Advertisement
If you have a new account but are having problems posting or verifying your account, please email us on hello@boards.ie for help. Thanks :)
Hello all! Please ensure that you are posting a new thread or question in the appropriate forum. The Feedback forum is overwhelmed with questions that are having to be moved elsewhere. If you need help to verify your account contact hello@boards.ie
Hi there,
There is an issue with role permissions that is being worked on at the moment.
If you are having trouble with access or permissions on regional forums please post here to get access: https://www.boards.ie/discussion/2058365403/you-do-not-have-permission-for-that#latest

VAT being charged for goods at border of NI

  • 04-12-2009 4:33pm
    #1
    Registered Users, Registered Users 2 Posts: 7,138 ✭✭✭


    Did i hear right on the radio today that Ireland were thinking of charging cross border shoppers VAT on goods they buy up North when they return from their shopping expedition?

    Surely that can never happen as NI is an EU state?


«1

Comments

  • Registered Users, Registered Users 2 Posts: 68,190 ✭✭✭✭seamus


    No, they can't. However customs can search vehicles for cigarettes and alcohol and apply the relevant duties because tobacco and alcohol above a certain amount are exempt from the free movement of goods.


  • Registered Users, Registered Users 2 Posts: 7,138 ✭✭✭snaps


    And what is the amount you can buy:D


  • Registered Users, Registered Users 2 Posts: 4,387 ✭✭✭EKRIUQ


    snaps wrote: »
    And what is the amount you can buy:D

    There are no limits on what you can buy and take with you when you travel between EU countries, as long as it is for personal use and not for resale. Taxes (VAT and excise duties) are included in the price you pay and no further payment of tax can be due in any other EU country.


  • Registered Users, Registered Users 2 Posts: 68,190 ✭✭✭✭seamus


    Far less than what a lot of people are buying:
    Goods|Maximum quantity allowed
    Cigarettes|800
    Cigarillos|400
    Cigars|200
    Smoking tobacco|1 kg
    Spirits (whiskey, vodka, gin, etc.)|10 litres
    Intermediate Products (e.g. sherry, port, etc., excluding sparkling wine)|20 litres
    Wine (only 60 litres of sparkling wine allowed)|90 litres
    Beer|110 litres

    Since most people people seem to do a "run" up North every 6 or 8 weeks, then most people probably won't fall foul of the cigarette or cigar numbers, but I can see a big problem with spirits and Beer - people buy large quantities in order to justify the trip.

    The limit is roughly 13 bottles of vodka and 9 crates of beer. Sounds like a lot, but many people do big runs like this for friends and family, in a van.

    Revenue/Customs have the power to stop, question and search you if they believe that you are carrying more than the permissible amounts.

    As EKRIUQ points out though, if you can satisfy customs that these are for your personal use and not for resale or supply, no duty is payable.


  • Registered Users, Registered Users 2 Posts: 7,138 ✭✭✭snaps


    Ok, I'm sure i heard on a news bulletin today that was 1 option the government were looking into to try and regain some revenue that's heading north?


  • Advertisement
  • Registered Users, Registered Users 2 Posts: 7,138 ✭✭✭snaps


    Well i for one buy a lot more beer and spirits than that allowance when i go up! But i suppose that's per person so if there is 2 of you in a car you can double that figure!


  • Registered Users, Registered Users 2 Posts: 68,190 ✭✭✭✭seamus


    I doubt the tax take would be very significant - the amount of tax actually leaving the country isn't that significant in the grand scheme of things. I think they estimated that about 150m tax revenue is being lost to shops up north, however only a small amount of that would be due from retailers doing their shopping, the rest is Joe Soaps doing nothing wrong, so no duty is otherwise payable.

    However, what they can do is make the situation unbearable and routinely stop and question vehicles coming into the south such that it will take you hours to get through the revenue checkpoints and people will be discouraged to make the trip.


  • Registered Users, Registered Users 2 Posts: 7,786 ✭✭✭slimjimmc


    snaps wrote: »
    Well i for one buy a lot more beer and spirits than that allowance when i go up! But i suppose that's per person so if there is 2 of you in a car you can double that figure!

    You may still be ok. The allowances quoted above are not a limit, they're only the maximum a single person can bring in without attracting interest from Customs. You can bring in more than the allowance so long as you can demonstrate it's for personal use only.

    OP, VAT can only be charged on intra-EU imports if VAT was not already paid in the country of origin. If you buy a TV in Belfast VAT-free then you would be liable for Irish VAT at point of entry. If you buy same TV incl. UK VAT then you can't be charged Irish VAT on entry.


