Fed Ex Charges for Recipient - what legal claim do they have?

natforsyth

powerful_Rogue wrote: »

Unfortunately this item is not classed as a gift as it was sent to you by a business.

Unfortunately this item is not classed as a gift as it was sent to you by a business.


Thanks for this

Yes it seems HMRC don't accept that people buy gifts for each other online in 2016 ... I just find the whole situation incredibly frustrating when what should have been a simple gift turns into an expensive (if delicious tasting!) headache. No more rum cakes for me

powerful_Rogue

natforsyth wrote: »

Unfortunately this item is not classed as a gift as it was sent to you by a business.


Thanks for this

Yes it seems HMRC don't accept that people buy gifts for each other online in 2016 ... I just find the whole situation incredibly frustrating when what should have been a simple gift turns into an expensive (if delicious tasting!) headache. No more rum cakes for me

HMRC have to draw the line somewhere though, otherwise everyone would be ordering from businesses and classing it as a gift.

Malthusian

natforsyth wrote: »

Yes it seems HMRC don't accept that people buy gifts for each other online in 2016 ...

Not from companies outside the recipient's country on which customs duties would be payable, and leaving the recipient to pay them instead of paying them themselves, no. Not in 2016 or for that matter any year. Why did she not buy you a cake from a cake supplier within the UK?

MEM62

natforsyth wrote: »

See that's what I don't understand - how am I the importer if I didn't arrange or authorise the purchase, shipping or delivery? It was a gift sent from a family member. How does the responsibility become mine?

It becomes yours when you accept it or instruct FedEx. The fact that the parcel was addressed to you does not, in itself, make you liable for anything. However, if you do not want to accept responsibility as the importer or for payment of the import duties and taxes you should have just rejected the consignment.

If some unknown person decided to send me something I didn't want that would mean I still have to pay for it? That's madness.

No it doesn't.

Surely FedEx have to inform me at the point of delivering the good of the duty and tax they have paid and get me to sign to agree?

The consignment note that you signed will have shown what the 'terms of shipment' were. ie Who is responsible for paying what. Generally with most courier-type outfits the default setting is DDU - delivered, duty unpaid. Although the shipper can elect to pay the import duties and taxes as well if they want to. (This is DDP - delivered, duty paid) If you have accepted delivery of the consignment and the terms were clearly shown then you have also accepted any charges due. Although companies like FedEx usually get you to pay up before delivering.

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maninthestreet

Oh crumbs!

MEM62

natforsyth wrote: »

I am aware of VAT - that is not a relevant comparison. When I buy something myself I choose to buy and I accept the price on the ticket.

Receiving a gift does not usually come with a price tag. Whether from abroad or not.

It's not a price tag - its an importation cost. When sent to you from overseas some personal importations attract import duties and taxes if they fall outside the criterion that allows them to be imported duty-free. The fact that it is a gift does not automatically make it free of Customs charges - far from it.

I have received gifts of this exact same item from my sister in the past where no charges were made. Why would I assume this time was different?

Because someone, either in HMRC or FedEx, may have assessed it differently. The value declared may be different. Perhaps current exchange rates top the value over any duty-free limit that was applied before. There a lots of reasons why you cannot assume it will be the same each time.

The point is - FedEx must have already paid the import charges so they should have informed me at the point of delivery.
I agree but FedEx are not the sharpest of performers :-)
If I then sign for and accept delivery (which I didn't) then I have to live with the consequences. However, the driver just passed the box to me and left. Knowing the charges were going to be more than the cake was worth I am pretty sure I would have said no thanks. I'd rather make my own!

The driver would have no clue what they import charges were. However, if he didn't get you to sign for it you could try to reject the charges until they give you proof that you have had delivery.

Whilst I appreciate you taking time to give me your opinions - I would still like to see something that explains my legal rights if anyone knows of such a link.

There is no such single link. How would you approach fighting this? Contract law? HMRC import regulations?

If I might offer an opinion, it's £17! Do you really want to waste a load of time and negative mental energy fighting this? Yes, maybe FedEx should have told you in advance - but they didn't. These companies are not exactly known for being on the ball and, even if you had known about the charge in advance, would you really have rejected a thoughtful gift from family just because it got lumbered with a few quid in Customs charges?

Suck it up, pay the money and enjoy the cake in the spirit that it was sent to you.

unholyangel

natforsyth wrote: »

Anyway, FedEx are now pursuing me to pay £16.66 for tax and duty which is more than the value of the cake which was sent in good faith as a gift. Value is not in dispute just gift status.

How much was the cake & shipping & insurance (if she got any)?

iammumtoone

unholyangel wrote: »

How much was the cake & shipping & insurance (if she got any)?

^^ I believe anything costing under £18 should not have any taxes due

natforsyth

Malthusian wrote: »

Why did she not buy you a cake from a cake supplier within the UK?

She lives in Grand Cayman where the company that makes these most delicious rum cakes is based. Like I said, she has sent me the same cakes in the past but never via online purchase. She thought it would be a cheaper option!

natforsyth

iammumtoone wrote: »

^^ I believe anything costing under £18 should not have any taxes due

HMRC include cost of shipping as a taxable cost, ironically. So cake was $30 shipping was additional $40 which already makes it expensive enough. Then they hammer the recipient for another £28.66 which they reduced to £16.66 as a 'goodwill' gesture after my first few emails! Like the other person commented - I guess you just have to suck it up. Or wait and see what they decide to do next.