Duty free question
Discussion
I have a friend over from Switzerland and therefore have the opportunity for her to pick up a duty free Day Date when she leaves the UK, I pay for the watch, the UK AD will refund the tax in store and would then courier the watch to departures, receipt will be in my friend's name and show her Swiss address.
I then collect the watch having booked a cheap return flight, if stopped by customs on return I'd say it was a gift which of course it would be..
AD state they do this regularly but am I missing something?
Anybody done similar?
I then collect the watch having booked a cheap return flight, if stopped by customs on return I'd say it was a gift which of course it would be..
AD state they do this regularly but am I missing something?
Anybody done similar?
Seems a bit convoluted.
Why the need to have watch couriered to airport or buy it there? You paying is a bit too blatant. Could you transfer money to her or preload a cash card she then purchases and gets the VAT refund (I believe this can be done at other places like Westfield not just airport) prior to departure then watch doesn't need to leave the country.
All this is promoted by AD's and their refusal to give discounts at 20pc on non steel models.
Why the need to have watch couriered to airport or buy it there? You paying is a bit too blatant. Could you transfer money to her or preload a cash card she then purchases and gets the VAT refund (I believe this can be done at other places like Westfield not just airport) prior to departure then watch doesn't need to leave the country.
All this is promoted by AD's and their refusal to give discounts at 20pc on non steel models.
7184c said:
Seems a bit convoluted.
Why the need to have watch couriered to airport or buy it there? You paying is a bit too blatant. Could you transfer money to her or preload a cash card she then purchases and gets the VAT refund (I believe this can be done at other places like Westfield not just airport) prior to departure then watch doesn't need to leave the country.
All this is promoted by AD's and their refusal to give discounts at 20pc on non steel models.
Agree it's convoluted and take your point about me paying but the watch has to leave the UK/EU hence the collection at Departures, the buyer cannot collect the watch in store.Why the need to have watch couriered to airport or buy it there? You paying is a bit too blatant. Could you transfer money to her or preload a cash card she then purchases and gets the VAT refund (I believe this can be done at other places like Westfield not just airport) prior to departure then watch doesn't need to leave the country.
All this is promoted by AD's and their refusal to give discounts at 20pc on non steel models.
Having now explored the Customs and Excise pages which I should have done before I posted it appears that duty and vat is payable on return to the UK if it's a gift, I wonder if the same applies if I buy it from my friend abroad and bring it back as a used watch? I'll ask Customs and Excise the question.
Otherwise I guess she brings it back to the UK when she's next over here, I really don't want the hassle in getting stopped two years down the line and being asked for an explanation.
DJMC said:
Conspiracy to defraud HMRC by avoiding taxes isn't something I'd be broadcasting on a public forum.
The risk to the OP is that the watch will be confiscated entirely, plus a fine. No saving there I'm afraid.
That was never my intention, the central London AD advised that the procedure I initially outlined was commonplace and entirely within the rules, I was surprised hence my original question on a public forum.The risk to the OP is that the watch will be confiscated entirely, plus a fine. No saving there I'm afraid.
Regarding your conclusion that's well deduced, you are a clever chap.
The AD explained that the courier airside service is funded by the dealers out of their margin on big ticket watches, the customer is met by the courier with the watch at the vat/tax free sales counter in the departure lounge, I assume the service is chargeable on lesser models. This situation only applies if the duty is refunded in store by the AD, otherwise RRP, (less any discount) is charged, customer gets the watch straightaway and receives the tax refund at the duty desk in departures.
As stated previously I'll clarify with HMRC.
It might be, but then the dealer has done all their bit legitimately, selling to someone from outside the EU and all that. You're the one trying to avoid the tax by obfuscating the transaction and running the risk of getting pulled by HMRC when you bring it back in to the country. Still, good luck, you'll probably get away with it. I wouldn't be calling HMRC and giving them your details when you ask their advice though 
bigandclever said:
It might be, but then the dealer has done all their bit legitimately, selling to someone from outside the EU and all that. You're the one trying to avoid the tax by obfuscating the transaction and running the risk of getting pulled by HMRC when you bring it back in to the country. Still, good luck, you'll probably get away with it. I wouldn't be calling HMRC and giving them your details when you ask their advice though
Good point, I'll use your name 
craigjm said:
You bring it back in wearing it and go down The green lane and your friend posts the box and bits over to you marked as a gift maybe?
