Import tax question

[Stoo]

Given that my PS3 got nobbled by customs and I was only charged VAT and handling, I feel fairly confident that there will be no duty on something similar

My PSP also was simply +VAT and handling

[Saracen]

Is there a big DB somewhere with all the rates on?

I checked the customs site and that just says call em up (0845 number - no thanks!)

Yes, there is, but I don't remember if it's publicly accessible.

But even so, it doesn't necessarily help, since the problem is often in assessing precisely which category a given product falls into. Games consoles are a case in point. When is a games console a games console, and when is it a computer? Would a small, pre-programmed game fall into the same category as an Xbox 360?

The current "book" of commodity codes, which is negotiated on an EU basis, contains many thousands of codes ... more than 10,000 if I remember correctly. So, if you look it up and decide that a product should be in category 4731, and Customs say no, it's 596, you're going to think the duty is at one rate and end up paying it at another. Yes, there's an appeals process, and yes, ultimately, it can be challenged in court. But who in their right mind would go as far as a court challenge over a single item import? So it's more a theoretical right than a real-world one.

Which is why I said a while ago that the only real way to be sure is to get a customs ruling on it, and even then, unless you get a binding decision, you could have the decision at point of import come down a different way to the advance decision. Then, you've got to try to get one overturned in favour of the other.

The simple practical truth is that it's not easy to be sure, in advance, exactly what will be paid unless it is very clear which code applies. To get a binding decision, you need to get a BTI (Binding Tariff Information), which is a legally binding decision from Customs, valid throughout the EU, that a specific commodity code applies to a specific product. And to get that, you need to be a trader and register to access the online service, or go through a manual, paper form-based application.

In reality, as a private individual, you can get customs to give you a commodity code and a duty rate in advance, but they're not bound by it. So, at a practical level, it's always a bit of a gamble.

[Whiternoise]

Ok.. so basically it's not worth the bother of looking it up - just grin and bear the cost when it comes.

How much was the Vat/handling on the PS3 Stoo?

[Saracen]

I wouldn't put it quite that strongly, Whiternoise. You can't guarantee it, but assuming (as seems likely) the DS Lite is classified as a games console, then the import duty will be zero. You'll still pay VAT and perhaps a handling charge, assuming it gets picked up and you pay anything at all ..... or you may just get lucky.

So when importing, in general, looking it up gives you a guide and a probable result, but just not one you can guarantee.

Of more concern, generally, is what happens if you have a problem either with the goods or the company. Your chances of it being worth trying to take court action against a foreign company if the goods don't show up or aren't as advertised is very small. Or if the unit packs up, you might well end up paying to ship it back to the country of origin for a replacement if (as is often but not always the case) the warranty isn't a UK or EU warranty .... and so on.

So this type of import can often save you money .... providing everything works out. But if it doesn't ....

Only you can decide if it's worth the risk, and potential hassle.

[ikonia]

I had a DS Lite which I bought as a gift for someone stopped at customs due to the fact that the colour was marked as "Cocaine white" - This drew attention to it and as a result I got a nice full VAT/Tax and import fees although they where not that much.

The hassle came with having to contact the importers to verify the source and destination due to the colour being cocaine white.

Things like this can cause a real hassle, if possible I'd not import it, things like RMA, support, are just too much hassle. I only imported the DS lite as it was a gift for somone and thats what they wanted.

[JPreston]

I had a DS Lite which I bought as a gift for someone stopped at customs due to the fact that the colour was marked as "Cocaine white" - This drew attention to it ....

Glad to see HMRC are on the ball; maybe they thought the smugglers had started using reverse pyschology or something.

[Whiternoise]

Heh i think it is worth the risk - to be honest, i don't really mind how much it is (it's hardly going to be vastly expensive), just so long as i recieve it and it works.

[Saracen]

.... just so long as i recieve it and it works.

Indeed, but that's part of the risk.

A friend of mine recently bought some memory via eBay, from what was supposed to be (and was advertised as) a UK supplier. Needless to say, when it proved to be dead-on-arrival, and he came to send it back, the carriage back to the USA (which was where it actually came from, despite the claims in the eBay advert) proved to be enough that he'd probably have been better off just buying on the UK high street in the first place. It certainly negated a lot of the potential savings.

[SilentDeath]

How do you go about paying VAT? is there any way to aviod it? (like items under £18 or is that just avioding additional duty?)

I ordered some stufff from ledshoppe.com (stuff like 2 usb hubs, few batterys, torches..) which came to £26.50. Im quite sure they didnt chage vat and they are in hong kong...

I *assume* when the package gets to customs, they will send a note to royal mail, who will then put a note through my door (there is a space for customs charges on the notes for not paying enough postage). Then I pay RM who then pay customs and it gets released and delivered?

Anyway, the package was leaving HK on saturday 17th, and im quite sure the plane only takes 12 or so hours max? so it has been sitting in customs for about 3 days.

[Whiternoise]

I know there's risk involved, but i'm happy to take it because the shop i'm using has an excellent customer service forum, a decent number of happy customers and there's the major point that you can't get the stuff i'm buying from the UK.

[redsky009]

For instance, digial cameras are duty free, while 35mm SLRs are charged at 4.9%

I paid about £25-£30 on a £180 digicam I ordered from Hong Kong... (Parcelforce didn't even tell me that they had it, I had fudge the phone system in order to speak to a real human in order to find out that it has been in the depot for a week waiting for the duty to be paid)... that was about May 2005

Edit: duh, that works out to be VAT, not extra duty, nevermind

[kalniel]

How do you go about paying VAT? is there any way to aviod it? (like items under £18 or is that just avioding additional duty?)

You're right - under 18 quid and you don't pay VAT. That's dropping to under 8 or 9 quid though at some point.