New Import Duty/VAT Thread. Read Post #1 for Rules

DYLF

ier wrote: »

Question about "free shipping". I bought an Item from outside EU. Paid 140 euro for the item. The delivery normally would cost 100 euro but because of a promotion it was free... It arrived by DHL, and I was asked by them to pay VAT on 240 euros. I know that VAT is supposed to include delivery, but I paid only 140 to the seller. Delivery costs were paid by them. Is there anything I have to do about this, or do I have to pay VAT for delivery, even if it was paid for by the sellers? Thanks.

whether you paid for it or not the shipping still cost someone money. customs will charge YOU VAT on the cost of the goods and the shipping charges now matter who paid them. no way around it im afraid.

ier

Thanks for the reply DYLF. Another similar question then. If there is a promotion "Buy 2 get 1 free", so I only pay for 2 items but receive 3, will I have to pay VAT on all three items? (does the same logic apply? The third item was not free, they paid for it, but you still have to pay the VAT)

rubadub

ier wrote: »

I know that VAT is supposed to include delivery, but I paid only 140 to the seller. Delivery costs were paid by them.

This is why I hate this 'free' delivery marketing nonsense. The delivery was included in the price you paid, as normal, there are no volunteer postmen or takeaway delivery people.

With mymemory.co.uk they used to say 'free delivery' on the site, but when you got the invoice/receipt it would have it listed separately and the listed price of the item dropped accordingly.

You could try emailing the company and asking for a new receipt listing it for what it really was. A €40 item and €100 delivery. Or try emailing and saying this to revenue. I find revenue respond to emails quick enough, and I expect this comes up a lot.

It may be more difficult as it went through DHL who collected it, rather than an post, have you paid them yet?

ier

rubadub wrote: »

This is why I hate this 'free' delivery marketing nonsense. The delivery was included in the price you paid, as normal, there are no volunteer postmen or takeaway delivery people.

With mymemory.co.uk they used to say 'free delivery' on the site, but when you got the invoice/receipt it would have it listed separately and the listed price of the item dropped accordingly.

You could try emailing the company and asking for a new receipt listing it for what it really was. A €40 item and €100 delivery. Or try emailing and saying this to revenue. I find revenue respond to emails quick enough, and I expect this comes up a lot.

It may be more difficult as it went through DHL who collected it, rather than an post, have you paid them yet?

Yes I agree with you, this time however it's slightly different. This "free" delivery is not really a promotion they are having for everyone. I originally picked an item that went out of stock, so as a compensation, they offered me to choose another item and have the delivery paid by them.

140 is the normal price for the item I received. Delivery charges were paid by them, and are not really included in the 140. So I can't ask the company for a new receipt that would include the shipping charges.

EDIT:
I do have paypal/credit card records that show I paid them only 140 euros. According to DHL the shipping price was estimated by the customs and added to what the receipt said was the price for the item (the estimation did match the actual shipping price more or less)...

gfoster

I've a serious problem going on with dhl at the moment.

Long story short, I ordered a package from hong kong which was free shipping etc etc.
It arrived at my door by dhl, the package in total was $100, i asked the driver was there any import duty and he said '' doesn't look like it, if nothing asked then say nothing'' along them lines.
I was like fine, i receive packages every week, sometimes I've to pay duty but most times i don't.

Now 3 months later i get a letter with a fine of €5 on an outstanding invoice from dhl of an import duty value of €58 on the item.
At this point I've no idea whats goin on because its months later, that actual day i get a phone call from dhl saying i had the outstanding duty to pay etc etc.

So i said i need to time to look at things, looking at the figures, the item cost €79 at the time and i'm paying €58 duty.
That's insane! 75% duty on an item.

What i'm most annoyed about is that when i receive the item at the door, i'm ment to have the option to accept these terms of paying the duty or not, which they'll take the item and do whatever they want send back to seller, auction off etc and i did not have that choice to accept these terms now, which i would NOT of payed anyway, €58 on something that cost 79, HA!
My only choice now is to just pay dhl ''as a member of dhl said'' or take legal action.

Dhl even said themselves they where in the wrong and they have no idea how i got my package without paying duty at my door, that the driver should of had an invoice.

Now in saying that, i've been looking up about this and have now received a letter in the post from a debt collector looking for the duty.

Can i ask now, who is responsible now, am i to pay because i did not get the option to accept these terms or should dhl pay because they didn't do there job correct? i.e. Not letter me know that there was duty to be payed before giving me the package.
I know its ONLY €58 but its more or less the principle than anything.

By the way i said long story sort because this has happened to me before which i payed in the end but i'm now PI**ED OFF about this.

Sorry for the long post!

DYLF

what has happened is that the VAT amount wasnt on the drivers sheet when he delivered it to you so he didnt know any better. a letter should have been posted to you the following day or two to advise you of the VAT, which clearly wasnt. when the vat is unpaid for about 2/3 months it automatically goes to a debt collection agency so what they are asking you to pay now is the VAT and a fine for them having to get someone to collect the money from you.

