 500 Posts
    Roger_Tatt wrote: »
    I don't the value of the parcel just yet, as it will be delivered on Monday...But, the another one send out before Christmas was bigger and I believe much more expensive and we had no problems...I am still scratching my head....

    It is very much luck of the draw considering the number of parcels that enter the UK from outside the EU. I rarely order anything over £18 ( as a commercial purchase) to mainly avoid the £8 RM fee rather than the VAT. However on the odd time I've gone over it's not been charged.

    Some say that once you've been charged, your parcels are known to HMRC and you'll be charged evermore though I don't think it's quite as precise as this!

    Perhaps an alternative would be for your mother to buy gifts from EU suppliers and have them gift wrapped? Not all the majors will accept US payments but the likes of Amazon UK do.
  • custardy
    custardy Posts: 38,365 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    well you are being charged VAT by HMRC on the gooods
    so they have decided that VAT is applicable on the items inside
    you can appeal it but its down to HMRC really
    many try and sneak stuff through marking as gift
  • Thank-you PeteMc and Custardy for all your advice.
    PeteMc, I think you are right in both areas of it is just hit or miss as to which parcels get through and I think that we just maybe on their list at HMRC. Maybe I should have my mom write the kids names on the parcels. Hopefully, their names are not on the HMRC just yet.
    Custardy, I should ask my mom maybe to sent the presents in mulit parcels..I am going to ask her if it would be better if she would go online and ordered a present from a shop here in the UK and had it sent to us then I'll wrap here...So all she would need to do was sent a card. Lot cheaper and less hassel and it would get to us in time for Christmas and birthdays. Thank-you for all your good advice.
  • dzug1
    dzug1 Posts: 13,535 Forumite
    10,000 Posts Combo Breaker
    Commercial consignments are liable to duty/VAT if over £18
    Gifts are exactly the same except that the threshold is £36.

    It's a myth that gifts are exempt.
  • Hailz86
    Hailz86 Posts: 340 Forumite
    what is it with this government, is there anything they can't charge us for now?
    2012 Wins - Danepak Fridge Magnet, £20 Just Eat Voucher, iTunes Song Download, Yellow Toaster and Kettle, Thorntons Bunny, 6 Months Gym Membership, £250 Multipower Products, 3 X Dalepak Vouchers, 10 minute sunbed session, Lucozade Sport, 2 X BMI Flights, Android Zeemote,
  • soolin
    soolin Posts: 74,322 Ambassador
    Part of the Furniture 10,000 Posts Photogenic Name Dropper
    Hailz86 wrote: »
    what is it with this government, is there anything they can't charge us for now?

    It's hardly a recent thing though, I've certainly been aware of charges for at least 20+ years having family overseas .
    I’m a Forum Ambassador and I support the Forum Team on the eBay, Auctions, Car Boot & Jumble Sales, Boost Your Income, Praise, Vents & Warnings, Overseas Holidays & Travel Planning , UK Holidays, Days Out & Entertainments boards. If you need any help on these boards, do let me know.. Please note that Ambassadors are not moderators. Any posts you spot in breach of the Forum Rules should be reported via the report button, or by emailing forumteam@moneysavingexpert.com.All views are my own and not the official line of MoneySavingExpert.
  • I have ordered some things for my grandad from America, he has just recently been registered as blind, so as you do i went online and started shopping for gadgets. Whole order is only worth £13, my mum told me about these charges and im now wishing id never bothered, the company says it writes "blind matter" on the envelope so i just hope i dont get stung :(
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