Purchases from Europe

[Howmanygoes]

Hi all

Anyone bought anything from the EU since 1st Jan

I have heard about people having to pay VAT twice, once on purchase and once on customs clearance on the full amount of the goods. I fully understand VAT and Duties need to be paid.

From what I have found (which is very little unless you are a business) on the net, it would appear that the seller shoudln't charge you VAT at the point of sale as VAT is for where the goods are to be used in the county of sale, and thus not for export. Its almost as if its a hidden secret and the government don't want you to buy from the EU.

The company I am trying to deal with wont zero rate the goods and on £1000 worth of stuff I shouldn't have to pay 20% twice. I also think to try and claim it back afterwards will be a nightmare.

Have I got this wrong if i have can someone tell me what is correct - I cant get any help from the HMRC, web chat always says they are busy and they have a 15day response time on emails (typical government organisation BS)

 

[goodoldboy]

you shouldn't have to pay VAT twice - i think - but maybe export or import duty as well ?

 

[Howmanygoes]

Yeah I agree there will be duty and probably customs clearance to pay. The VAT bit worried me the most due to %

They are happy to sell to a business that's vat registered at zero rate. And then vat is applied at customs I just don't know anyone who would put it through their books for me. I am not trying to not pay vat or duty just what's fair.

 

[Shayne]

I will work it out when i need to but i'd assume it should be exactly the same as buying from America or China direct ?

All things are arse about face right now and everyone is trying to make up for covid cash loses by cashing in on the confusion or simply saying charge them anyway because we don't want to be left with any bills if indeed there should be charges when the dust settles .

If delay is an option i'd take it .

 

[Tel Boy]

My brother in law owns a boat, which is currently in Corsica. He paid VAT on it when he bought it 15 years ago. He is thinking of bringing it to the UK this summer (Covid permitting) and HMRC have told him that if he doesn't import it into the UK before 31 December 2021 he will have to pay VAT on it AGAIN. So it is clear that this is a deliberate policy. Presumably the government is getting desperate to claw back tax income lost in all these lockdowns and some smart arse in Whitehall thinks this is a clever idea since it only involves imports and its your fault for not buying british. Its not an oversight, they know its happening.

 

[Shayne]

Ships registry doesn't ask how much a boat cost , buy it off him for a quid when its in the harbour .

 

[DH.120]

Be really interested when you get a definitive answer. Been looking at getting a few things from Poland but holding off as I can’t work out what will be charged as it crosses the border into the UK. Should have got my act together and ordered last year!

 

[Howmanygoes]

Funnily enough 1/2 the stuff I want is coming for Poland too. I was going to order last year but held off as I didn't want it to be sat at customs for 9months or end up with a bill bigger than breakdown cover for a Landrover.

 

[Grimbo]

I think it depends on the seller....
I deal with a couple of Dutch guys and it has all carried on without any problems.... both of them sold to the UK and also travelled to events in the UK to sell for years and maybe are more up to speed than others .... I have another delivery due so will give you a breakdown of costs /taxes when it's here .
For sure a lot of French and German and Spanish border and institutions are being as awkward as they can .... using Corona as an excuse and to hide behind...
Mate's who are trucking to and from France report stupid French petty obstructions and delays ..... they held 27 horses and grooms up at a Port for 7 hrs despite all the paperwork being in order and appropriate Covid restrictions / precautions and tests being complied with... it was pure petty obstruction ....
It will settle down ....

 

[Tel Boy]

I think you are right. The guys in Poland should be exporting to a buyer outside the EU free from VAT. HMRC are going to charge 20% VAT on import no matter what was charged in Poland. Can you get the supplier to confirm their price to you is net of VAT?

 

[Tractionman]

A well known member on here, just bought something from Roumania, that was listed at £165 total.
The supplier reduced the price to £135 total which is the threshold I believe, with no extra charges.

 

[Howmanygoes]

They won't budge. Say they can't sell without vat unless i am a business or i can provide a vat number.

 

[Tel Boy]

They are just plain wrong. When they fill in their VAT return there's a section for goods supplied to clients outside the EU. Everything in that column is Zero rated. What they are talking about is zero rating for clients within the EU. They need to talk to their accountant. The guys on the sales desk clearly don't know their Madras from their Elba.

 

[Howmanygoes]

Email reply.....

Hi,

me as company - I can't sell parts without VAT for private persons. Only for companies. We don't any tax free - only commercial invoice without vat EXP 0% for copanies registrated in UK.

 

[Shayne]

Lost in translation - we can't sell direct to the public we supply to business only addresses .

I experienced something similar a couple of times in the past and nothing to do with Brexit , i think once from Italy and once from China .

 

[Grimbo]

They won't budge. Say they can't sell without vat unless i am a business or i can provide a vat number.

Just get a mate who is registered as a business and VAT to buy it for you ?

 

[Bob]

Interestingly we were told told we cannot purchase any goods from the UK until further notice due to the VAT issue. That's from a publicly funded education board that runs 60 schools and a load of further education centres. Really knocks a few things out of kilter, especially science equipment etc that comes through UK suppliers often in Northern Ireland.

 

[Howmanygoes]

Just get a mate who is registered as a business and VAT to buy it for you ?

I would do happily and bung them £50 for doing it. I just don't have mates with there own vat businesses.

 

[Shayne]

You pay the vat and they claim it back so its no hardship for a garage you might have some relationship with assuming its car parts your after .

 

[chapel gate]

its a choice of the country importing whether or not import/vat is charged. historically to raise revenue or protect home industries.

in the US up to $800 is import free on most things.

i suspect in this case its a bit of a two finger salute to the EU as well..

trade deal with australia will be interesting if it means cheaper intercoolers, turbos etc.

the only things i can ever remember buying from europe are strauss clothing.