Import tax on Ebay postage.

Estate_Agent

Hi guys,

I've read the other thread I found on paying import taxes on goods being sent over from the US. Fair enough I thought.

However a friend believes there is a limit of £170 - anything under this limit doesn't incur the tax. I appreciate we all have a friend who knows everything about everything, but is there any basis in fact to his statement.

I've just paid £31.88 VAT on two pictures sent together which I purchased through ebay for approx $177.

I've also been charged £12 for a $60 picture.

I'm not bothered by the handling charges, annoying as they are, and the figures are approximate but can be checked this evening.

Thanks in advance for any feedback.

Victoriajayne

The taxes you will have paid comprise of Import VAT and Customs duty.
Import VAT applies to commercial goods over £18 value, and gifts over £40 value, and is charged at the same rate as similar goods sold in the UK - so 17.5% of $177 for pictures.
Customs duty becomes payable if the goods are over £135 in value, but is waived if the amount of duty calculated is less than £9. It is charged on the price paid for the goods including local sales tax and postage/packing charges, and the rate of duty depends on the type of goods and the country of origin.

I would suggest you've been charged only import VAT plus the handling charge.

More info here .... http://customs.hmrc.gov.uk/channelsPortalWebApp/channelsPortalWebApp.portal?_nfpb=true&_pageLabel=pageImport_ShowContent&propertyType=document&id=HMCE_CL_000014

:-)

Estate_Agent

Thanks, perhaps I need to be spending less on ebay!