Post Brexit import experiences

[Marc mndt]

I do agree that a lot of businesses will move from GB to the continent.

I've read somewhere that almost 400 companies moved to the Netherlands last year. There was actually a news item today about hundreds more are considering moving because the Brexit reality proved to be hash. Waitinglines at the border, endless amounts of paperwork and hassle with VAT.

 

[Cornelius]

I've read somewhere that almost 400 companies moved to the Netherlands last year. There was actually a news item today about hundreds more are considering moving because the Brexit reality proved to be hash. Waitinglines at the border, endless amounts of paperwork and hassle with VAT.

As if the Amsterdam housing shortage wasn't already bad enough!

 

[willyto]

I wonder how all this will affect Clutch Cafe in London.

After all you’ll have to pay also taxes and import duties so not as attractive anymore.

 

[Mich486]

Just received an email from Clutch where they say the following:


To All Our European Customers

After the UK’s recent departure from the European Union, there has been an unavoidable upheaval in all trade.

To help ease the confusion, we use a shipping partner to assist us with all international shipments, which allows us to show you, upfront, all costs before delivery including duties and customs know as DDP (Delivery Duty Paid).

All prices are inclusive of processing and delivery fees (excluding courier fees where applicable) meaning the price shown is the price you will pay delivered to you, with no hidden customs or clearance fees!

All orders placed from within the EU have the local rate of VAT added and paid within destination country; so no excess VAT will be charged upon arrival and we do not collect UK VAT. This also means that you are able to pay in local currency (or the currency of your choice) to a local bank account, as well as offering payment plans wherever applicable.

 

[Mich486]

I’m not sure why they want to collect the duties/local VAT up front. I think they want to offer this service so European customers won’t have to deal with customs duties etc but in my eyes one might as well buy from Japan which will end up being cheaper. I think that is what they are afraid. Why buying at inflated prices to begin with and pay duties on top?

 

[willyto]

Just received an email from Clutch where they say the following:


To All Our European Customers

After the UK’s recent departure from the European Union, there has been an unavoidable upheaval in all trade.

To help ease the confusion, we use a shipping partner to assist us with all international shipments, which allows us to show you, upfront, all costs before delivery including duties and customs know as DDP (Delivery Duty Paid).

All prices are inclusive of processing and delivery fees (excluding courier fees where applicable) meaning the price shown is the price you will pay delivered to you, with no hidden customs or clearance fees!

All orders placed from within the EU have the local rate of VAT added and paid within destination country; so no excess VAT will be charged upon arrival and we do not collect UK VAT. This also means that you are able to pay in local currency (or the currency of your choice) to a local bank account, as well as offering payment plans wherever applicable.

I don't see that anywhere but I don't want to go through another step and end up buying a jacket I don't want. The location on both is set to Spain and nowhere is shown any VAT free price in either store.

Clutch Cafe vs Mister Freedom store directly

Why would I buy from the UK when it's already 1330€ MF vs 2250€ CF before any taxes or import duties are shown or paid.

Doesn't seem like a good buy for now unless I'm missing something.

Brexit really f*cked things up for business...

 

[Mich486]

Clutch prices are higher than most other places taxes or not. I’m never going to buy anything from them again unless there is something I really want and that can’t be found anywhere else.

If what they say is true though, which seems plausible to me, the €2250 price would be inclusive of taxes and your Spanish VAT (and I would frankly hope so given that after knocking off taxes you still above MF retail price!)

 

[CatsCan]

This is equally possible. Only time will tell.

 

[bn1966]

Interesting times Gentlemen for commerce, I buy a lot of scooter parts from the EU as well as clothing. Thus far my clothing purchases have evaded import tax (which puts me off buying from the USA) but it would be easy to go over the threshold on the Vespa parts. It has been suggested in some cases if it’s a multiple item purchase that would put you over the threshold, you’d be better off breaking it down into more than one order, balanced against shipping costs.