  • Closed Accounts Posts: 921 ✭✭✭mehmeh12


    slimjimmc wrote: »
    You may still be ok. The allowances quoted above are not a limit, they're only the maximum a single person can bring in without attracting interest from Customs. You can bring in more than the allowance so long as you can demonstrate it's for personal use only.

    OP, VAT can only be charged on intra-EU imports if VAT was not already paid in the country of origin. If you buy a TV in Belfast VAT-free then you would be liable for Irish VAT at point of entry. If you buy same TV incl. UK VAT then you can't be charged Irish VAT on entry.

    When you buy things online say from amazon uk that are to be sent to dublin, what vat rate are you paying, irish or british?


  • Registered Users, Registered Users 2 Posts: 7,786 ✭✭✭slimjimmc


    mehmeh12 wrote: »
    When you buy things online say from amazon uk that are to be sent to dublin, what vat rate are you paying, irish or british?

    That would come under distance selling rules. Basically if Amazon sell less than €100k into Ireland each year, they can choose to charge either UK VAT or Irish VAT. If they sell more than €100k they must charge Irish VAT. If Ireland can show market distortion from the €100k limit it can reduce it to €35k.

    http://en.wikipedia.org/wiki/European_Union_Value_Added_Tax#Distance_sales

    With Amazon I'd expect you're paying Irish VAT


  • Advertisement
  • Registered Users, Registered Users 2 Posts: 3,536 ✭✭✭JohnC.


    With Amazon UK you are definitely paying the Irish VAT rate. It changes after you have logged into your account during the ordering process if you have an Irish address.


  • Closed Accounts Posts: 4,038 ✭✭✭penexpers


    slimjimmc wrote: »
    With Amazon I'd expect you're paying Irish VAT

    Correct it is Irish VAT and has been for a long time.


  • Closed Accounts Posts: 1,956 ✭✭✭consultech


    seamus wrote: »
    However, what they can do is make the situation unbearable and routinely stop and question vehicles coming into the south such that it will take you hours to get through the revenue checkpoints and people will be discouraged to make the trip.

    Let's hope so anyway. Our economy is on it's fuckin knees, partly in thanks to the sheer irresponsible greed being shown by the border-hoppers, all for the sake of a few hundred quid a year.


  • Registered Users, Registered Users 2 Posts: 27,351 ✭✭✭✭super_furry


    consultech wrote: »
    Let's hope so anyway. Our economy is on it's fuckin knees, partly in thanks to the sheer irresponsible greed being shown by the border-hoppers, all for the sake of a few hundred quid a year.

    Indeed. It's your patriotic duty to be ripped off!


  • Registered Users, Registered Users 2 Posts: 515 ✭✭✭Supraman


    consultech wrote: »
    Let's hope so anyway. Our economy is on it's fuckin knees, partly in thanks to the sheer irresponsible greed being shown by the border-hoppers, all for the sake of a few hundred quid a year.
    Border hoppers : Are you ignorant ?

    I'm living in Cork so I have not justified a trip to the north for shopping. However if I lived within an hour to 90 mins of the border I'd be up there on a very regular basis. People are struggling to make ends meet, can barely afford to buy nappies for their children or put food in their mouths.

    Between banks and the govt, the country has had it's pockets emptied. I for one will spending every penny I have as shrewdly as possible

    You've an awful cheek in my opinion describing people like you have. Many folks have creamed it here for years, the customer was consistently ripped off. Now that people are strugging of course cash is king and they will follow the source of the best deal possible.


  • Closed Accounts Posts: 1,956 ✭✭✭consultech


    Edit; not bothered, wrong forum.


  • Registered Users, Registered Users 2 Posts: 515 ✭✭✭Supraman


    consultech wrote: »
    Hi all,



    I recently availed of AE's (www.ae.com) Thanksgiving Day offer of 25% off my full order, which I used in conjunction with their regular on-site discount offers of "buy one, get 50% off" etc. I ordered 10 items, all of which were marked as "in stock" when I was placing my order.



    I attempted to pay for the order with my credit card, but it was declined, so I topped up a 3v card and made the order that way. They have "pre-authorized" (as they put it) the full $ amount for the 10 items.



    I received an email 3 days later telling me that part of my order had shipped. I later received an email telling me that there was 4 items that were not in stock. Another email arrived yesterday inviting me to order them now they are in stock again, at full price, and incurring a further $50 flat shipping fee. I called them for 15 minutes tonight outraged at this, to hear their claims that they are only holding the full amount, but that they will refund the difference for the items that were not delivered once the order ships. The order shipped 3 days ago, and I've heard nothing.



