Import Duty from the States

muz1957

Beano wrote: »

Not quite. Assuming the duty rate is 2.7% you will pay this on the full value including shipping. So it will be 900 + (900 X 0.027). You will then need to add 21% to THIS figure not the original figure. Basically you pay 21% vat on the customs duty as well. And not forgetting the customs handling fee imposed by the courier which will also have 21% VAT added to it.

hi i am looking into starting a small business i want to buy a soda blaster from usa the cost is $1850 plus $600 shipping reading post duty and extra charges could be up to 35 percent i was wondering do i pay vat and duty charges on the shipping also will i be billed before or after delivery for the duty and vat
many thanks maurice

dudara

Post moved to its own thread, rather than dragging up an old one.

Given that you will be importing for business reasons, I'm moving this thread to Entrepreneurial & Business Management

dudara

PCPhoto

you will either be billed on collection or you will be invoiced afterwards (depending on if customs decide to hold it or not)

chances are customs will hold it - until you pay them money.

(I had a similar issue a couple of years back - however - customs refused to accept a cheque and I didn't have a credit card... they only wanted cash or they wouldnt release it)

you dont pay VAT/Duty on the shipping - just on the declared value of the item..... however if they suspect it has been undervalued they will hold it.... strange how they wont do this if they think its been overvalued.

rubadub

PCPhoto wrote: »

you dont pay VAT/Duty on the shipping

Yes you do, not sure if it is both VAT & duty, but definitely one of them. I think they view shipping as a service you purchased. It also stops loophole of people putting massive handling & postage fees on invoices to mask the real value.

In practice they rarely include the shipping price when determining if the item is over the limit where it can be charged VAT/Duty, but once it is over in practice they do include the shipping & handling fees in the calculation.

So it makes sense to ask for the cheapest possible postage. In theory if you buy a pencil for €1 and get it couriered from the US for €22 you are liable.

An email I sent to confirm.

Posted To: Customs Reliefs
Conversation: Duty on mail order goods.
Subject: Duty on mail order goods.


*************************************

This e-mail has been received by the Revenue Internet e-mail service.

*************************************

Hello,
I was reading on revenue.ie which stated

"Consignments not exceeding a value of €22 may be imported from
outside the EC without payment of import charges."

Does this €22 include the price of the postage? i.e. I am looking to
get a DVD from the US, the DVD is only valued at $5 but express
delivery is $45, so would I be charged duty on this?

Thanks ***


REPLY

Good morning ***,

Please see the attached leaflets.

I can confirm the value for Customs purposes is the CIF price, Cost,
Insurance and Freight.

If there is anything further please get back to me.

Regards,

***


*** ****
Customs
Office of the Revenue Commissioners
Nenagh
Co. Tipperary

Mickk

muz1957 wrote: »

hi i am looking into starting a small business i want to buy a soda blaster from usa the cost is $1850 plus $600 shipping reading post duty and extra charges could be up to 35 percent i was wondering do i pay vat and duty charges on the shipping also will i be billed before or after delivery for the duty and vat
many thanks maurice

If I was you I would just get it in the uk, for a once off lcl shipping something so big and bulky will be alot (600 plus extra charges is a lot). If someone larger in the uk got in 10 of them in a 40 ft container they probably got them in for 200 each (shipping). Also if you are lucky they might have bought them when sterling was 2 to one to the dollar. Plus if you are not vat registered you will only have to pay 15% instead of 21.5%.

A double pallet from the uk can be got for around 100 sterling.