This ... 100%Or if the flights are cheap enough get a friend to book a second seat (totally separately) and put the boxes etc... in their carry on... if you're stopped it's just a watch ... if they're stopped it's just a box ... just keep away from each other at the airport, gate, seats etc...
alorotom said:
This ... 100%
Or if the flights are cheap enough get a friend to book a second seat (totally separately) and put the boxes etc... in their carry on... if you're stopped it's just a watch ... if they're stopped it's just a box ... just keep away from each other at the airport, gate, seats etc...
...you too will go on the list. Or if the flights are cheap enough get a friend to book a second seat (totally separately) and put the boxes etc... in their carry on... if you're stopped it's just a watch ... if they're stopped it's just a box ... just keep away from each other at the airport, gate, seats etc...
What happens in a couple of years time if the watch is stolen or damaged and you need to make a claim on insurance?
Obviously you are an honest chap but some people aren't and the insurance company might be expected to do a bit of digging before compensating for the loss of a Rolex.
Your proof of purchase is a receipt in someone else's name showing the item was for export. With no evidence the watch was lawfully imported into the U.K. the insurance co may conclude the item was smuggled in and therefore have no obligation to pay up.
Just a thought...
Obviously you are an honest chap but some people aren't and the insurance company might be expected to do a bit of digging before compensating for the loss of a Rolex.
Your proof of purchase is a receipt in someone else's name showing the item was for export. With no evidence the watch was lawfully imported into the U.K. the insurance co may conclude the item was smuggled in and therefore have no obligation to pay up.
Just a thought...
alorotom said:
This ... 100%
Or if the flights are cheap enough get a friend to book a second seat (totally separately) and put the boxes etc... in their carry on... if you're stopped it's just a watch ... if they're stopped it's just a box ... just keep away from each other at the airport, gate, seats etc...
Surveillance may show this subterfuge actually taking place. Result the Watch gets confiscatedOr if the flights are cheap enough get a friend to book a second seat (totally separately) and put the boxes etc... in their carry on... if you're stopped it's just a watch ... if they're stopped it's just a box ... just keep away from each other at the airport, gate, seats etc...
The solution is cheese. The Swiss are very fond of cheese; chocolate and cuckoo-clocks as well of course. When you do your cheep (spelling in context) flight to pick up your watch, buy lots of non-pasteurized fondue cheese. You'll be looking ultimately suspicious as you walk down the green lane even if you think you don't because there are a dozen customs inspectors on the other side of that long lane of mirrored glass, all trained and with years of experience in picking up those minute tell-tails that we all give away. So just as the exit in sight and one pops out with an 'excuse me sir', remember your crime is importing un-pasteurized cheese into the UK and not a shiny new Rolex.
It's worked for everyone I've suggested it to. All cheese confiscated, but Rolex still on your wrist! Downside is that smuggling cheese is quite serious; bit of a record, a fine of course, and no chance of ever getting a job in the international dairy trade. You might also have your car dismantled next time you come back on the ferry.
It's worked for everyone I've suggested it to. All cheese confiscated, but Rolex still on your wrist! Downside is that smuggling cheese is quite serious; bit of a record, a fine of course, and no chance of ever getting a job in the international dairy trade. You might also have your car dismantled next time you come back on the ferry.
Tresco said:
I really don't want the hassle in getting stopped two years down the line and being asked for an explanation.
They don't. See, people are allowed to travel with expensive items without worry under International law as they are assumed to be taking them home on the way back. The ballache for Customs stopping everyone and checking their wristwatch, diamond necklace, engagement ring, 'Del Boy' chain etc means it just won't happen.If they stop you because they suspect you are smuggling something else like fags, booze, drugs etc and come across the watch, box and Swiss papers then that's another look-out!
If you pay duty you get a credit card receipt and they do not record the watch, or it's serial number etc. You get a warm feeling from not having broken the law.
Do you feel lucky?
funinhounslow said:
What happens in a couple of years time if the watch is stolen or damaged and you need to make a claim on insurance?
Obviously you are an honest chap but some people aren't and the insurance company might be expected to do a bit of digging before compensating for the loss of a Rolex.
Your proof of purchase is a receipt in someone else's name showing the item was for export. With no evidence the watch was lawfully imported into the U.K. the insurance co may conclude the item was smuggled in and therefore have no obligation to pay up.
Just a thought...
Stop thinking... Obviously you are an honest chap but some people aren't and the insurance company might be expected to do a bit of digging before compensating for the loss of a Rolex.
Your proof of purchase is a receipt in someone else's name showing the item was for export. With no evidence the watch was lawfully imported into the U.K. the insurance co may conclude the item was smuggled in and therefore have no obligation to pay up.
Just a thought...
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