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ordering items from outside the EU

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

    You pay the vat rate applicable to the package, and this calculation includes postage.

    From your link:


    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.
    From the wording of the above link, it is clear that "total value" includes shipping. I have also ordered goods from the US but the manufacturer decided not to mention postage costs on the label.

    I have ordered supplements from other US stores that declared both the value of goods and shipping costs, and I had to pay excess VAT and £8 to Royal Mail.

    You might argue that HMRC are mis-informing about their own rules, but if I have to quote an official source I have to go for the notion that postage adds up to the £15 figure.

    I have researched on various forums in the past and experiences have been mixed.
  • KxMx
    KxMx Posts: 11,453 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    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
    alcohol, tobacco products and fragrances (eg perfume, eau de toilette and cologne) - of any value
    You pay VAT on anything sent from the Channel Islands.

    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

    Clearly the value of the goods comes into the equation first. And if the value is under £15, vat is not due, so the second bullet list, containing postage, is irrelevant.

    Up to you if you feel different.
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