UK Customs Cost

Markyd7

Got my buyers hat on today.

Recently placed my 3rd or 4th order abroad (US), haven't had any problems with customs so far.
Today a letter from Royal Mail arrived saying we can't deliver an item because there's a fee to pay.
I was shocked at their £8 handling fee!! + £3.60 so £11.60
This is for an order that cost £18 + £9 shipping.

Anyone else been unlucky like this?
I think from what I've read if the total inc P+P cost was under £15 I'd have been alright.

Hoddie

Indeed the Import VAT threshold in the UK is currently £15.

http://www.brickowl.com/forum#/discussion/1134/non-eu-sellers-sending-packages-to-the-eu-import-charges

Hoddie

It would seem they didn't calculate the Import VAT correctly in your case. If the order was £18 and the shipping was £9, that would result in a 'customs value' (CIF) of £27, which in turn should result in Import VAT of £27 x 20% = £5.40.

Look on the bright side, you've saved £1.80 today

Markyd7

haha, I do mind. I've paid them £8 to work that out!!

Jiries

I never buy anything from the American stores even so I want to but due to customs I skip it. I defeated them last year when I brought back 3 suitcases of mostly Lego new and used parts from Brickworld, Lego store in Orland Park and garage sales. No problem at the airport as there was no custom staff on duty that time in the early morning arrivals. I am sure your package was at my work place as I work in Royal Mail and there is a custom dept formed there after the Tories won the election. I am not sure if the Tories ruin UK buyers from buying cheap goods from the USA?

I had few large orders from USA and Canada and they don't seem to get hit by the customs when they got the orders so they are fine to buy goods from here.

Stragus

Arggh, a threshold of 15 GBP is terrible. And how comes that includes the shipping?... So you would pay VAT on a piece of paper with 20 GBP of express shipping fees? :-O

In Canada, we are supposed to pay taxes over 20 CAD. In practice, anything under $60 is pretty safe (shipping not included), and one can generally push his luck up to $100 or so.

Jiries

Yes one buyer from Canada order parts from me last year September worth over $150 CAD and after I shipped it with tracking, haven't heard back from him since so I guess he got it without being hit by the customs otherwise he would had come to complain about it.

Hoddie

Markyd7 was probably just unlucky. The rules say there's Import VAT on any package with a customs value over £15 but it used to be that most but the largest parcels went through without a charge. Perhaps these days things have been tightened up, I'm sure the £8 admin charge results in quite a profit for Royal Mail!

Hoddie

Arggh, a threshold of 15 GBP is terrible. And how comes that includes the shipping?... So you would pay VAT on a piece of paper with 20 GBP of express shipping fees? :-O

Customs declarations are not necessary for items sent by letter post - which of course could include a thin box of Lego. I'm not 100% sure but I think the same import rules apply, it's just that without a customs declaration (CN22/23) there's no way for them to easily calculate the Import VAT/Duty. As I say, not 100% sure, I'll see if I can check with my old colleagues at HMRC.

Markyd7

Will be more careful how much I spend next time.
The fact that it includes shipping is shocking!
I can just see the meeting at Royal Mail. Think of a number between 1 and 10.
8!
Prefect, that's how much we'll charge for admin!

polarbomber

i once got £8 handling charge on a £1.20 import charge . you gotta luv hmrc