Import duty help

[filaborg]

I may be buying a watch from America and i was wondering on how to calculate the import duty on the watch. The watch will cost £3500 give or take, any ideas.

[Dominic H]

This should help....

Watches Value up to £5.11 24p, + VAT @ 17.5%

Value over £5.11 to £14.05 4.50%, + VAT @ 17.5%

Value over £14.05 67p, plus VAT @ 17.5%

Source, www.directly2u.co.uk/customs.html - 79k

I knew it was some strange, but very low sum......Dominic

[Pesty]

Please remember that you also get taxed on shipping costs as well.

Last time I recived something from america it worked out at around + 22%

so with shipping could be just over £800.
It does seem hit and miss though.

Edited by Pesty on Sunday 29th July 23:48

[Pesty]

ps.

What you bought

[Dominic H]

Pesty said:

I do not belive its a very low sum. Please remember that you also get taxed on shipping costs as well.

Last time I recived something from america it worked out at around + 22%

so with shipping could be just over £800.
It does seem hit and miss though. probably cheaper to fly over there and pick it up.

Im sure other with more experience on importing higher value items will be along soon

The amount of duty (at a cost of 67p, when imported watch is valued at over £14.05), is the very low sum I was referring to.
I have noted the following information from HM Customs site regarding the calculation of duty and VAT.

Source: www.directly2u.co.uk/customs.html


"Duty and VAT must be paid on all items intended to be left in the United Kingdom and that are in excess of your personal Customs Allowance. The list below gives the duty and VAT rates that will be charged on personal importations into the United Kingdom. The rates shown are the full rates that will be charged. Some items, depending on where they are manufactured or obtained, may be subject to a lower rate of duty.

This list is not a complete index of the Customs Tariff, just a list of the more frequent items declared to our Officers.

Please note, commercial goods may have other conditions applied, including the need for a full C88 Customs Import entry for values over £600.

If you have to pay Duty and VAT on items in excess of your personal Customs Allowance, the amount you will be charged is based on the how much you paid for them, including any local taxes. This is called the Purchase Price Abroad (PPA). If the items were given to you as a gift or a present, you still have to pay duty and VAT on them. In these circumstances the value of the item is used in the calculations. If you do not know the value of the items, the Customs Officer may have to detain them for valuation. The Officer will explain this in more detail to you at the time. For the purposes of the example given below, we have used the Purchase Price Abroad (PPA).

To work out how much you will have to pay please follow the steps below:

Look up the item’s Duty Rate % and VAT %.
Multiply the Purchase Price Abroad (PPA) by the Duty Rate %. This gives you the amount of Duty to be paid. Call this AMOUNT A.
Add AMOUNT A to the PPA and multiply the result by the VAT %. This will give you the amount of VAT to be paid. Call this AMOUNT B.
Add AMOUNTS A & B together and that will be how much you have to pay.
For example:

You have to pay duty & VAT on some Compact Discs. The total cost of these CDs, including local taxes, was £100 sterling. Following the steps above:

The Duty Rate is 3.5% and VAT is 17.5%.
£100 x 3.5% = £3.50. This is AMOUNT A.
£100 + £3.50 = £103.50 x 17.5% = £18.11. This is AMOUNT B.
£3.50 + £18.11 = £21.61.
You would pay a total of £21.61. "

Edited by Dominic H on Monday 30th July 00:01

[Pesty]

Hi Domenic. I realsied that and edited the post

[Dominic H]

Ah, I was too busy double checking the HM Customs site. It's years since I used the ihfo......

Hope it helps....DH

[Pesty]

filaborg

are you buying online or going over there yourself?

[filaborg]

Pesty said:

filaborg

are you buying online or going over there yourself?

Was contemplating buying online, but I'm over in New York in the near future anyhow. I have contacted Tourneau who seem to have what I'm after (panerai). Its not that i was going to get the watch any cheaper more like a wider availability over there.

[Maxf]

FEDEX apply an 'assumed' rate! Their assumed rate is based on the top price the watch would sell for - currently arguing the toss with them over 2 i imported.