Beware - import tax!

JasonLVC

wealdroam wrote: »

DWI Merchants Ltd is a UK registered company with VAT number, operated for the purpose of providing local service and located at below address.

Address:
3 Oak Field House, Oak Field Road
ILford, Essex
IG1 1EF
United Kingdom

.

UK incorporated 01/11/2012


Sole Director is a Man Chi Vong born 29/05/1989 in Portugal (according to Companies House).

The UK Ltd is a 100% wholly owned subsidiary of DWI Hong Kong (KH registered company).

So all legitimate. I guess the customer is buying from the HK entity which is why deliveries get stung with import duty and the UK entity is there simply to handle returns and to create a UK presence.


A worthwhile reminder that when you buy anything that derives from outside of the EU, it will be subject to import duty and VAT which will be payable by the importer (the customer).

hopecross

"They no doubt export to many countries.
Are you suggesting that they should detail all the import regulations and customs and other fees for all the countries they export to?"


Preposterous - there is a far more obvious and simpler way to do this - for example, alongside the price there could be a statement to the effect of 'the prices quoted are exclusive of any duty / taxes that may apply in the recipient state'. By doing so, the consumer can make a more informed choice (at a glance) as to the competitiveness of the price compared to other sellers.


"But you are missing the point that as the company is not UK based, there is no legal requirement for them to comply with UK laws."

Rather, it is to the contrary - read my post again:

it is a legal requirement for UK retailers to quote prices that includes all taxes; this is not so for imported goods (mainly because the IR do not care who they get the tax from) leaving an obvious loophole that is clearly exploited here.

Of course, such a situation is to the detriment of both UK consumers (many of whom, rightly or wrongly, will fall foul of this) and UK based retailers whose quoted prices will appear uncompetitive to those extra-EU companies whose quoted prices are exclusive of taxes that the UK retailers must include

JasonLVC

[QUOTE=hopecross;64896389
Rather, it is to the contrary - read my post again:

it is a legal requirement for UK retailers to quote prices that includes all taxes; this is not so for imported goods (mainly because the IR do not care who they get the tax from) leaving an obvious loophole that is clearly exploited here.

Of course, such a situation is to the detriment of both UK consumers (many of whom, rightly or wrongly, will fall foul of this) and UK based retailers whose quoted prices will appear uncompetitive to those extra-EU companies whose quoted prices are exclusive of taxes that the UK retailers must include[/QUOTE]

Its not a loophole, the UK tax authorities jurisdiction ends at the UK borders. Loop hole suggests exploitation of the law whereas what we have here is UK cannot stick its nose in on the business activities of a company based in Hong Kong.

Having a warning on each individual priced item is a good idea, but not practical in terms of web design, the page would be full of tiny text repeating itself, it'd look a mess.

The reality is, the T&C's are clearly displayed before proceeding to the checkout. This is like where people would buy Ryaniar flights and then complain about rip off charges when they've failed to read the ticket sale conditions which warn them to bring a passport or print off their boarding ticket before arriving at airport.

You couldn't have a website show every single T&C (not just tax but refunds, delivery costs, etc) alongside every single item for sale. Perhaps just accept that when buying on line one should always read all terms and conditions of sale and only then, if in agreement, should one make a purchase.

APennySaved

I want to buy something, on eBay.co.uk, that will come from Slovenia.

However, I am aware that customs etc. charges may increase the final item bid amount to an extortionate amount. Making it NOT worth while bidding!

Plus it's a cell phone, & I have heard that being such an item will make it possibly?? more taxable, as it is an electronics item. :-(

The item will cost approx. $US20.00 which (currently) equates to approx. UK£12.00; plus P&P cost of US$5.99.

What would any IMPORT TAX/OTHER CHARGES on this item be? I have had a look at the .gov.uk webpages, but they're interminable!! & can't make out what the final cost for this item will be.

?!?!

INFO I DO! KNOW re item/seller:

1. The £ [above]
2. It's listed in the eBay category of:
Cell Phones & Accessories>Cell Phones & Smartphones
3. Slovenia IS part of the European Union
4. I assume the seller must be a private seller, as they are not cited as a business seller
5. I don't know who the shipper/courier will be as the seller just cites "Economy Int'l Shipping"
6. The standard eBay text is cited under the P&P cost: "International items may be subject to customs processing and additional charges"

All help appreciated!!

Nilrem

As the item in your example is under £15 before post there should be no taxes payable at all if it's declared correctly (IE the item value and postage separate, or just the item value).

YorkshireTraveller

APennySaved wrote: »

I want to buy something, on eBay.co.uk, that will come from Slovenia.

As Slovenia is part of the EU there should be no import duty/VAT to pay.

Money-Saving-King

Nilrem wrote: »

As the item in your example is under £15 before post there should be no taxes payable at all if it's declared correctly (IE the item value and postage separate, or just the item value).

No the £15 includes the postage cost to the UK.

On eBay you can click the option to only show items from the UK only so you know you won't have to pay any import tax.

APennySaved

Thanks all, that's great info. :T

I remember once I was charged an £8.00!!!! customs fee, just to get an item, that I hadn't been aware was going to be charged customs tax/etc. . It had been sent from the USA, so I did some research - so I could be pre-warned! re any future purchases from the US. Eventually I found out - somewhere! online - about that £15 threshold, so I've always kept that in mind since then, when considering buying items from the US; BTW, isn't the US-to-UK postage EXTORTIONATE!! :eek: .

P.S. I too thought it was £15 relating to the value of the item (i.e. NOT including the postage). Am I wrong in this assumption??

I was particularly alerted to any customs issues re this item, as eBay flagged the item with an auto-popup (when I went to bid) re the item being electronics & thus possibly extra-customs-taxable. But did this message/alert pop up just because eBay's website was assuming I could be based ANYWHERE i.e. not just in the UK/European Union?

marliepanda

APennySaved wrote: »

P.S. I too thought it was £15 relating to the value of the item (i.e. NOT including the postage). Am I wrong in this assumption??

You are wrong yep. Declared value + postage is the amount they look at.

Scarpacci

To clarify, the £15 threshold does only relate to the merchandise - not the shipping. It's only when this threshold is crossed that the merchandise and shipping fees (& insurance, etc.) are then considered.

So a £14.99 item with £10 shipping would not be subject to customs charges, while a £15.00 item with £10 shipping would be charged VAT on the full £25. This is, as mentioned above, dependent on the customs form being filled in correctly - with the values listed in the correct categories. Of course, as also mentioned above, this is moot for items coming from within the EU.