    I don't think it's any coincidence that it's the 4 items that were subject to the greatest discounts that were "not in stock", despite me originally being told they were. They've essentially cut all the value out of the order by cancelling all the items I received a discount on, and want me to pay full whack+shipping to re-order them.





    What are my options here? They are an American-based company so I don't know what channels to go through to register a consumer-law based grievance.



    Any help very much appreciated.


    Your a gas man on about border hoppers. Last time I checked the American based company you've mentioned are probably still based in America and not Ireland the wonderful land where you love to spend every cent you earn of your salary. Or is it just a small bit you spend elsewhere to save a few quid . Either way try look relevant next time you decide to rant.


  • Closed Accounts Posts: 1,956 ✭✭✭consultech


    Supraman wrote: »
    Your a gas man on about border hoppers. Last time I checked the American based company you've mentioned are probably still based in America and not Ireland the wonderful land where you love to spend every cent you earn of your salary. Or is it just a small bit you spend elsewhere to save a few quid . Either way try look relevant next time you decide to rant.

    Customs, VAT.


  • Registered Users, Registered Users 2 Posts: 515 ✭✭✭Supraman


    consultech wrote: »
    Customs, VAT.
    Care to elaborate ?


  • Closed Accounts Posts: 1,956 ✭✭✭consultech


    consultech wrote: »
    Customs, VAT.

    ... and there's a difference between spending a few quid on clothes you happen to like and can't get over here, and spending your entire fuckin salary up North every 3-4 weeks.


  • Advertisement
  • Closed Accounts Posts: 1,956 ✭✭✭consultech


    Supraman wrote: »
    Care to elaborate ?

    If you don't know what customs and VAT are, and how they pertain to the point you're trying to make; then no, I don't really care to. Off to bed instead (I bought it here in Dublin btw).


  • Registered Users, Registered Users 2 Posts: 515 ✭✭✭Supraman


    consultech wrote: »
    ... and there's a difference between spending a few quid on clothes you happen to like and can't get over here, and spending your entire fuckin salary up North every 3-4 weeks.
    I just wouldnt go insulting the people who because of their situation. If it's so wrong you should abide completely by your own principles.

    You're in the same boat yourself sending money out of the country , also out of the E.U by the way which means your money is doing absolutely nothing to "help us". Just because it's spending to a lesser degree means nothing. Principle is your doing the same as those you castigate.

    Nothing personal against you as I'm prone to heading to the states myself and have been in New York 6 of the previous 7 years so I know where your coming from on the retail side of things.
    consultech wrote: »
    If you don't know what customs and VAT are, and how they pertain to the point you're trying to make; then no, I don't really care to. Off to bed instead (I bought it here in Dublin btw).

    Ah yes. Enjoy your sleep. I do know what vat and customs are. I wanted you to elaborate on why those were mentioned as reasons for buying in the states.


  • Closed Accounts Posts: 1,956 ✭✭✭consultech


    Supraman wrote: »
    I just wouldnt go insulting the people who because of their situation. If it's so wrong you should abide completely by your own principles.

    You're in the same boat yourself sending money out of the country , also out of the E.U by the way which means your money is doing absolutely nothing to "help us". Just because it's spending to a lesser degree means nothing. Principle is your doing the same as those you castigate.

    Nothing personal against you as I'm prone to heading to the states myself and have been in New York 6 of the previous 7 years so I know where your coming from on the retail side of things.



    Ah yes. Enjoy your sleep. I do know what vat and customs are. I wanted you to elaborate on why those were mentioned as reasons for buying in the states.

    If I spend €300 with an American online retailer, I have to pay €100 to our government to bring those purchases into the country. If you spend €300 in Newry; how much are you contributing to our state coffers as a result?


  • Registered Users, Registered Users 2 Posts: 515 ✭✭✭Supraman


    consultech wrote: »
    If I spend €300 with an American online retailer, I have to pay €100 to our government to bring those purchases into the country. If you spend €300 in Newry; how much are you contributing to our state coffers as a result?
    I thought you were gone to sleep :)

    Awww you must have had the kettle on did you ?


    In response : Do you declare each item bought from America ? If so fair play and kudos to you.

    If you spend 300 euro in Dublin how much goes towards state coffers, Irish jobs etc.


  • Registered Users, Registered Users 2 Posts: 33,518 ✭✭✭✭dudara


    consultech wrote:
    Let's hope so anyway. Our economy is on it's ****in knees, partly in thanks to the sheer irresponsible greed being shown by the border-hoppers, all for the sake of a few hundred quid a year.

    I think that the cross-border shopping has to be one of the leasy influential factors on the Irish economy. Serious financial mismanagement at the highest levels has to be the main focus, not some poor family trying to save a few quid on nappies.