My only choice now is to just pay dhl ''as a member of dhl said'' or take legal action
unfortuanatly taking legal action will get you nowhere. call DHL and ask to speak to their VAT department. explain the situation and that someone in customer service has admited fault and tell them you are not happy with paying the additional fees. the 2 girls that work in the VAT dept will usually be help you out

sonyvision

Hi boarders... not sure if this has been answered if it is im sorry..

currently in the US on a J1 visa at a camp for the summer.. i want to post home a gift for the girlfriends birthday in 3 weeks the value of it is 75 dollars just like a top and a pair or jeans...
would i run into much of an issue with customs and vat haven to be paid since its for her birthday and im living here for 3 months ??

if so how would it work

thanks for any 1 who can help

DYLF

still works the same. she will most likely have to pay vat and duty on it when she recieves it.

sonyvision

DYLF wrote: »

still works the same. she will most likely have to pay vat and duty on it when she recieves it.

Thanks man thats what im thinking too. Nearly tempted to send 1 item see if it makes it there the value is 30 ish dollars which means its below the gift value so she might not have to pay tax on that item possibly

rubadub

sonyvision wrote: »

the value is 30 ish dollars which means its below the gift value

Remember that the value is the shipping and item value combined, so the cheaper the shipping the better.

You would have to mark it a gift, probably formally on the customs slip, and best put a card or something in it.

The other option of course is buying something on the likes of amazon.co.uk and have it sent gift wrapped to her. A customs invoice would not go down well!

sonyvision

rubadub wrote: »

sonyvision wrote: »

the value is 30 ish dollars which means its below the gift value

Remember that the value is the shipping and item value combined, so the cheaper the shipping the better.

You would have to mark it a gift, probably formally on the customs slip, and best put a card or something in it.

The other option of course is buying something on the likes of amazon.co.uk and have it sent gift wrapped to her. A customs invoice would not go down well!

Its an abrocrombia and fitch item i paid 34 dollars shipping is 12 dollars... If i put a card in it and sent it airmail i say it would be ok.... Or i could wait till im home in September but then its in my suite to take back

brasher

I have bought an item on ebay from within the EU, tracking shows it as "sent to customs", is that that standard for everything coming in to the country? I presumed anything from within the EU would bypass customs?

rubadub

brasher wrote: »

I have bought an item on ebay from within the EU, tracking shows it as "sent to customs"

Are you certain it was sent from within the EU. Many shops pose as EU sellers but are really not. Post a link to the auction itself if you are in doubt.

brasher

rubadub wrote: »

brasher wrote: »

I have bought an item on ebay from within the EU, tracking shows it as "sent to customs"

Are you certain it was sent from within the EU. Many shops pose as EU sellers but are really not. Post a link to the auction itself if you are in doubt.

The country of origin on the anpost tracking page says Romania, so i presume that's right? I'll post a screen cap when I'm not on my phone.

brasher

Here's a link to the An post tracking page and here's the ebay auction. Thanks for your help!

AngryGoldfish

brasher wrote: »

I have bought an item on ebay from within the EU, tracking shows it as "sent to customs", is that that standard for everything coming in to the country? I presumed anything from within the EU would bypass customs?

As far as I know there are still customs departments for EU shipments. They still have to check for dangerous packages and whatnot.

brasher

Thanks, that's what I hoped. I didn't fancy having to pay surprise VAT!

brasher

In case anyone is interested, the package was released today. Thanks for the feedback.

Alangers

Can anyone help me out. I am looking at getting about 240 mini bottles of Jagermeister from Austria. They are for my own personal use and not for resale. The shipment will cost about €250 including shipping making the bottles about €1 each. They cost about €1.80 in ireland. What would my liability for excise duty be. How is it calculated. I am paying VAT on the purchase in Austria. Any advice would be appreciated.

rubadub

http://www.revenue.ie/en/tax/excise/duties/excise-duty-rates.html

€31.13 per litre of alcohol in the spirits

That is per litre pure alcohol, i.e. if you imported 10litres of 40% alcohol it is 4L of pure alcohol. So you have to work out how much is in the bottles.

Also if I understand this below, it seems you might be liable for VAT too, or rather the seller should be doing it

http://www.revenue.ie/en/tax/excise/leaflets/pn1879.html

3. Distance Sales (internet shopping and mail order)

Where excisable products that have been subject to tax in another Member State and delivered to a private individual in the State, excise duty and VAT must be paid in the State. These "distance sales" include purchases via the internet or by mail order (e.g. from a newspaper advertisement).

The necessary arrangements for payment of the excise duty and VAT (at the standard rate) in the State must be made by the trader who sells and delivers the products. These arrangements include registration for VAT in the State.

The Purchaser should be satisfied that the trader is compliant, as untaxed products are liable to seizure and confiscation.

I dunno how strict this is, as I have seen lads in the beer forum order beer online, but yours is worth a lot more.

Sort of off topic, but if they are for personal use why are you buying all these minis rather than regular bottles, which are usually far cheaper per ml.

