VAT and overseas goods sold directly to customers in the UK

Hello, According to the overseas seller rule for selling directly to the UK, if the goods sold value is less than 135 GBP and are sold to individuals, the seller must collect and pay VAT to HMRC. If a company based in Lithuania sells goods directly to the UK from LT with a value of less than 135 GBP, Is there a way to shift this responsibility to the buyer? If the company does not collect VAT (For goods below 135 GBP and sold to an individual) in such case but the buyer has to pay once it receives goods through customs, would there be consequences for the seller?

Hi,

If a business directly sells overseas goods to an individual in the UK and those goods have a consignment value of £135 or less, then it is the overseas sellers responsibility to apply for UK VAT registration and account for the VAT on the supply.You can see guidance here:

VAT and overseas goods sold directly to customers in the UK

Thank you.

Hello, Just to clarify - if the e-commerce business, webstore from the EU member state, sells goods directly to the UK customers (B2C) and the goods have a consignment value of £ 135 or less, and the goods are located in the EU at the moment of sale, and after the sale the goods are shipped to the UK, and if overseas Seller did not collect VAT at the point of sale – is the buyer (individual in the UK) obliged to pay VAT if he still wants to receive those goods?

Hi Mantas,
The overseas seller in this situation is responsible for charging the VAT to the customer and essentially does not have an option to not charge the VAT.
The overseas seller should be accounting for the VAT and if they are not then we would recommend contacting them to find out why this is not the case.
Please see below
VAT and overseas goods sold directly to customers in the UK
Thank you.