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Posted Mon, 13 Jun 2022 11:40:37 GMT by Keung C
Hi, I would like to ask if I buy goods (not excise goods and gift) worth less than £135 from overseas and already paid tax to that country when I purchased, then import those goods into UK by overseas shipping agency, should I need to pay VAT or delivery charge? Many thanks for advise.
Posted Mon, 13 Jun 2022 13:13:17 GMT by HMRC Admin 17
Hello ,

please refer to below Consignments valued at £135 or less .

The seller must charge and account for VAT at the point of sale, unless the consignment is a business to business sale and
the customer has given them their UK VAT registration number.

To charge and account for VAT the seller will need to:

know the precise nature of the goods to find out the correct rate of VAT to charge
register for VAT —

sellers that are already registered for VAT do not need to re-register

keep records of the goods sold, and make sure they get accurate information to apply the correct VAT treatment to them
For goods supplied into Northern Ireland from outside the UK and EU, low value consignment relief will no longer apply
and the seller will be liable to account for the VAT on the VAT return instead of at the border.

Business to business sales to UK VAT-registered customers
The seller will not need to charge and account for VAT if the customer gives them their VAT registration number.

The seller can confirm it’s correct using the online service.

The seller can add a note to the invoice (for example, by writing ‘reverse charge: customer to account for VAT to HMRC’)
then send it to the UK business customer.

The business customer will then be responsible for accounting for any VAT due on their VAT Return, if the goods are supplied in
Great Britain —using a ‘reverse charge’ procedure.

Where goods are supplied in Northern Ireland the business customer will be responsible for accounting for any VAT due.

They may account for it using postponed VAT accounting or any other means of paying import.

In both cases, the business customer will be able to recover the VAT as input tax on the same VAT Return under normal VAT recovery rules.

Sellers do not have to register for VAT if they only sell goods that are outside the UK at the point of sale to UK VAT-registered businesses.

Thank you.
Posted Mon, 13 Jun 2022 15:20:43 GMT by Customs oldtimer
Hi Keung C Imported goods with a value below £135 are admitted with an import duty exemption when the goods are declared for import . VAT is payable/ accountable on the whole value as HMRC have described above. It is irrelevant to HMRC whether or not you have paid any duty or taxes in another country. Delivery charges are a commercial matter between you , the seller and the shipping agency.

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