Alangers

rubadub wrote: »

http://www.revenue.ie/en/tax/excise/duties/excise-duty-rates.html


That is per litre pure alcohol, i.e. if you imported 10litres of 40% alcohol it is 4L of pure alcohol. So you have to work out how much is in the bottles.

Also if I understand this below, it seems you might be liable for VAT too, or rather the seller should be doing it

http://www.revenue.ie/en/tax/excise/leaflets/pn1879.html


I dunno how strict this is, as I have seen lads in the beer forum order beer online, but yours is worth a lot more.

Sort of off topic, but if they are for personal use why are you buying all these minis rather than regular bottles, which are usually far cheaper per ml.

Thanks a million for the info above.

Just been trying to calculate out based on the figures above and its still working out a lot cheaper to buy in Austria. I'm a bit concerned about that VAT part as they are charging VAT in Austria and it would be a pain to have to pay again in Ireland.

Im looking for mini bottles as i'm hoping to have a Apres Ski party and want the small bottles just like you get in the ski resorts! Just a bit of fun but your right, expensive fun! Is that considered personal consumption??

loveisdivine

I've been trying to work out what the customs charges will be on some items I had made in the US and sent here.
They are bouquets and pomanders made from felt and buttons, for our wedding. Made by a lady in the US.
The value is about €650 including shipping.
The problem is, I cant find the right category to pick on the duty calculator websites. They dont seem to fall into any of the categories.

They should be here in a couple of days anyway, they have made it to Ireland but tracking number says they are in "Customs Clearance" since Friday. So I will find out in a few days anyway, but just wanted to be prepared. Im hoping it wont be over €200.

mark_79

Bought two items from the US a fortnight ago costing me €520. This morning I received an invoice from FedEx totalling just over €170.

Absolutely sickening. That's literally money for nothing that I may aswell flush down the toilet.

rubadub

mark_79 wrote: »

Absolutely sickening. That's literally money for nothing that I may aswell flush down the toilet.

But you are paying VAT, duty, admin costs etc loads of stuff you buy in shops here. It is just not transparently pointed out to you by most companies. If it was listed on all receipts and broken down then this €170 would probably not be sickening or surprising at all.

mark_79

It's still a racket. Have another package on the way from the US, this one valued at €240 and I'll be paying nothing extra on it. Admittedly the sender has fiddled the documentation to declare a sub €20 valuation and it's not being handled by FedEx but what is due, well, they'll never miss what they never had (get).

rubadub

mark_79 wrote: »

It's still a racket.

its legitimate taxation, do you consider the included VAT you pay on various other products to be a similar racket?


rack·et

3.
an organized illegal activity, such as bootlegging or the extortion of money from legitimate business people by threat or violence.
4.
a dishonest scheme, trick, business, activity, etc.: the latest weight-reducing racket.

What you are attempting to do is the racket! illegal tax evasion.

http://www.revenue.ie/en/customs/leaflets/pn1882.html

some websites state that they can misdeclare or undervalue the goods as a way of avoiding charges. Clearly, this is illegal and purchasers should bear in mind that they, as the importer of the goods, have legal responsibility for ensuring the accuracy of information provided on the declaration by the seller and ensuring that the correct payments are made; and

mark_79 -I have deleted your last post, not helpful or useful in this thread, and we can have no further discussion of tax evasion. As per charter rules.

RUDOLF289

mark_79 wrote: »

It's still a racket. Have another package on the way from the US, this one valued at €240 and I'll be paying nothing extra on it. Admittedly the sender has fiddled the documentation to declare a sub €20 valuation and it's not being handled by FedEx but what is due, well, they'll never miss what they never had (get).

You can take it as read that if An Post / Customs look at the parcel in detail and suspect that the value is incorrectly declared, they will ask you for proof of the value. If you can not (or will not) supply the correct value, Customs will establish their own valuation, based on their own information.

Trying to circumvent paying legally imposed duties and taxes is taking a risk which may lead to confiscation of your goods or a fine or both. Not sure why you would want to risk not paying VAT @ 23% plus whatever duty maybe due and lose the € 240 you have paid if your parcel gets snagged.

Cheers,
Rudolf289

RUDOLF289

mark_79 wrote: »

Bought two items from the US a fortnight ago costing me €520. This morning I received an invoice from FedEx totalling just over €170.

Absolutely sickening. That's literally money for nothing that I may aswell flush down the toilet.

Hello Mark_79. 33% over the value you indicate seems to be slightly out of line but not drastically so.

Duty is calculated over the cost of the product plus the freight cost. VAT is calculated over the combined total plus the duty. In addition FEDEX charges a fee for collecting the charges on behalf of Revenue.

Just bear in mind that the contribution in VAT that you have so generously made on this transaction will go a small way to reduce the debt burden we are all suffering under.

On behalf of a grateful Irish nation, our heartfelt thanks !

Cheers,
Rudolf289

PTO

Bought 5 records from the US amounting to $99, when they arrived this morning I was charged €24.79.

Anyone any idea why??

rubadub

PTO wrote: »

Bought 5 records from the US amounting to $99, when they arrived this morning I was charged €24.79.

Sounds normal. All explained in the first post.