Buying from Aliexpress and 25 budget customes duty

anotherquestion

Hi folks,

I do buy a good few cheap things on Aliexpress, usually in the value £10-£15, just wondering how the 25 budget will affect this and how much the customs duty will be and how might it be collected.

Thanks.

Spoonie_Turtle

There's a consultation here which may set out what's known and what's to be decided https://www.gov.uk/government/consultations/reforming-the-customs-treatment-of-low-value-imports-into-the-united-kingdom
(I haven't read it yet, no brainpower today)

soolin

I thought it was already dealt with my Aliexpress, I certainly buy from there and my figure shows tax etc before I pay. However I must admit to getting confused about the whole process and the proposed changes in 2029. being of a lazy mind, I will probably not even think about it until nearer the time, by which time I suspect I may well have completely run down my ebay business (i buy parts from overseas to form part of some items I sell) - so would only be making very small personal purchases.

I also wondered if it is anything to do with VAT as it's to do with the £135 limit, but I am not registered for VAT so perhaps that makes a difference as well. 

Spoonie_Turtle

I haven't read into further detail but from the budget summary on gov.uk:

"Low Value Imports – The government is removing the customs duty relief on goods imported into the UK valued at £135 or less, making them subject to customs duty from March 2029 at the latest"
https://www.gov.uk/government/publications/budget-2025-document/budget-2025-html#policy-decisions (somewhere in there)

So we'll pay customs duty on everything not just items/orders above £135, as well as import VAT that we already pay.

anotherquestion

Well since Aliexpress already collect the VAT, hope they will do the duty as well, will make things simple for us.

Spoonie_Turtle

Oh, the end of that quote that I didn't include said they were reviewing the arrangements for collecting VAT and the forthcoming customs duty. 

Currently retailers only collect VAT on orders up to £135.  Above that and it's left to whomever collects VAT and customs on imports when they arrive in this country. 

I can't imagine overseas sellers will be happy if the arrangements are drastically overhauled though, it took them long enough to set up to comply with the current arrangements.  You'd hope since this system is already in place they would just use and develop that, but customs charges are more complicated than import VAT because tariff codes are really specific.

soolin

I don't know if it is a co incidence or if I have just not noticed it before, but ordering some parts I need from Ali Express- I just saw this message before I added my items to the basket:

Additional regulatory information

For items delivered from outside the European Union, you may be subject to additional charges for VAT and, when applicable, customs duties in your country. If AliExpress is obliged by law to collect VAT, you will see the VAT inclusive price at checkout. For more information about these costs, please contact the tax and customs authorities in your country.

the_lunatic_is_in_my_head

Spoonie_Turtle said:

Currently retailers only collect VAT on orders up to £135.  Above that and it's left to whomever collects VAT and customs on imports when they arrive in this country. 

I can't imagine overseas sellers will be happy if the arrangements are drastically overhauled though, it took them long enough to set up to comply with the current arrangements.  You'd hope since this system is already in place they would just use and develop that, but customs charges are more complicated than import VAT because tariff codes are really specific.

The EU have scrapped the 150EUR limit 

https://taxation-customs.ec.europa.eu/news/e-commerce-150-eur-customs-duty-exemption-threshold-be-removed-2026-2025-11-13_en

and marketplaces will be responsible for collecting VAT and duties. 

UK will likely do the same. 

Kim_13

anotherquestion said:

Well since Aliexpress already collect the VAT, hope they will do the duty as well, will make things simple for us.

Hopefully. It isn't the VAT or Customs Duty that is the problem, but the handling fee levied by the courier if either has to be paid at the border. These fees make true LVIs unviable and of course we don't know what the fees are until it is too late. There is variance between couriers and the vendor often selects which is used, not the UK based customer who is often only trying to source an item they haven't been able to find in the UK (or might have fallen foul of an overseas seller who claimed to be based in the UK.)

RFW

Both Aliexpress and Temu have set up large UK warehouses that are expanding quite rapidly.
As a UK based seller I welcome the changes and inching towards a more balanced system. It's been annoying for many years that Chinese sellers can ship goods from China at a post inclusive price that's less than the price of postage I pay within the UK.