What VAT would i have to pay? How would they know how much the items are worth, and would i have to pay VAT in the rate of the retail price, or the trade price?
What are other charges?
Thank You.
Quoting from [wykis-x]:
Hi. I was thinking about importing some goods from China or other country, in Asia for MP3 Players.
What VAT would i have to pay? How would they know how much the items are worth, and would i have to pay VAT in the rate of the retail price, or the trade price?
What are other charges?
Thank You.
Hi,
When you import the goods, your freight forwarder will contact your supplier for all the necessary documentation. Your suppllier should send you an invoice for the total amount of goods. This you will need to get a copy to your forwarder. When the goods arrive in the UK, you will be liable to VAT at the prevailing rate for your goods, in this case I would imagine it is 17.5%. This is based on your buying prices (your supplier invoice). Duty will also have to be paid. If you get a tarrif number from your supplier, the forwarder will let you know what % of duty has to be paid.
You will also have to pay the forwarder for using his customs VAT account as you will not have one. This means they will pay the VAT for you but they charge you ( around £25.00) for using this facility.
Please do not fall into the trap others have done in the past. They ask the suplier to put down a much lesser amount on the invoice so you pay less VAT & Duty. Don't do it unless you like spending time in a 4 x 6 room all day.!!!
Hope this helps. Any further information, I will be only too glad to help.
Another tip : the MP3 market is full of scammers, do your research thoroughly before sending money. Good luck
Please do not fall into the trap others have done in the past. They ask the suplier to put down a much lesser amount on the invoice so you pay less VAT & Duty. Don't do it unless you like spending time in a 4 x 6 room all day.!!!
I didn't understand why less VAT&Duty could be something illegal.
And would i receive an invoice from seller by mail?
Can you explain the process please.
Thank You.
ie: you order $4000 of sample and only $2000 worth is in the box,you make claim with ups or whoever and they ask you value as stated on invoice,it says 300$,you fax the "proof" ups etc give you, to your supplier who then replaces your loss with $300 of items.
A legal scam and it happens a lot!!!!!
And uk customs and excise will also have some some questions later on because your
business books will not balance,so they will make a guesstimate how much taxes u owe,and this will be double any number u can think of.
You Will lose in all cases.
also import taxes/vat are paid on total cost inc shipping etc.not just the goods.
Hi, do you think there is a chance of baby clothing imported from Vietnam in the UK, how do i find partners, etc?
Concerning the customs, since the UK is an EU country, all customs tariffs are the same in each EU country, so it is max 8% for an MP3 player (possibly only 6,5%).
If you do not wish to pay the VAT, you can ask your forwarder to do the customs in an other EU country. This way you are charged with the VAT, but because the shipment will leave that country, it is also given back to you at the same time. So there is no cash movement at all, and you will get your shipment at a net cost. Of course you must charge the VAT on your clients subsequently when you sell them, and thereafter the VAT regulations in your country apply.
