Anyone able to explain import charges (USA to UK)?

[TheBlackCrane]

Slightly dopey question, but can anyone explain to me how exactly import charges work for items coming from the USA to the UK?

My understanding is that Import VAT is waived when the VAT would be less than £10 (i.e. item value is less than £50). Is that right? I ask as I've seen a couple of items on fixed prices on ebay recently which would have been worth buying, even with the postage cost, but they've also had quite high import charges listed. I was having a conversation about Khurusan the other week too, namely putting in a big order at some point, only for import charges to come up in the conversation...

I'm under the impression that, basically, if I want to order anything at all from the USA, I'll end up paying a hefty tax charge too?

Any elucidation would be much appreciated!

Rob
 

[Atheling]

I'd be very happy if someone could cast some light on the subject too  .

Darrell.

[freewargamesrules]

If you buy goods online from outside the EU for delivery to the UK, you’ll have to pay Customs Duty (if over £135 value) and Import VAT (if over £15) on top of the purchase price (including duties), though Customs Duty is waived if the amount of the calculated duty payable is £9 or less. There is also an £8 Parcel Force handling fee for collecting the Import VAT.  The reason for this is that when you buy from abroad you are not paying Sales Tax from the USA.

The value of the goods for import VAT is based on the:

basic value of goods, plus
postage, packing and insurance, plus
any import (Customs or Excise) duties charged

I was advised by my mate who's a postman that they are looking at alot more goods coming from the USA, where as it used to be random checks they are now looking at all parcels. He advised me to order only from Europe where we don't have to pay the tax.

[Conquistador]

If you buy goods online from outside the EU for delivery to the UK, you’ll have to pay Customs Duty (if over £135 value) and Import VAT (if over £15) on top of the purchase price (including duties), though Customs Duty is waived if the amount of the calculated duty payable is £9 or less. There is also an £8 Parcel Force handling fee for collecting the Import VAT.  The reason for this is that when you buy from abroad you are not paying Sales Tax from the USA.

The value of the goods for import VAT is based on the:

basic value of goods, plus
postage, packing and insurance, plus
any import (Customs or Excise) duties charged

I was advised by my mate who's a postman that they are looking at alot more goods coming from the USA, where as it used to be random checks they are now looking at all parcels. He advised me to order only from Europe where we don't have to pay the tax.

It doesn't work the other way though, right?

Gracias,

Glenn

[Conquistador]

<snip>

The value of the goods for import VAT is based on the:

basic value of goods, plus
postage, packing and insurance, plus
any import (Customs or Excise) duties charged

<snip>

You pay VAT upon the postage too?      Isn't that already a government charged fee for service?

You are taxed on the packing?  How is that figured?

You pay VAT on Insurance?  How is that related?

AND you pay VAT on the Custom/Excise duties (Tax by another name IMO) also?

Gracias,

Glenn

[Svennn]

If you buy goods online from outside the EU for delivery to the UK, you’ll have to pay Customs Duty (if over £135 value) and Import VAT (if over £15) on top of the purchase price (including duties), though Customs Duty is waived if the amount of the calculated duty payable is £9 or less. There is also an £8 Parcel Force handling fee for collecting the Import VAT.  The reason for this is that when you buy from abroad you are not paying Sales Tax from the USA.

The value of the goods for import VAT is based on the:

basic value of goods, plus
postage, packing and insurance, plus
any import (Customs or Excise) duties charged

that's pretty much it but you must also be aware that Royal Mail / Parcel Force may not be the carrier and most of the others such as DHL etc. charge an even higher handling fee

[TheBlackCrane]

Thanks for the explanation! 

It doesn't work the other way though, right?

Not as far as I know - never had any trouble sending to the USA, so long as there's a CN22 customs form on it. Mind you, I've always ticked the box which says 'gift' as it's not official documentation, a commercial sample and so on and so forth.

You pay VAT upon the postage too?      Isn't that already a government charged fee for service?

You are taxed on the packing?  How is that figured?

You pay VAT on Insurance?  How is that related?

