VAT and import duties on parts from EU

[Jerbro]

Probably a stupid question… How does this quote look for EU purchase of an item via dealer in UK? Double VAT??

				VAT 20%
Fly biminitop complete			£ 2,100.00	£ 420.00	£ 2,520.00
Import vat 20%			£ 420.00		£ 420.00
Customs clearance			£ 63.00	£ 12.60	£ 75.60
Carriage to UK			£ 113.00	£ 22.60	£ 135.60
				TOTAL	£ 3,151.20

 

[Concerto]

Certainly looks like they are trying to charge double VAT, unless they are charging local VAT and UK VAT - which they should not do if the item is being exported.

 

[st599]

Certainly looks like they are trying to charge double VAT, unless they are charging local VAT and UK VAT - which they should not do if the item is being exported.

Doesn't the UK dealer have to claim the VAT back? (And the UK VAT should be on the cost of goods plus shipping)

Businesses not based in the European Union who incur VAT in connection with their activities in an EU country where they do not habitually supply goods/services (and so are not required to register for VAT) are entitled to deduct that VAT.
This ‘deduction’ is made by means of a refund from the EU country where they paid the VAT.

 

[DinghyMan]

UK seller should zero rate the sale as its for export, conditions to this apply, including they must have proof of export, as they are probably shipping to an EU address they have this, EU importer then charges VAT/TVA/MWST/etc plus customs duties plus cost of collection etc....

VAT on goods exported from the UK (VAT Notice 703)

Should probably be a line for import duties on that invoice as well

I've recently seen VAT + duties + costs being about 50% of the invoice value for goods we sent from UK to EU

 

[Jerbro]

UK seller should zero rate the sale as its for export, conditions to this apply, including they must have proof of export, as they are probably shipping to an EU address they have this, EU importer then charges VAT/TVA/MWST/etc plus customs duties plus cost of collection etc....

VAT on goods exported from the UK (VAT Notice 703)

Should probably be a line for import duties on that invoice as well

I've recently seen VAT + duties + costs being about 50% of the invoice value for goods we sent from UK to EU

Just to clarify, this is me trying to buy a French product for use in the UK via a UK dealer… import from France to UK for use in the UK.. the French manufacturer of the product does not sell direct to consumers…

I’m trying another dealer too, but this is turning out to be a lot harder than I thought..

 

[DinghyMan]

Just to clarify, this is me trying to buy a French product for use in the UK via a UK dealer… import from France to UK for use in the UK.. the French manufacturer of the product does not sell direct to consumers…

I’m trying another dealer too, but this is turning out to be a lot harder than I thought..

In that case its the same, just in reverse, and simpler: UK dealer gives French manufacturer their VAT number, order gets zero VAT/TVA in France as its a French Business to UK VAT Registered Business sale, UK importer declares it, gets charged VAT on import, duties, collection costs, etc., which they then pass on

Should be zero rated by French exporter for either of two reason: UK importer is VAT registered so can supply VAT number AND its an export from France so should be zero rated

If UK dealer is not VAT registered then it just gets zero rated by French exporter as its an export

All info is "as far as I understand" and from experience, some foreign companies may refuse to sell zero rated even for exports

 

[harvey38]

Probably a stupid question… How does this quote look for EU purchase of an item via dealer in UK? Double VAT??

				VAT 20%
Fly biminitop complete			£ 2,100.00	£ 420.00	£ 2,520.00
Import vat 20%			£ 420.00		£ 420.00
Customs clearance			£ 63.00	£ 12.60	£ 75.60
Carriage to UK			£ 113.00	£ 22.60	£ 135.60
				TOTAL	£ 3,151.20

Jeez, what size is the bimini at that price?

 

[Jerbro]

Jeez, what size is the bimini at that price?

Yes, it’s the usual eye-watering marine premium… but I’m told it’s been hand-stitched by Parisian seamstresses out of the finest seal cub hides and tested for water resistance under the tears from angels…

 

[harvey38]

Ours arrives from Hungary tomorrow and I winced when UPS wanted £99.81 fee/tax, maybe I should be grateful it only cost £821 all in

 

[Jerbro]

Thanks for all the comments etc… this has been resolved!

 

[Refueler]

Thanks for all the comments etc… this has been resolved!

C'mon ... spill the beans ....... resolved ?

 

[Jerbro]

C'mon ... spill the beans ....... resolved ?

“Admin error” - just one vat charge as per dinghymans comment above… apologies accepted!