Tax on goods from EU surely not correct?

[floridapalmtree]

Husband has just had messages from DHL saying they will not deliver goods until £67 tax and import duty is paid. This is on clothing of £240. So 20% added. The items were ordered on 29 December so before Brexit exit.

Sister in law also ordered some goods from same company, also on 29 December, which were delivered yesterday but didn't have any tax to pay, think she may have spent less though.

AIBU that this is too much money? or is this just the way things are going to be post Brexit?

Post on another similar thread on chat :

*The EU VAT change that came in 1st Jan is coincidental with Brexit only. EU countries will be implementing it between each other too, if a retailer sells something like over 10k Euro of goods in a year (so if a German retailer sells more than 10,000 Euro worth of products to Austrian customers, they will have to start adding on VAT). The EU countries have put off implementing this until the summer, whereas the UK started it in Jan as originally planned.

All EU countries agreed this arrangement in 2016 (also coincidence that this was the date of the referendum!)*

@Pinkcadillac - Yes, that is true, but if you don't communicate your terms clearly to your customer, you risk annoying them. Not the best customer experience.

I'm sure they did communicate their terms clearly. However, why on earth would you expect a company to communicate the terms of a foreign government to a customer? It's the responsibility of the customer who is importing to understand the implications. US companies never tell me what charges my government will impose on anything I buy there.

UK VAT is 20%
Australia GST is 10%
US VAT is 10%
South Africa VAT is 15%
Need I go on? The companies we buy for can't list all the rates of tax for all the countries around the world that they might sell to. It has nothing to do with their terms or their "customer" experience. It's our responsibility to be informed. Yes, there will be increased in prices of goods coming to us from the EU - but don't blame them.

Project fear innit

@lifestooshort123

The post about the EU being to blame for the UK leaving the Single Market is not relevant

UK VAT will be applied to UK imports by the UK authorities

@BaileysforBreakfast

Welcome to Brexit Britain. Will of the people, isn't it? They actually voted to pay import duty where there was none before. Good for them, eh?

Bitter much?

@WhatWouldPhyllisCraneDo

Exactly *@SomewhatBored*. I doubt most of the leavers I know actually know what Sovereignty means, but they definitely voted for it

So predictable that Remainers are still moaning bitter whingebags.

@PolarExpressislate

So predictable that Remainers are still moaning bitter whingebags.

So don't read it.

@lifestooshort123

Post on another similar thread on chat :

*The EU VAT change that came in 1st Jan is coincidental with Brexit only. EU countries will be implementing it between each other too, if a retailer sells something like over 10k Euro of goods in a year (so if a German retailer sells more than 10,000 Euro worth of products to Austrian customers, they will have to start adding on VAT). The EU countries have put off implementing this until the summer, whereas the UK started it in Jan as originally planned.

All EU countries agreed this arrangement in 2016 (also coincidence that this was the date of the referendum!)*

That's not really the case. The EU are changing how VAT dealt with for cross-border sales. It will be cheaper and easier for EU companies to comply with than current rules, although the removal of the €22 threshold for payment of VAT will impact on lower cost sales. However, most of those sales are already from third countries (e.g. China) so not a huge impact on EU companies.

The UK, exhibiting mind-boggling (but unsurprising) arrogance, has decided that they expect the following:

Consignments valued at £135 or less
The seller must charge and account for VAT at the point of sale, unless the consignment is a business to business sale and the customer has given them their UK VAT registration number.

To charge and account for VAT the seller will need to:

know the precise nature of the goods to find out the correct rate of VAT to charge
register for VAT - sellers that are already registered for VAT do not need to re-register
keep records of the goods sold, and make sure they get accurate information to apply the correct VAT treatment to them

www.gov.uk/guidance/vat-and-overseas-goods-sold-directly-to-customers-in-the-uk#threshold-for-distance-selling

There is no such thing as a remainer.

The UK left the EU 11 months ago
and the Single market a few days ago

There are Rejoiners

But, leaving the Single Market is what Getting Brexit Done meant since December 2019

The seller don't have to make it clear same as buying from the US. I remember buying DVDs from the US many many years ago and had to go and buy import duty, similar to what the OP had to. That's the last time I bought from a US website.

With this experience, I know this is what we'll have to do now. A shame because I bought my music and ice skating stuff from the EU before. They have much better choices than here.

Bitter whinge bags or being realistic? My brother (the most vocal leave voter I know) doesn't seem to know, or care that their, there and they're are different words and claims "life was better before we joined the EU" despite him not even being born until long after we joined. So I'd be seriously amazed if he knew the word "sovereignity". (Which is probably not the correct spelling)

I was a staunch remainer and would rejoin, should the opportunity arise in my lifetime, but surprised at your surprise and annoyance at this. We are no longer in the EU and you are importing things. Have you never bought anything from a non EU seller before?

@BiarritzCrackers
@OchonAgusOchonO has provided a link and explained it more correctly than I did

20% charge.
Remember, people voted for this!

Indeed.

Yes, it was democracy and the will of the people or so Leavers kept reminding us.

Haha well you know what, I'll happily pay in the knowledge that it will hit some people that thoughtlessly voted for Brexit. They'll never admit they were wrong, of course not, but they will be annoyed, and that is enough for me.

@PolarExpressislate

So predictable that Remainers are still moaning bitter whingebags.

You won, get over it!

I think it may partly be due to the way that the Government has chosen to implement the rules. They made a cock up. Who knew that they would be incompetent after nearly a year of Covid incompetence?

They all knew what they were voting for! Isn't it brilliant?!

I live in Switzerland, we deal with this all the time. Welcome to the outside of the EU.

Just wait until people start getting those letters from HMRC that say they have impounded a parcel for you and you have to pay £’0s for it and it turns out to be a birthday present from your friend..... Sort of annoying if it is from Hong Kong but think people will start to really get angry when it is from their retired parents in France /Spain etc.

Emily
Yup, had that with family presents from the US more times than I care to think.
It sours the gift a bit when you have to pay more than it cost to receive it.

The VAT issue is not new. It is how it is paid that's different. Before Brexit, acquisitions from the EU paid either the supplier's country VAT or UK's VAT (depending on whether the seller was registered for UK VAT).

Had they been VAT fee they'd have had an unfair advantage when compared with UK made products.