ebay duty and tax

[bigbaddom]

Hi there are some things I want to buy on ebay, however the only sellers that seem to have it are in the USA.
The items are mostly second hand, some expensive, some not.
What duties, and taxes are there that I will need to pay? And how do I go about paying them?
Thanks

[simpo two]

There's import duty - about 10% I think - and VAT to pay on anything imported from outside the EU. The Post Office also charge you a handling fee.

What happens is that when your item arrives at Mount (Un)Pleasant, the PO pay Customs the duty for you. Then they bring the box to you door, as usual, but you have to pay them all the various taxes and fees that have accumulated before they'll hand over the box.

There are some exemptions, eg goods under £25 value (I think) are waved through. That's why it's common practice to ask sellers to make a low declaration. Some will help, others not.

>> Edited by simpo two on Sunday 27th February 18:58

[shirepro]

It appears that such duties and VAT are not payable when you have sent an item out of the country for repair under warranty, and it is simply re-entering the country. That is what UPS told me.

[shirepro]

It appears that such duties and VAT are not payable when you have sent an item out of the country for repair under warranty, and it is simply re-entering the country. That is what UPS told me.

[bigbaddom]

Am I right in thinking that there is no VAT on second hand items.
So all I would be liable for would be the import duties (10%) and the handling fee (any ideas)??
Thanks

[thepeoplespal]

It really depends on the type of thing you are importing, and for what purpose.

If its for a business don't even think about it, tax and VAT men are scary enough when you are absolutely above board in all you dealings.

If its not for business you may want to risk it and take the hit for the taxes if it arises.

[simpo two]

bigbaddom said:

Am I right in thinking that there is no VAT on second hand items. So all I would be liable for would be the import duties (10%) and the handling fee (any ideas)??

From my experience you pay VAT on anything imported from outside the EU, second-hand or otherwise, based on its declared value. That's to slap you on the wrists for being a naughty boy and not buying it here (although it was twice the price), and not supporting the very wonderful European Union and its trade barriers...

I bought a second-hand lens via eBay from a chap in California and he unhelpfully declared the value. Hence it arrived with a £40 tax bill. I said to the postman - what happens if I refuse to pay? He said it will sit aorund for a bit and then be returned to California (at the POs cost!). Incredibly, it would have been cheaper to let them do that, then ask the seller to re-send it marked 'Value £25'!!! Such is the stupidity of the tax system, that it's cheaper to ship a lens three times across the Atlantic than pay the duty...

Mind you, I know a chap who imported a flashgun and bits worth about £200 and the seller very kindly marked it as 'gift'. Doesn't always work though, so be prepared for the charge and pleased if you don't get one

>> Edited by simpo two on Tuesday 1st March 09:44

[simpo two]

thepeoplespal said:

If its for a business don't even think about it, tax and VAT men are scary enough when you are absolutely above board in all you dealings.

But if you import something for your business and you're VAT registered, then the VAT is reclaimable and the tax deductible, no?

[Jonny5]

the problem with declared value, is that the figure stated doubles up as insured value ... so if she goes missing.... problemmo

[simpo two]

Jonny5 said:

the problem with declared value, is that the figure stated doubles up as insured value ... so if she goes missing.... problemmo

That's true. What's the case with 'gifts' then, declared value nil? Perhaps you can purchase insurance separately?

[Jonny5]

I don't think you can, so it's a catch-22 scenario. Gift = neg value and hence loss on the insurance

[ginettag27]

just watch out the IR are thinking of making all earnings on Ebay taxable!!!! Once they work out how to do it fairly of course....

duty and tax from the States, depends on the overall value of the item... You take your chances....

[simpo two]

ginettag27 said:

just watch out the IR are thinking of making all earnings on Ebay taxable!!!!

As long as we can offset purchases...