 

[TMP]

OK. I'm thoroughly confused. If I buy used clothing from Europe and import it into the UK, does that attract VAT? Is there a threshold? I ask because I recently purchased a used jacket from Germany. Declared value was 70 Euros and it was shipped via DHL. I was not charged any duty or VAT. Should I have been?

 

[Harris HTM]

OK. I'm thoroughly confused. If I buy used clothing from Europe and import it into the UK, does that attract VAT? Is there a threshold? I ask because I recently purchased a used jacket from Germany. Declared value was 70 Euros and it was shipped via DHL. I was not charged any duty or VAT. Should I have been?

I have no idea what the agreement mentions about used products. For products bought from the US coming to the EU you have to pay VAT, handling costs and depending on the product also extra import duties for anything above a ridiculously low threshold (around 25e), no matter if the product is new or used. VAT and import duty is based on price of product plus shipping cost.

 

[Tom71]

OK. I'm thoroughly confused. If I buy used clothing from Europe and import it into the UK, does that attract VAT? Is there a threshold? I ask because I recently purchased a used jacket from Germany. Declared value was 70 Euros and it was shipped via DHL. I was not charged any duty or VAT. Should I have been?

If its a sale consumer to consumer, it should be VAT-free.

You are still liable to pay import duties, but subject to a minimum value (into the EU a value of the product plus shipping is duty-free up to EUR 150, but subject to different rules for certain products.).

 

[Marc mndt]

If its a sale consumer to consumer, it should be VAT-free.

But unfortunately it's not. I bought my ELMC Californian from private party (consumer) in the UK. He sent the jacket to me and declared a value of €50. I had to pay VAT over the value of €50 + handling fees.

 

[Harris HTM]

But unfortunately it's not. I bought my ELMC Californian from private party (consumer) in the UK. He sent the jacket to me and declared a value of €50. I had to pay VAT over the value of €50 + handling fees.

So it seems it's the same as the products from the US. No matter if it is bought used or new, you have to pay VAT and handling fees (and depending on the product also import fees) above a (really low) threshold.
It's good to know, I'll have to be careful next time I buy from the UK. I was eyeing a couple of Submariner wool sweaters from a couple of sellers but I think I'll postpone it.

 

[Edward]

So it seems it's the same as the products from the US. No matter if it is bought used or new, you have to pay VAT and handling fees (and depending on the product also import fees) above a (really low) threshold.
It's good to know, I'll have to be careful next time I buy from the UK. I was eyeing a couple of Submariner wool sweaters from a couple of sellers but I think I'll postpone it.

The UK is now officially a "third country" to the EU for all international commercial purposes, so will be treated like the US, Aus, China, Japan... et al for shipping and tax purposes.

 

[Tom71]

But unfortunately it's not. I bought my ELMC Californian from private party (consumer) in the UK. He sent the jacket to me and declared a value of €50. I had to pay VAT over the value of €50 + handling fees.

Wow! Thanks for the info. I must be wrong then.

I seriously thought all European countries would tax (only) all stages of the production/sales process (the “value-added” in each step) and not the pure revenue of a sale.
That is unlike e.g. the US, where the actual sale or service is taxed (hence the reference to a “Goods and Services Tax”).

Not the first time I get a tax issue wrong because I find it somewhat counter-intuitive.

 

[garzo]

I'm in Germany and was considering an Aero Leather purchase. Does anyone know what I might have to pay in import duties on a €600-€700 price? Kicking myself for not getting the jacket last year ...

 

[Harris HTM]

I'm in Germany and was considering an Aero Leather purchase. Does anyone know what I might have to pay in import duties on a €600-€700 price? Kicking myself for not getting the jacket last year ...

Maybe you should do it through a German stockist of Aero? At least then you'd know what the total price is.

 

[Marc mndt]

Maybe you should do it through a German stockist of Aero? At least then you'd know what the total price is.

German stockists charge about €1000 (pre-Brexit)

 

[TMP]

Try this: https://www.simplyduty.com/import-calculator/