  • Registered Users, Registered Users 2 Posts: 13,272 ✭✭✭✭Paulw


    consultech wrote: »
    If you spend €300 in Newry; how much are you contributing to our state coffers as a result?

    We go to Newry from time to time. A lot of what we buy up there would be alcohol - Guinness, Carlsberg, etc. All of which is actually produced in Ireland, and shipped north. It's still stupidly cheaper to buy in in NI than in Dublin (for a product produced in Ireland).

    It's more the fault of the Govt that people are forced to go north to make savings. A lot of the savings are due to the difference in the VAT rate.

    People will do what they need to, to make the most of the little money they have, especially when so many have had pay cuts or unemployment in their family.


  • Closed Accounts Posts: 1,045 ✭✭✭Rev. Kitchen


    consultech wrote: »
    Let's hope so anyway. Our economy is on it's fuckin knees, partly in thanks to the sheer irresponsible greed being shown by the border-hoppers, all for the sake of a few hundred quid a year.


    No our economy is on its knees due to corporate greed from multinationals skipping out on Ireland for cheaper labour.

    Because we have a parish mentality when it comes to goverment and will elect the guy that builds a swimming pool in our local town rather than looking at the bigger picture and electing someone that can do his job.

    But people mainly skip over the border because of something in the industry called the "thick paddy tax" where shops add sometimes 40% onto the cost of goods sold in Ireland.

    It amazes me when shops add massive margins to good to rip us off then blame us for not buying it !!

    I dont think the goverment have any right to charge VAT at the border they made such a song and dance about being part of europe and voting yes to Lisbon treaty which enshrines the free movement of people and goods around europe. Last time i checked NI was in the EU.

    And anyway all those cars heading up north buy petrol in the South and we pay massive amounts of tax on that too. I wonder is that factored into to their losses ?


  • Closed Accounts Posts: 1,956 ✭✭✭consultech


    No our economy is on its knees due to corporate greed from multinationals skipping out on Ireland for cheaper labour.

    I originally said "partly in thanks" to cross-border shopping. Perhaps I should've worded my post: "Our economy is still on it's knees, partly in thanks...". Irrespective of what the most mitigating factors are for the state of our economy - whether that be poor financial management, corruption, or migration of multinational industry - you're an idiot if you think siphoning billions of Euro out of our economy is doing anything but perpetuating the problem.

    All I'm saying is: Tens of thousands of job losses in the retail sector (and others) in the last 18 months speak for themselves. Although not being the sole culprit; you can't ignore cross-border shopping as a huge catalyst in this.

    The bottom line is: This country needs to tighten it's belt, but no-one is willing to. The celtic tiger babies of this generation simply don't know how. Everyone wants to have their gourmet cake, and eat it too. Name one European country who, as a people, have met economic collapse head-on with bulk purchasing of luxury goods (that they don't need) outside of their borders, or demonstrations for higher pay in a time of economic collapse? "Pulling together and making sacrifices in the name of the greater economic good" is not a phrase in the vocab of today's Irish population. - It's a joke.

    And anyway all those cars heading up north buy petrol in the South and we pay massive amounts of tax on that too. I wonder is that factored into to their losses ?

    It was actually the following post that prompted me to even weigh in to this thread in the first place:
    seamus wrote: »
    many people do big runs like this for friends and family, in a van.

    It's like a double slap in the face, and basically the reason I would welcome enforceable per-person customs quotas. Don't be naive enough to think that - in this country of scorched-earth policy consumers - people aren't coining it out of re-selling northern goods in the south. I'll even give you a commercial example: If you've drank a bottle of beer, or ordered a shot in a nightclub in the last year; the bottle from which it came quite possibly had the remains of a mysterious ripped sticker on it's neck.
    dudara wrote: »
    ...not some poor family trying to save a few quid on nappies.

    Yeah but you know that's not what I'm talking about. Any customs checks have aboslutely no monetary implications for these groups, anyway.


  • Registered Users, Registered Users 2 Posts: 13,272 ✭✭✭✭Paulw


    consultech wrote: »
    All I'm saying is: Tens of thousands of job losses in the retail sector (and others) in the last 18 months speak for themselves. Although not being the sole culprit; you can't ignore cross-border shopping as a huge catalyst in this.

    Why are people doing it?

    Look at prices in the ROI. You can generally buy the exact same item for much cheaper in NI.

    Why?

    Not only is it to do with the VAT rate down here being higher, but it's also to do with the profit margin that Irish stores add. These tend to be higher than the same in NI.

    It's a free economy. For many years we were advised to shop around, but now that we do, we're being labelled as being unpatriotic.

