Disputing import tax on product bought online

smashinglynaive

Phantom151 said:

Unfortunately you are responsible for knowing what charges are applicable. You'll find very few companies tthat will use DDP (delivery duty paid) as commodity codes are a minefield. You would always be liable for VAT though on purchases over £135. If it was under £135 the seller would've charged you a 20% markup as they would be responsible for the VAT payment.

Welcome to the glorious world of Brexit!

Wrong.

HMRC would love them to do it but many don't bother, because they don't have to. 

prowla

prowla said:

Are the items made in the EU?

dllive said:

Hmm, it doesnt say anything about where my product is!

So basically, I have to pay this, or I get no item? Or I pay this and might get my item? It says I have to pay immediately or I pay up to £40 late payment fee!!

The UPS invoice is itemised as:
Disbursement fee: £11.50
Duty Amount: £23.30
VAT: £35.53
total: £70.32

Nowhere on the website did it mention this! Perhaps I shoudl contact my bank and they can get my money back?

Thanks. 

So, it looks like they weren't made in the EU.

Phantom151

smashinglynaive said:

Phantom151 said:

Unfortunately you are responsible for knowing what charges are applicable. You'll find very few companies tthat will use DDP (delivery duty paid) as commodity codes are a minefield. You would always be liable for VAT though on purchases over £135. If it was under £135 the seller would've charged you a 20% markup as they would be responsible for the VAT payment.

Welcome to the glorious world of Brexit!

Wrong.

HMRC would love them to do it but many don't bother, because they don't have to. 

Sigh. The carriers add it to the bill for the shipper. I am involved with this every day.

Sandtree

smashinglynaive said:

Phantom151 said:

Unfortunately you are responsible for knowing what charges are applicable. You'll find very few companies tthat will use DDP (delivery duty paid) as commodity codes are a minefield. You would always be liable for VAT though on purchases over £135. If it was under £135 the seller would've charged you a 20% markup as they would be responsible for the VAT payment.

Welcome to the glorious world of Brexit!

Wrong.

HMRC would love them to do it but many don't bother, because they don't have to. 

Its whats been in force since 1/1/2021 with the exception of items sold via "market places" (Amazon, eBay etc) which it is then the market place's responsibility to collect and pay the VAT.

Clearly how enforceable it is all going to be is going to have been considered -v- the removal of the floor for VAT that happened at the same time.

UK is not the only one attempting this route either... France now does similar but do have a minimum turnover for it unlike the UK.

dllive

smashinglynaive said:

dllive said:

Hi all
I bought some shoes online a month ago. The website is a spanish website. I havnt received the item yet, but have just received an invoice from UPS for £70!! Thats almost the amount I spent on the shoes! I didnt know I had to pay additional shipping costs (as well as the shipping costs the website charged me)!! How can I quickly get this cleared up? If I had know about this extra shipping charge, and/or the amount then I obviously wouldnt have bought it!! This UPS invoice says it payable IMMEDIATELY! I havnt even received my product yet!
Thanks

You'll need to pay the amount and take this up with HMRC.

https://www.gov.uk/guidance/how-to-apply-for-a-repayment-of-import-duty-and-vat-if-youve-overpaid-c285

If you refuse the goods may simply end up being destroyed leaving you without the goods or the money.

Sorry, Im just looking at that link for applying for repayment.

The UPS invoice is:

Disbursement fee: £11.50

Duty Amount: £23.30

VAT: £35.53

Am I claiming the Duty and the VAT parts?

Do use claim using the Customs Declaration Service or CHIEF?

Thanks

jon81uk

dllive said:

smashinglynaive said:

dllive said:

Hi all
I bought some shoes online a month ago. The website is a spanish website. I havnt received the item yet, but have just received an invoice from UPS for £70!! Thats almost the amount I spent on the shoes! I didnt know I had to pay additional shipping costs (as well as the shipping costs the website charged me)!! How can I quickly get this cleared up? If I had know about this extra shipping charge, and/or the amount then I obviously wouldnt have bought it!! This UPS invoice says it payable IMMEDIATELY! I havnt even received my product yet!
Thanks

You'll need to pay the amount and take this up with HMRC.

https://www.gov.uk/guidance/how-to-apply-for-a-repayment-of-import-duty-and-vat-if-youve-overpaid-c285

If you refuse the goods may simply end up being destroyed leaving you without the goods or the money.

Sorry, Im just looking at that link for applying for repayment.

The UPS invoice is:

Disbursement fee: £11.50

Duty Amount: £23.30

VAT: £35.53

Am I claiming the Duty and the VAT parts?

Do use claim using the Customs Declaration Service or CHIEF?

Thanks

On what basis do you think you've overpaid?

You said the order was £157.
20% of £157 is £31.40 so  your bill might be a bit high at £35.53, but if the £157 excludes the shipping costs that could be it.
I think duty on shoes looks like its 16% so would be £25.12 on £157.

So although figures don't exactly match your bill seems in the right area for the VAT and duty charges.