VAT on non-EU imports.... Does the £15 allowance include postage?

Tunstallstoven

Hi all

I want to buy something from the US which is at £14.75. Excellent (I thought), that's just below the £15 threshold, above which VAT must be paid on imports.

However, the postage is around £2....

Do they include the postage in the calc? Will I have to pay VAT and handling charges if the item gets looked at?

Many thanks

Max

Obviously_the_best

http://www.dutycalculator.com/new-import-duty-and-tax-calculation/

Tunstallstoven

Thanks for that. So it looks like postage is not included in the £15 limit. Great news - I'll get ordering!

Haffiana

No, postage isn't included if the item is below the threshold, BUT if the item is over the threshold limit, then the VAT payable will be calculated on the total of the item plus the postage.

shaun_from_Africa

Just to add a couple of points.

Firstly, contact your seller and ask them to ensure that they only put the price of the item on the customs declaration as it's not unknown for some sellers to put the amount received (item + P&P).

Secondly, what exchange rate did you use to work out the Sterling value of the goods?
HMCE have a monthly list of exchange rates, and for July the £/$ is 1.5739.

http://customs.hmrc.gov.uk/channelsPortalWebApp/channelsPortalWebApp.portal?_nfpb=true&_pageLabel=pageImport_RatesCodesTools&propertyType=document&id=HMCE_PROD1_032126