    Don't blame the shopper, blame the shops.


  • Advertisement
  • Registered Users, Registered Users 2 Posts: 33,518 ✭✭✭✭dudara


    The government cannot charge V.A.T. on goods across the border from the North, IF V.A.T. has already been paid on those goods in N.I.

    A fundamental part of the E.U. is the concept of no double taxation.


  • Closed Accounts Posts: 1,956 ✭✭✭consultech


    dudara wrote: »
    The government cannot charge V.A.T. on goods across the border from the North, IF V.A.T. has already been paid on those goods in N.I.

    A fundamental part of the E.U. is the concept of no double taxation.

    Cheers - I'm aware of that, my last post contained a mis-type. I meant customs checks on their own.


  • Registered Users, Registered Users 2 Posts: 7,138 ✭✭✭snaps


    Im sure the difference in VAT rates north and south dont make much difference to the selling price of goods, its like been said, its the extra 40% mark up thats added by southern retailers.

    I for one have taken a massive pay cut this last 12 months, im lucky if im working 4 days a week at the moment, Any money i can save i will take, thus the northern shopping trips every 2 months or so.

    I actually think the amount of shoppers heading north is way more than being published. I live in Mayo (2hrs from Enniskillen) and everyone i work with has made at least 1 trip this year, Same with people i may drink with in the pub, theyve all made trips.

    People are gobsmacked when they arrive at tesco/Asda and they see the difference in price of goods compared to here.

    I brought lots of kiddies toys last month in tesco Enniskillen, The same toys in Tesco here were double the price.

    Also if people are slagging off cross border shoppers, If they have Sky tv, then all the subs are heading over to the UK including VAT which all stays in the UK exchequers hands. The only thing we get back from sky is jobs via installers and a customer center in Cork. I wonder how much the UK government makes out of VAT payments from Sky subscribers. Im sure that skys sales in Ireland is a lot more than 100k a year?


  • Closed Accounts Posts: 1,493 ✭✭✭mcaul


    As usual there's a lot of mis-information on a thread.

    1. Cross border shopping affects the state coffers by about €100m a year - not a gigantic amount.

    2. Cross border shopping affects retail jobs within 40 miles of the border

    3. Most compaints about "Irish" retailers overcharging are actually complaints about UK retailers who over charge in their Irish stores. Rarely are there comparisons made about shaws, arnotts, smyths, BT, Dunnes, Pennys, woodies etc. - Lets simply avoid the UK retailers and support REAL IRISH retailers.

    4. The average exchange rate over the past 2 weeks you will get for Euro / sterling paying by credit card / cash is 1.17. Yesterday someone in Ulster Bank was buying £350 sterling and she was quoted €403 - a rate of 1.15! - Not 1.10 as many wrongly believe.

    5. When you go north, you will believe the hype and purchase far more than you would have otherwise purchased down south.

    6. Don't make the error of comparing prices in sainsburys with Spar - check what local shops are charing in their specials. E.G. Don't think you saved €13 on a bottle of jameson @ £12 (€13.80) when Tesco are selling it on special at €17 whereas a local off licence may be €27.

    7. Remember if you are going north - fill up your tank BEFORE crossing the border or you will pay approx. 10% extra for Petrol & up to 25% extra for diesel!


  • Closed Accounts Posts: 1,956 ✭✭✭consultech


    mcaul wrote: »
    As usual there's a lot of mis-information on a thread.

    1. Cross border shopping affects the state coffers by about €100m a year - not a gigantic amount.

    Source?
    2. Cross border shopping affects retail jobs within 40 miles of the border

    Logic behind this point?
    3. Most compaints about "Irish" retailers overcharging are actually complaints about UK retailers who over charge in their Irish stores. Rarely are there comparisons made about shaws, arnotts, smyths, BT, Dunnes, Pennys, woodies etc. - Lets simply avoid the UK retailers and support REAL IRISH retailers.

    Agreed.
    5. When you go north, you will believe the hype and purchase far more than you would have otherwise purchased down south.

    Agreed - This is the lavish unnecessary spending I'm alluding to.


  • Registered Users, Registered Users 2 Posts: 7,138 ✭✭✭snaps


    mcaul wrote: »

    4. The average exchange rate over the past 2 weeks you will get for Euro / sterling paying by credit card / cash is 1.17. Yesterday someone in Ulster Bank was buying £350 sterling and she was quoted €403 - a rate of 1.15! - Not 1.10 as many wrongly believe.

    Just take euro up there and dont change your money here into sterling. DO NOT use credit card unless you really need to. Most supermarkets will give a superb exchnage rate when using euro.


