Changes to VAT handling on imports

[Easy-X]

Given that we probably all from time to time get a cheap [knock off] part from China China I'm wondering what all this means:

https://www.gov.uk/government/publications/changes-to-vat-treatment-of-overseas-goods-sold-to-customers-from-1-january-2021/changes-to-vat-treatment-of-overseas-goods-sold-to-customers-from-1-january-2021

[Nobby the Bastard]

Not a lot for stuff from china.

It just means that everything from europe will have to make the same declarations that stuff from the rest of the world has to currently.
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trevor saxe-coburg-gotha:"Remember this simple rule - scooters are for men who like to feel the breeze on their huge, flapping cunt lips."
Sprint ST 1050

[doggone]

I wonder how they hit on that £135 figure.
The key difference is the seller is now supposed to deal with VAT which might be due on import. So far as I know it was generally charged to the customer by the courier well a couple of times I bought a n item under £100 from USA and they wouldn't deliver it until customs charge including VAT was paid (by me).
While big importers will deal with that easy enough small sellers will more like just say sod that.
It probably won't stop cheap Chinese items on (e.g.) ebay.

[Easy-X]

I can see there's a lot in there about "Online Market Places" (OMP) like eBay and Amazon. They're operating on UK soil in a legal sense (if not physically) so it makes sense to dump the VAT collection responsibility on them. Aliexpress, GearBest, et al are all big enough to take such things in their stride, if they so desire.

The way I'm reading it is if you want to sell to UK punters you have to be VAT registered regardless of where the business is located in the world. Good luck policing that!

The £15 exemption disappearing doesn't sound good either.
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Husqvarna Vitpilen 401, Yamaha XSR700, Honda Rebel, Yamaha DT175, Suzuki SV650 (loan) Fazer 600, Keeway Superlight 125, 50cc turd scooter

[stinkwheel]

I read that as them clamping down on the person selling the exact same Chinese shite as everyone else but "**UK Seller!!1!**". I'm guessing those guys probably aren't VAT registered?

I get a lot of Enfield parts that way. As far as I can make out, the apocryphal Indian parts supplier has effectively stocked a branch of his warehouse in his second cousins spare room in a housing estate in Walsall for quick dispatch and savings on postage. I'm guessing they don't pay VAT either.
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“Rule one: Always stick around for one more drink. That's when things happen. That's when you find out everything you want to know.”
I did the 2010 Round Britain Rally on my 350 Bullet. 89 landmarks, 3 months, 9,500 miles.

[Nobby the Bastard]

You dont need to be vat registered if your turnover is less than 80k a year.

What's the profit margin on stuff from China? If its half the end price you can get a reasonable living staying below that.
____________________
trevor saxe-coburg-gotha:"Remember this simple rule - scooters are for men who like to feel the breeze on their huge, flapping cunt lips."
Sprint ST 1050

[barrkel]

[Easy-X]

Interesting, although it came over a bit Remoaner

BTW, the £70 grand threshold for sales also goes out the window on Jan 21st, yearly turnover will be irrelevant.

Let's take this scenario...

Direct Sales Company X in China China registers for VAT to export stuff to UK punters; paperwork done, all i's dotted all t's crossed.

Company X sells all its stock and "collects" the VAT.

Company X shuts up shop and without paying the VAT man a bean. Now what?

If Company X is deemed to be withholding VAT payments what happens to products in transit? The UK punter paid Company X the VAT in good faith.

It all seems a bit thin on details
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Husqvarna Vitpilen 401, Yamaha XSR700, Honda Rebel, Yamaha DT175, Suzuki SV650 (loan) Fazer 600, Keeway Superlight 125, 50cc turd scooter

[Easy-X]

Also, the "final mile" carriers had a nice little tickle going on with "admin fees" when import duties were applied. We should be seeing a volcanic eruption of toys being thrown out of prams at the Royal Snail, Parcel Farce, Fed Ex, etc.
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Husqvarna Vitpilen 401, Yamaha XSR700, Honda Rebel, Yamaha DT175, Suzuki SV650 (loan) Fazer 600, Keeway Superlight 125, 50cc turd scooter

[Jmoan]

[stinkwheel]

[stinkwheel]

The other thing is we managed to deal with this shit perfectly well before the single market came into being in 1993 and technology has come on some since then. Each EU country had its own currency, duty rules and VAT regimes back then.
____________________
“Rule one: Always stick around for one more drink. That's when things happen. That's when you find out everything you want to know.”
I did the 2010 Round Britain Rally on my 350 Bullet. 89 landmarks, 3 months, 9,500 miles.