Having to pay import Duty for a replacement item that was faulty

492800

I have a microphone that was brought from abroad into the UK, item plus postage was $324.
 
Item was then found to be faulty and the company have been great in fixing the fault with the item as it was a manufacturing defect. It's taken 2 months to fix their production but they have finally said they will now send me another microphone BUT, then said

"We are not able to cover that import dutie of the replacement".

As this is a replacement can they note it down on the forms that it is a gift/replacement?
Any suggestions please.

MattMattMattUK

492800 said:

I have a microphone that was brought from abroad into the UK, item plus postage was $324.

How was it "brought from abroad", with you on a flight?

492800 said:

Item was then found to be faulty and the company have been great in fixing the fault with the item as it was a manufacturing defect. It's taken 2 months to fix their production but they have finally said they will now send me another microphone BUT, then said

"We are not able to cover that import dutie of the replacement".

As a warranty repair this should have been declared when you sent back and then when reimported no duties or taxes would be due. That being said not all companies will offer that services so sometimes it is something you have to take on the chin.
https://www.gov.uk/guidance/using-outward-processing-to-process-or-repair-your-goods

492800 said:

As this is a replacement can they note it down on the forms that it is a gift/replacement?

They cannot mark it as a gift, that would be fraud. They can mark it as a warranty repair, though VAT may still be payable, but it does remove the duty. 

DullGreyGuy

492800 said:

I have a microphone that was brought from abroad into the UK, item plus postage was $324.
 
Item was then found to be faulty and the company have been great in fixing the fault with the item as it was a manufacturing defect. It's taken 2 months to fix their production but they have finally said they will now send me another microphone BUT, then said

"We are not able to cover that import dutie of the replacement".

As this is a replacement can they note it down on the forms that it is a gift/replacement?
Any suggestions please.

Did you pay importation duties when it was sent the first time?

Gifts are subject to the same taxes when they are over a token value. 

As long as you paid the taxes on the original importation you should be able to claim at least partial relief on the return post repair as per https://www.gov.uk/guidance/pay-less-import-duty-and-vat-when-re-importing-goods-to-the-uk-and-eu 

492800

Thanks for the replies. I'll give a bit more detail. I was trying to keep it simple, but didn't realise I was being too vague. Apologies.

The item was bought online buy another person. It came from Taiwan. He luckily didn't pay any import duties through even though the website states the buyer may have to pay those fees. 

After a month he then sold me this item via ebay. I noticed a subtle design fault, and I contacted the company, they were happy to deal with me.
They understood the issue and have spent two months fixing the issue on their other microphones (I presume it was inherent to all the items as its taken so long). They are now ready to send me a new replacement.

Once I receive the new one I have been asked to send back the old microphone, via their postage paid courier.

Hope this make a bit more sense.

Hoenir

Currently it's not a replacement. Import duties will therefore be payable. 

DullGreyGuy

492800 said:
 He luckily didn't pay any import duties through even though the website states the buyer may have to pay those fees. 

The only time luck comes into play with importation duty is if you are trying to defraud HMRC. 

No importation taxes were paid on the original and therefore there is no right to relief on the reimportation.