  • Advertisement
  • Registered Users, Registered Users 2 Posts: 8,824 ✭✭✭ShooterSF


    Can I assume those against cross border shopping are anti-EU? As freedom of movement of goods is one of the cornerstones of the E.U...


  • Registered Users, Registered Users 2 Posts: 32,387 ✭✭✭✭rubadub


    Supraman wrote: »
    I'm living in Cork so I have not justified a trip to the north for shopping. However if I lived within an hour to 90 mins of the border I'd be up there on a very regular basis. People are struggling to make ends meet, can barely afford to buy nappies for their children or put food in their mouths.
    Yes, it is hard luck for people the further south they go. The missing money has to come from somewhere, like the income levy. So instead of similar people all paying roughly the same tax each year one must pay more, in effect sort of subsidising the other persons tax avoidance.
    Paulw wrote: »
    It's a free economy. For many years we were advised to shop around, but now that we do, we're being labelled as being unpatriotic.
    The politicians who advised to shop around obviously did not mean shop in other countries. It was advice to be aware that there are large differences in prices between shops (in this country). Anyone who thinks those politicians meant "go up north" is as stupid as those utter fools who thought tescos "change for good" slogan meant they would never increase prices ever again.
    mcaul wrote: »
    1. Cross border shopping affects the state coffers by about €100m a year - not a gigantic amount.
    Dunno how they can get these figures, is this only in regards do Northern Ireland? I would have thought it would be more these days. I expect this figure does this include the likes of online sales from the UK other countries.
    mcaul wrote: »
    2. Cross border shopping affects retail jobs within 40 miles of the border
    This certainly ignores online sales and delivery services. There have been several delivery services in bargain alerts before, you could order from ASDA and get stuff delivered to a third party courier who brings it down for you (though some did just go to dublin).
    mcaul wrote: »
    3. Most compaints about "Irish" retailers overcharging are actually complaints about UK retailers who over charge in their Irish stores. Rarely are there comparisons made about shaws, arnotts, smyths, BT, Dunnes, Pennys, woodies etc. - Lets simply avoid the UK retailers and support REAL IRISH retailers.
    You rarely see comparisons because they do not have dual pricing, or sites to be checked online. In fact in the case of Dunnes you DO see complaints, since they do have dual pricing. I have pointed out in numerous threads that the non-Irish retailers here would be crazy not to charge at what the market will bear -and that current market price is pretty much in line with other stores, the nationality of the store owner does not make a lot of difference to the items price IME. The lack of fair comparison just shows the blatant anti-british sentiments of a lot of these posters.

    mcaul wrote: »
    6. Don't make the error of comparing prices in sainsburys with Spar - check what local shops are charing in their specials. E.G. Don't think you saved €13 on a bottle of jameson @ £12 (€13.80) when Tesco are selling it on special at €17 whereas a local off licence may be €27.
    Very true, the most common "game" I see is people seeking out the most expensive shop here to exaggerate their savings. "I got cheap batteries in ASDA, in Weirs jewellers in dublin they costed 10 times as much". And do not even compare the same exact same product if not applicable -e.g. a lad in work buys whatever beer is on offer, there is ALWAYS €1 bottles on offer. He goes up north and gets staropramen, maybe 60cent per bottle, he never heard of nor tasted the stuff before, buys it solely since it is cheap. Then goes into an offie and it is €2.60 here so reckons he saved €2 per bottle! completely ignoring the fact he would never have dreamt of paying over €1 per bottle here.


  • Closed Accounts Posts: 1,956 ✭✭✭consultech


    rubadub wrote: »
    The politicians who advised to shop around obviously did not mean shop in other countries. It was advice be aware that there are large differences in prices between shops (in this country). Anyone who thinks those politicians meant "go up north" is as stupid as those utter fools who thought tescos "change for good" slogan meant they would never increase prices ever again.

    +1

    I'm sick of hearing people cling to that stupid quote, like it justifies everything they're doing. You can make anything mean anything if quoted out of context.


  • Registered Users, Registered Users 2 Posts: 5,085 ✭✭✭Pacing Mule


    But people mainly skip over the border because of something in the industry called the "thick paddy tax" where shops add sometimes 40% onto the cost of goods sold in Ireland.

    It amazes me when shops add massive margins to good to rip us off then blame us for not buying it !!
    Paulw wrote: »
    Why are people doing it?

    Look at prices in the ROI. You can generally buy the exact same item for much cheaper in NI.

    Why?

    Not only is it to do with the VAT rate down here being higher, but it's also to do with the profit margin that Irish stores add. These tend to be higher than the same in NI.

    It's a free economy. For many years we were advised to shop around, but now that we do, we're being labelled as being unpatriotic.

