Re: [AH] new tax issues for selling items to the UK

From Kenny Balys
Sent Thu, Mar 7th 2019, 17:56


Have a few friends from the continent who made large "panic buys" of
synths from the UK in the last weeks. The hunting has been good
apparently.

Here in Iceland (not EU) we pay import tax on all used items and this
extends to the cost of shipping as well. So if I were to buy something
from the UK at 900 pounds with shipping of 100 pounds, I would then
owe 25% on 1000.

The difference from what is suggested here is that the tax is entirely
my burden and not that of the seller. I can buy whatever I want, from
whomever, as long as I can pay the 25% when it gets here.

Norway and Suisse are also out of the EU.

If Iceland, Norway and Switzerland can all handle collecting VAT on small
packages, I don't see why the Royal Mail could not.

This must be a political thing. Fear mongering? Like do I have to go for an
interview with the High Commissioner before I send my friend in Blackpool a
delay pedal??? Should I wear a nice sweater?



On 07.03.19 17:44 , Boniforti Flavio wrote:
> Hi Peter. That's a potential annoyance, the one you quoted :-( That would
> mean that if I sell you an item which costs 100 GBP, me as a seller would
> need to pay the VAT on top of it?
>
> Also, regarding your *campaign" agains VAT on second-hand items: I actually
> do agree and I feel the same. Why on earth an item, which has been bought
> from a shop 10 years ago (with regular receipt and thus also having paid VAT)
> has to be taxed again and again if it crosses borders as USED item?
> Presumably there is a financial/economical explanation to this, maybe
> somebody on AH does have the knowledge to explain it to us?!
>
> F. https://soundcloud.com/bonnyfused
>
>
> Am Do., 7. März 2019 um 18:37 Uhr schrieb Peter Forrest <xxxxxxxx@xxxxx.xx.xx
>  <mailto:xxxxxxxx@xxxxx.xx.xx>>:
>
> I got confirmation today from the UK Treasury:  if/when Brexit happens anyone
> selling something valued under 135GBP to the UK will need to pay the VAT
> themselves!____
>
> QUOTE:____
>
> To avoid the need for parcel operators to have to collect small amounts of
> VAT on low value parcels from recipients, we have developed an online service
> to collect VAT direct from sellers outside the UK. The new service will
> ensure that parcels can flow into the UK after we leave the EU in the event
> of a no deal scenario, whilst protecting tax revenue. ____
>
> This is a change from the current rules, so it is important that we tell all
> individuals and businesses potentially affected, as soon as possible.
> UNQUOTE____
>
> __ __
>
> This is a huge change, and a very damaging one for anyone selling something
> like an effects pedal or a cheap synth to someone in the UK. ____
>
> But underlying it is something that I think we should all be campaigning
> against, worldwide: the idea that second-hand items going from one customs
> bloc to another should be liable to tax and duty.____
>
> Some countries (Australia, USA, for instance?) have reasonable limits below
> which nothing has to be paid.  But many (UK for instance) do not.____
>
> And anyway it seems totally anomalous that tax should be paid again and again
> on a used item after it has been paid once.____
>
> Peter Forrest____
>