VAT charged on eBay purchase from Germany

Belenus

Is it usual to see a listing with a price, under which is written + 20% VAT will apply?

The items are mainly music and opera DVDs and Blu Rays and are located in Germany.

Spoonie_Turtle

Yes, because it's outside the UK and presumably the seller is not registered with HMRC to collect UK VAT, so eBay collect the VAT instead.

Belenus

Thanks, that makes sense.

I did buy a Blu Ray as, despite the 20% VAT, it was still a bargain,.

D924

Belenus said:

Thanks, that makes sense.

I did buy a Blu Ray as, despite the 20% VAT, it was still a bargain,.

I hope you're aware that the courier will usually whack a £10-20 "handling fee" on top if there's any VAT or customs to be collected and EBay didn't take it as part of the payment.

Belenus

I paid a VAT inclusive price.

£8 plus VAT = £9.60

Buster_Danog

Belenus said:

Is it usual to see a listing with a price, under which is written + 20% VAT will apply?

I usually see this when the seller has their account registered in another country. Usually I have no issue with it, except when the seller and the item they are selling is actually based in the UK but their seller account is registered in another country.

[Deleted User]

D924 said:

Belenus said:

Thanks, that makes sense.

I did buy a Blu Ray as, despite the 20% VAT, it was still a bargain,.

I hope you're aware that the courier will usually whack a £10-20 "handling fee" on top if there's any VAT or customs to be collected and EBay didn't take it as part of the payment.

Agree, the VAT won't be the final cost price.
Import Duty will have to be paid too @Belenus, you will receive notification (text, email, post etc) that it's due and parcel won't be released until it it - it increases the original price and you may end up declining to pay as the overall price exceeds your expectation.
At this point you may struggle to get refunded.

Spoonie_Turtle

[Deleted User] said:

D924 said:

Belenus said:

Thanks, that makes sense.

I did buy a Blu Ray as, despite the 20% VAT, it was still a bargain,.

I hope you're aware that the courier will usually whack a £10-20 "handling fee" on top if there's any VAT or customs to be collected and EBay didn't take it as part of the payment.

Agree, the VAT won't be the final cost price.
Import Duty will have to be paid too @Belenus, you will receive notification (text, email, post etc) that it's due and parcel won't be released until it it - it increases the original price and you may end up declining to pay as the overall price exceeds your expectation.
At this point you may struggle to get refunded.

This only applies when the cost is over £135, at which point the VAT is not collected online either, or if it's under £135 and the VAT has not been collected which is not the case here.

prowla

As I understand it:

• All items (new and used) are subject to VAT, but you should not pay both EU and UK VAT.
• New items which are manufactured in the EU are not subject to import duty.
• Used and non-EU items are subject to import duty.
  
• If the courier pays the VAT/duty on your behalf, then they will add a handling surcharge (which can be up to £20?).
• Large/savvy companies can handle the VAT/duty at their end so you you don't get the courier fees.

So, if you're buying used items for <£50, those charges can be significant and it may be worth considering whether the total makes sense.

Spoonie_Turtle

Online marketplaces collect the VAT for purchases below £135.

Below £135 there are no customs duties.

Buying via an online marketplace which has collected the VAT, there is no further charge upon entering the country because the courier didn't collect the VAT, the marketplace has already done that …


https://www.gov.uk/guidance/vat-and-overseas-goods-sold-to-customers-in-the-uk-using-online-marketplaces

Belenus

I don't foresee a problem.

It is a Blu Ray disc, smaller than a DVD,  so will almost certainly come via the normal post and not a courier.

The seller has plenty of positive UK feedback for similar items.