    Don't blame the shopper, blame the shops.

    In the vast majority if cases there is a higher margin added on because the cost of doing business here is higher. A higher margin on goods does not neccessarily translate into a higher profit margin and this is easily confused.



    There are a lot of factors here but to name a few ...
    • Wage rates in Ireland are a lot higher than the UK.
    • Property prices here although they have come down recently are enormous versus the UK. Bear in mind that the majority of retailers here are locked into leases / mortgages at the much higher rates.
    • Rent and wages are the biggest expenses any business occurs so not only does the retailer here operate with these higher costs every service provided by other local businesses and suppliers is also effected by the same. This means that most other expenses incurred are also significantly higher.
    All these factors make the cost of doing business here in Ireland higher than our immediate neighbours. The fact is that the wages and property prices which went up and up and up each year during the boom was adding to the base cost of doing business here which has to be reflected in the sale price of the goods and services. The simple reality is that most shops here would be operating at a loss if they price matched the north yet by not doing so are accused of ripping people off.

    I'm not saying that every retailler is in the same boat and there are no doubt retaillers charging to the market as such but it's a lot smaller a percentage than people think. Do you really think the vast majority of business owners here are stupid enough to try and make 40% extra profit on their rapidly shrinking sales in favour of lowering prices, and make less profit on a lot more sales leading to more profit in the long run ?


  • Closed Accounts Posts: 1,493 ✭✭✭mcaul


    Re Queries

    CSO figures gave purchases of goods by Southern residents in Northern Irealnd at about €460m. (June2008 - June 2009 published last week) Assuming part of this was non vatable food, part was alcohol etc etc, a fair guestimate of vat / duty lost to state is 20% of sales value

    Suppose we could add in the extra revenue they get from the duty & vat on the petrol & diesel used going up?:D - And then we cpould subtract the vat & duty they receive from the thousands of NI motorists who slip ove the border to fill up with diesel?

    The general concensus by Retail Excellence Ireland is that towns with 50km of the border are adversly hit whislt those further way don't suffer as much as time value starts playing a part for many people.

    Internet sales will always be around - I sell about 30% of my casino products into the UK & I'm sure UK guys are selling into Ireland. But its a level playing pitch as there's very little difference in Warehouse rents between UK & Ireland and larger retailers pay Irish Vat and items sent from outside EU pay Irish vat too.

    Also, whilst people say Internet is huge, its still only about 7% - 8% of retail spend - about the same as catalougue shopping was at its height.


    I've nothing against shopping in NI, but the rose tinted glasses many wear blind them to the fact that there's value down south in many retailers and that the real savings are quite small overall - and not really worth the hassle unless you merge it with a day out / other reason to travel. - From a weekend away point of view its a fabulous place particularly around the glens of Antrim - I would say this as the aul fella is from there and we still go up every couple of months! - But I stopped shopping on the trips as the hassle of it was not worth the paltry savings.


  • Advertisement
  • Closed Accounts Posts: 394 ✭✭Propellerhead


    consultech wrote: »
    Let's hope so anyway. Our economy is on it's fuckin knees, partly in thanks to the sheer irresponsible greed being shown by the border-hoppers, all for the sake of a few hundred quid a year.

    Our economy is on it's fuckin knees, partly in thanks to the sheer irresponsible greed being shown by the Government and shop-keepers in the Republic, all for the sake of a few hundred quid a year.[/QUOTE]

    Fixed that for ya!


  • Closed Accounts Posts: 394 ✭✭Propellerhead


    snaps wrote: »
    Im sure the difference in VAT rates north and south dont make much difference to the selling price of goods, its like been said, its the extra 40% mark up thats added by southern retailers.

    I for one have taken a massive pay cut this last 12 months, im lucky if im working 4 days a week at the moment, Any money i can save i will take, thus the northern shopping trips every 2 months or so.

    I actually think the amount of shoppers heading north is way more than being published. I live in Mayo (2hrs from Enniskillen) and everyone i work with has made at least 1 trip this year, Same with people i may drink with in the pub, theyve all made trips.

    People are gobsmacked when they arrive at tesco/Asda and they see the difference in price of goods compared to here.

    I brought lots of kiddies toys last month in tesco Enniskillen, The same toys in Tesco here were double the price.

    Also if people are slagging off cross border shoppers, If they have Sky tv, then all the subs are heading over to the UK including VAT which all stays in the UK exchequers hands. The only thing we get back from sky is jobs via installers and a customer center in Cork. I wonder how much the UK government makes out of VAT payments from Sky subscribers. Im sure that skys sales in Ireland is a lot more than 100k a year?

