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ordering items from outside the EU

What is the value they can cost before import duty and VAT applies? Is it still £18?
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Comments

  • Dr._Shoe
    Dr._Shoe Posts: 563 Forumite
    It tickles me that you pay VAT on the duty too!

    In effect you're being taxed for paying tax.

    Are you buying from China by any chance?
  • spaceboy
    spaceboy Posts: 1,933 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    Dr._Shoe wrote: »
    It tickles me that you pay VAT on the duty too!

    In effect you're being taxed for paying tax.

    Are you buying from China by any chance?

    Aye. They often put a false value on the packaging dont they?
  • spaceboy
    spaceboy Posts: 1,933 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    PETIE wrote: »

    Thanks. So only VAT if it's below £135.
  • A.Penny.Saved
    A.Penny.Saved Posts: 1,832 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    Up to £15, not including delivery, is VAT excluded. £135 before duty comes into it. The RM charge £8+vat (~£10) to collect any charges if applicable. It is meant to be possible to deal with the vat & duty yourself to prevent RM charges if the package is declared to permit that.
  • Up to £15, not including delivery, is VAT excluded. £135 before duty comes into it.
    Can you post a HMRC link confirming that postage is not included in the £15 threshold? I though that the £15 included the total price of shipping, including postage.
  • A.Penny.Saved
    A.Penny.Saved Posts: 1,832 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    ciaccino wrote: »
    Can you post a HMRC link confirming that postage is not included in the £15 threshold? I though that the £15 included the total price of shipping, including postage.
    I cannot post a link to HMRC and the time required means I cannot find it. However I have just come across ***this*** while looking at something connected to this thread which although not official, I would expect it to be correct as it is their main business. It does say that the £15 does not include any delivery expenses. I am sure that I did see a similar thing on the HMRC website while I was looking into a similar thing but I do not have the link available.

    If you think about it £15 including delivery would of not made much sense because international delivery would account for a fair portion of the £15. However when has HMRC made sense. lol
  • KxMx
    KxMx Posts: 11,449 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    If the item is under £15, no charges apply, postage costs are excluded in the calculation.

    If the item is over £15, charges apply on that amount, and on the value of postage.

    So if the item was declared at £25, and postage £5, charges would be calculated on £30.

    And

    if the item was declared at £12, and postage £5, no charges, zero.
  • Apparently gov.uk mentions "total value" as including shipping costs:
    https://www.gov.uk/goods-sent-from-abroad/tax-and-duty
    You’ll be charged at the VAT rate that applies to your goods. VAT is charged on the total value, including:
    • the price paid for the goods
    • postage, packaging and insurance
    • any duty you owe
    On another consumer forum that I won't mention somebody claims they have been able to challenge this and have got the money for excess VAT based on postage, however the above link is an official one and would assume it counts as a reference.
  • KxMx
    KxMx Posts: 11,449 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    edited 22 March 2015 at 10:03PM
    ciaccino wrote: »
    Apparently gov.uk mentions "total value" as including shipping costs:
    https://www.gov.uk/goods-sent-from-abroad/tax-and-duty

    On another consumer forum that I won't mention somebody claims they have been able to challenge this and have got the money for excess VAT based on postage, however the above link is an official one and would assume it counts as a reference.

    You only pay on postage once the package becomes chargeable, i.e. over £15 worth of goods.

    Once chargeable, the amount due includes counting postage as value.

    From your link:
    You pay VAT on goods sent from non-European Union (EU) countries and EU special territories (eg the Canary Islands) if they’re:

    gifts worth more than £36
    other goods worth more than £15

    Vat is payable on packages with goods with a value of £15+

    If the package is under £15, no vat rate is payable, regardless of postage cost.

    It's the value of the goods that counts first. Under £15, no vat due. Over £15, vat on value+postage.

    I've been buying small items of differing values from the US for years.
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