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VAT on a gift from overseas?

5 replies

fuzzypicklehead · 24/01/2013 13:52

I'm very confused. Yesterday I got two notices from Parcelforce stating that I need to pay Import VAT on parcels before they can be delivered. One is a late Christmas gift from a sibling, so I don't know what is in it. The other has two secondhand mobile phones from my dad and his wife. (when they upgraded, they thought DD's could use them to play android games on their old phones. Very sweet gesture).

Should I really have to pay import VAT on gifts from the States? I'm an expat and have been having parcels sent over for years, but never had this happen before.

OP posts:
CogitoErgoSometimes · 24/01/2013 13:58

I've had to pay it before. Usually if the sender has stipulated 'gift' on the import documents you don't pay but, if not, then it is treated as a commercial transaction and the VAT is due.

Apparentlychilled · 24/01/2013 14:09

yep, I've had to pay it before, but it seems to be totally random when it's charged. Bad luck.

fuzzypicklehead · 24/01/2013 14:32

That's a shame. Unfortunately the parcel tracking service notified my Dad that it was being held for charges, so now hes feeling bad for sending them. Knowing him, he probably declared their normal retail value to make sure the package was insured fully--which increased the charges for me!

OP posts:
orangepudding · 24/01/2013 14:34

I didn't think you had to if they are labeled as gifts.

MrAnchovy · 25/01/2013 01:28

You have to pay VAT on gifts valued at over £40 from outside the EU.

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