AND you pay VAT on the Custom/Excise duties (Tax by another name IMO) also?

That's what gets me, paying a charge on a charge...
Makes it far too expensive to order anything from the USA really. (If only Khurusan had a UK, or even Europe, stockist!)

[Vermis]

(If only Khurusan had a UK, or even Europe, stockist!)

That's not going to happen anytime soon, as far as I know. 

I've seen people argue about how 3D printers are going to be as cheap as chips and every household will be falling over themselves to get one so they can print out a replacement washer or something once in a blue moon. Most of it sounds like bunk, TBH, although I can see something driving the development of domestic printers: the demented charges and restrictions that Royal Mail and others slap on everything.

[TheBlackCrane]

So, for those in the know, what about duties on personal parcels? I.e. not items ordered online and despatched to the UK, but sent as a gift or whatnot? Do they come in for duties? I'm sure I've had parcels from friends in Baltimore before which I didn't have to pay duty on. Presumably I could make an order, have it sent to someone in the States, and then have them send it over... (if I asked nicely  )

[Too Bo Coo]

If you buy goods online from outside the EU for delivery to the UK, you’ll have to pay Customs Duty (if over £135 value) and Import VAT (if over £15) on top of the purchase price (including duties), though Customs Duty is waived if the amount of the calculated duty payable is £9 or less. There is also an £8 Parcel Force handling fee for collecting the Import VAT.  The reason for this is that when you buy from abroad you are not paying Sales Tax from the USA.

The value of the goods for import VAT is based on the:

basic value of goods, plus
postage, packing and insurance, plus
any import (Customs or Excise) duties charged

I was advised by my mate who's a postman that they are looking at alot more goods coming from the USA, where as it used to be random checks they are now looking at all parcels. He advised me to order only from Europe where we don't have to pay the tax.

That's the same BS in the Netherlands too, we have the private company TNT.  As an ex-pat, I always suspected the USPS was a national treasure, now I know it.

[Dewbakuk]

You pay VAT upon the postage too?      Isn't that already a government charged fee for service?

You are taxed on the packing?  How is that figured?

You pay VAT on Insurance?  How is that related?

AND you pay VAT on the Custom/Excise duties (Tax by another name IMO) also?

Gracias,

Glenn

The government doesn't own our postal service anymore

Basically they take the total overall value (contents, postage cost etc) before they apply the charges so it all gets bundled together irrespective of what it is.

So, for those in the know, what about duties on personal parcels? I.e. not items ordered online and despatched to the UK, but sent as a gift or whatnot? Do they come in for duties? I'm sure I've had parcels from friends in Baltimore before which I didn't have to pay duty on. Presumably I could make an order, have it sent to someone in the States, and then have them send it over... (if I asked nicely  )

Technically the rules are exactly the same for items marked 'gift' but the £15 limit is doubled to £30. In practice however they are much more likely to just let it through, particularly as the value on the form tends to be understated.

[maxxon]

He advised me to order only from Europe where we don't have to pay the tax.

Technically, you are still paying tax. In Europe it's just included in the price when we buy things.

[Conquistador]

Technically, you are still paying tax. In Europe it's just included in the price when we buy things.

So, they "get you" either way.

From a bureaucracy viewpoint, that's perfect.

From my viewpoint, that is... not.

Gracias,

Glenn

[maxxon]

So, they "get you" either way.

I believe there is sales tax in most of US too. And you are supposed to pay it for out of state mail order too, though this at least used to be so common form of tax fraud they generally didn't bother with prosecuting for it....

It's just a cultural difference: In Europe prices are usually shown inclusive of tax (and in fact there are laws against advertising "plus tax" prices), while in the US generally tax is added at the cash register and you never know what anything really costs until they ring it up.

[Conquistador]

The government doesn't own our postal service anymore
<snip>

Technically the USPS is "semi-owned."  

And "change" seems to be the new stability - http://www.zdnet.com/poshmark-usps-collaboration-could-spell-big-changes-for-e-commerce-7000027406/

Gracias,

Glenn