Post Brexit import experiences

[Insomnia]

There seems to be a difference between UK makers on how they handle VAT (some deduct VAT from their listed website price when selling to non-UK buyers, others don't).

I thought it would be helpful to share our experiences so EU buyers can have an idea of the final price they're paying (sale price + VAT + customs + handling fees etc) when buying a jacket from a UK maker/seller post-Brexit.

Second example.

I bought a leather jacket.

I payed £620 for the jacket, shipping with DHL £20.

Total customs/handling fees were €177,29 in Germany.

Bought a lot before the Brexit, now there is not so much difference from ordering from Japan or the US.

 

[Marc mndt]

Total customs/handling fees were €177,29 in Germany.

Did you have to pay duty, or only VAT and handling fees?

 

[Insomnia]

Duty 27,34€ VAT 135,07€, 14,88€ handlings fees.

 

[MrProper]

Strictly speaking, it wouldn't be so bad if manufacturers didn't maximize their profits with VAT.
Because, as far as I know, you don't have to transfer VAT to the tax office if the sale goes abroad. At a rate of 20% that would cancel out for most countries. I.e. I get the goods 20% below the list and then pay the VAT rate of my country when I import. Then the bottom line would be only duties and fees. And customs only if the rules of origin do not apply.

 

[Cornelius]

While this doesn't pertain to one-off deliveries of single consumer items, it sounds as though UK manufacturers like Aero & SB may begin to have difficulty reliably sourcing any material imported from the EU:

----------
A British freight company director with more than over 20 years experience has told how EU hauliers and transport companies are turning their backs on UK business because they are being asked to provide tens of thousands of pounds in guarantees to cover VAT or potential tariffs on arrival in Britain...

“We’ve got people that are trying to bring textiles in from Italy but we are being there is no haulage availability on that. Nobody’s willing to touch anything because of these guarantees. In Poland, we’re trying to get masks in for PPE in the workplace and we can’t get anyone to bring them over.”...

A truck with a £200,000 cargo would need cash or a T1 financial guarantee document for £40,000 in VAT alone, he said, a significant burden for transport companies with multiple trucks going to the UK.

Before Brexit these guarantees were not required for goods coming from the EU.
----------

-source

 

[Marc mndt]

I wanted to buy a Kent and Curwen coat via their online shop. Since they're located in the UK (and I'll have to pay VAT to Dutch customs when importing goods from the UK ) I asked them to deduct VAT from the ticket price. This was their response.

Maybe it's just me but I don't get their explanation. Is there anybody who does?

 

[MrProper]

I wanted to buy a Kent and Curwen coat via their online shop. Since they're located in the UK (and I'll have to pay VAT to Dutch customs when importing goods from the UK ) I asked them to deduct VAT from the ticket price. This was their response.
View attachment 305272

Maybe it's just me but I don't get their explanation. Is there anybody who does?

no clue what they mean. reads confused and leaves the impression that they themselves have no idea what they mean.

 

[Blackadder]

I wanted to buy a Kent and Curwen coat via their online shop. Since they're located in the UK (and I'll have to pay VAT to Dutch customs when importing goods from the UK ) I asked them to deduct VAT from the ticket price. This was their response.
View attachment 305272

Maybe it's just me but I don't get their explanation. Is there anybody who does?

Are you buying from K&C official website?
I think you can pick the country/region on the website. UK and EU countries are now separated.
I think it means from now on, you should not buy from K&C UK.

 

[Marc mndt]

Are you buying from K&C official website?
I think you can pick the country/region on the website. UK and EU countries are now separated.
I think it means from now on, you should not buy from K&C UK.

I went to https://www.kentandcurwen.com

 

[bn1966]

Have made my first EU purchase, VAT was deducted from cost, goods have been courier delivered, waiting to see if I get a VAT bill sent to me.

 

[bn1966]

Some goods I can’t currently get in the UK from UK outlets that normally hold stock from EU, explanation given was around getting couriers and shipping issues sorted. Risk I run buying direct would be VAT charges both ends...this has happened to some

 

[MrProper]

Have made my first EU purchase, VAT was deducted from cost, goods have been courier delivered, waiting to see if I get a VAT bill sent to me.

This is exactly how it should be and this is how i would expect it from a company.
At least from someone who knows.
In my opinion, there are only two reasons why the VAT is not deducted: 1. ignorance of the tax possibilities and 2. knowledge of the tax possibilities and thus comfortable profit increase by collecting the VAT without having to relinquish them yourself.

 

[bn1966]

This is exactly how it should be and this is how i would expect it from a company.
At least from someone who knows.
In my opinion, there are only two reasons why the VAT is not deducted: 1. ignorance of the tax possibilities and 2. knowledge of the tax possibilities and thus comfortable profit increase by collecting the VAT without having to relinquish them yourself.

That’s the way of it, Pike Brothers Germany who I’m a regular with were spot on.

Expensive scooter parts I’m quite cautious at present thus only dealing with British companies who are importing stock from the EU so that I know the total cost at the outset.

 

[Harris HTM]

My girlfriend has bought a couple of items this month (2 or 3 different orders) from Matches Fashion and Marks and Spencer, both based on the UK, items shipped from the UK.
There was no difference compared to pre-Brexit. Also regarding the returns. No UK VAT deducted / Dutch VAT added.
However for the rest of the UK webshops I've been using (Pediwear, Herring) I see they deduct the british VAT.

 

[Tom71]

This is exactly how it should be and this is how i would expect it from a company.
At least from someone who knows.
In my opinion, there are only two reasons why the VAT is not deducted: 1. ignorance of the tax possibilities and 2. knowledge of the tax possibilities and thus comfortable profit increase by collecting the VAT without having to relinquish them yourself.

And an option No.3 when the service provider/producer is tax-exempt.

Unfortunately (at least for the tax-debtor in the EU) that seems to be the case with Field Leathers. It must be a small-business exclusion to help kickstart the venture.
In that scenario, I do not see a way out of European VAT other than a false value-certificate.

 

[JMax]

I feel like Forrest Gump reading through this thread. My head hurts and I need another vodka.

 

[Tom71]

I feel like Forrest Gump reading through this thread. My head hurts and I need another vodka.

I guess for you it must be a non-issue with these dozens of local/state taxes. Is Europeans have become spoiled in that regard so forgive a little winching...

 

[JMax]

I guess for you it must be a non-issue with these dozens of local/state taxes. Is Europeans have become spoiled in that regard so forgive a little winching...

It is but I enjoy trying to understand what fellow TFLers go through to continue this hobby. Admittedly, I still do not quite understand the mechanics of it all lol.

 

[Marc mndt]

Admittedly, I still do not quite understand the mechanics of it all lol.

Me neither, but I do know that it easily adds £300 to a £1000 jacket. And that sucks.

 

[JMax]

Me neither, but I do know that it easily adds £300 to a £1000 jacket. And that sucks.

Certainly. And I am sure a fair amount of skepticism about how makers/sellers handle the tax. I’m lucky I can limit my participation to a few forum posts.