Import Tax, VAT on internet goods

nah_biy!

As regards purchases off t'internet whats the tax situation. Forget about tshirts and that kind of gear, I'm looking to spend ~€2000 on a laptop (most likely a Sager from their American site or xoticpc.com etc.). My mate was saying in Sweden, where he lives, they dont have to pay import tax on goods bought within the EU, is it the same here with all this single economy stuff? As regards purchases outside the EU, say for example the States, are the goods subject to 21% VAT and is if so is it 21% on the Irish price or the American price? Cheers in advance commerce students!

AlmightyCushion

Goods within the EU are fine outside of that though there is an import duty or something on it. This can be quite expensive. It may be cheaper to fly there, buy the laptop and fly back.

Overheal

Yeah I wouldn't go for it really.

[aside]its actually sounds sickening; like theyre trying to kill off US exports or something.. [/aside]

conzy

I got charged 33 euro on a 120 euro purchase from the States recently so its pretty damn expensive 28% or so

AlmightyCushion

I thought there was a limit before there was anything added on. Around a few hundred or something like that. If you stayed under it you weren't charged any extra.

Voodu Child

You pay standard VAT at 21%, and on top of that, a small customs fee (if applicable) depending on the product type. Its around 3% for some items i've imported, but I don't know about laptops. On top of that, you may be charged a clearance fee by An Post. You should certainly allow for at least 25% of the item cost anyhow, it may be slightly +/-

If it's coming through the postal system, the original mailer (ie Sager) are obliged by US/International law to attach a declaration form to the parcel.

The customs department calculate the fees based on this form, so you pay based on what you paid and not the equivalent irish value.

Also note that you pay VAT on the postage as well, so you need to use the total cost (cost + postage) in your calculations.

On a related note, check out novatech in the UK, they are a Sager/Clevo re-seller and their prices can be good. A lot less hassle buying from the UK if possible.

kaizersoze

From the DHL website:

Shipments sent from outside the EU may be liable for Customs Duty, Excise Duty and VAT, which DHL is obliged to collect on behalf of the Revenue Commissioners.

Goods are liable to VAT at the same rate as applies to the sale within the State of similar goods - usually 21%.

VAT is calculated on the total of 1) value of the goods for customs purposes, 2) the amount of any other duty or tax applicable, 3) any transport, handling and insurance costs between the place of introduction into the EU and the final destination within the State.

Gifts from one private individual to another up to the value of €45 and commercial shipments up to €23 are usually exempt from VAT & Duty. In all cases if the shipment is a gift then the accompanying proforma invoice should clearly state 'Gift' along with the usual details.

For one off shipments where the value of the goods is less than €250 and the Import Duty due is less than €10 then an exemption from VAT and Duty may also be granted to customers who are VAT registered.

Note that these exemptions do not apply to gifts of alcohol, tobacco or perfume where standard charges apply, even when they are received from another EU country.

Around 25%+/- is about right as voodoo_child said.

Capt'n Midnight

Overheal wrote: »

Yeah I wouldn't go for it really.

[aside]its actually sounds sickening; like theyre trying to kill off US exports or something.. [/aside]

there is a long standing trade war between the US and the EU , they want to sell us GMO and cattle grown on homones and toxic waste, stuff like that

the difference in pricing is usually down to the manufacturer , don't forget if you buy it up north you save 4% on the VAT

seriously they are trying to kill off tax evasion, and if caught it's customs who decide what something is worth.

check for an international warranty as returning it may be hassle too

Overheal

Somehow I think it goes way beyond modified foodstuffs, but yes.