    You don't need a sub (other than the television licence) to watch the four Irish channels off air, or the whole suite of BBC/ITV/C4 channels plus Five free to air. Bin your Sky sub and watch matches down the pub. Screw paying anyone anything unnecessarily.


  • Closed Accounts Posts: 394 ✭✭Propellerhead


    ShooterSF wrote: »
    Can I assume those against cross border shopping are anti-EU? As freedom of movement of goods is one of the cornerstones of the E.U...

    No, they want a population that has already been screwed by its employers and the government to take one for the team yet again. No thanks.


  • Closed Accounts Posts: 394 ✭✭Propellerhead


    snaps wrote: »
    Just take euro up there and dont change your money here into sterling. DO NOT use credit card unless you really need to. Most supermarkets will give a superb exchnage rate when using euro.

    Use your Debit Card where possible or take cash out from your current account through an ATM, unless the retailer is giving extra discount for using euro cash.


  • Closed Accounts Posts: 1,493 ✭✭✭mcaul


    Our economy is on it's fuckin knees, partly in thanks to the sheer irresponsible greed being shown by the Government and shop-keepers in the Republic, all for the sake of a few hundred quid a year.



    How about the landlords who increased rent from €145,000 to €381,000, or the councils who increased commercial rates & water charges by an average of 60% over the past 5 years?

    I wonder why the retail sector was the second highest numebr of business failures last year? - Surely if they were making a fortune they would not be closing down left right & centre????

    Bankers (worldwide) who provided way over the odds for the purchase of land & buildings throughout the world are 90% to blame for the crisis economies are in.


  • Closed Accounts Posts: 20,373 ✭✭✭✭foggy_lad


    seamus wrote: »
    Far less than what a lot of people are buying:
    Goods|Maximum quantity allowed
    Cigarettes|800
    Cigarillos|400
    Cigars|200
    Smoking tobacco|1 kg
    Spirits (whiskey, vodka, gin, etc.)|10 litres
    Intermediate Products (e.g. sherry, port, etc., excluding sparkling wine)|20 litres
    Wine (only 60 litres of sparkling wine allowed)|90 litres
    Beer|110 litres

    Since most people people seem to do a "run" up North every 6 or 8 weeks, then most people probably won't fall foul of the cigarette or cigar numbers, but I can see a big problem with spirits and Beer - people buy large quantities in order to justify the trip.

    The limit is roughly 13 bottles of vodka and 9 crates of beer. Sounds like a lot, but many people do big runs like this for friends and family, in a van.

    Revenue/Customs have the power to stop, question and search you if they believe that you are carrying more than the permissible amounts.

    As EKRIUQ points out though, if you can satisfy customs that these are for your personal use and not for resale or supply, no duty is payable.
    they tried to limit quantities like this in the uk but were shot down by the eu and their own courts as long as cigs and booze are for personal use they can not limit the amounts!


  • Registered Users, Registered Users 2 Posts: 670 ✭✭✭tallaghtfornia


    We go to Newry from time to time. A lot of what we buy up there would be alcohol - Guinness, Carlsberg, etc. All of which is actually produced in Ireland, and shipped north. It's still stupidly cheaper to buy in in NI than in Dublin (for a product produced in Ireland).

    Your wrong there they are produced(Not brewed) in Northern Ireland by DIAGEO NI (IBC) The only beer (Cider)bottling plant (Bottling and Canning plant bar some very small producers) left in the republic is Bulmers in Clonmel.

    Some examples.

    Coors Light is canned or bottled in Holand by Heineken (version sold for the Irish market)

    Beamish (Widget can) is canned in the UK by Diageo UK in Runcorn.

    So the only canned/bottled beer that you buy in the ROI is either produced in the UK/NI or Foreign.

    I have said it before almost 70% of the food and Drinks that we consume in the Republic are produced abroad, if we took back our food and drink industries in this country there would be plenty of work for everyone.


  • Registered Users, Registered Users 2 Posts: 13,272 ✭✭✭✭Paulw


    No matter if you buy it in NI or Ireland, it's still brewed in Ireland (Carlsberg in Dundalk and Guinness in Dublin). Those are the brands I drink, and buy. My girlfriend's brother-in-law works for Diageo Dundalk, so I know well how/where it's produced.


  • Closed Accounts Posts: 6,067 ✭✭✭tallaghtoutlaws


    Your wrong there they are produced(Not brewed) in Northern Ireland by DIAGEO NI (IBC) The only beer (Cider)bottling plant (Bottling and Canning plant bar some very small producers) left in the republic is Bulmers in Clonmel.

    Some examples.

    Coors Light is canned or bottled in Holand by Heineken (version sold for the Irish market)

    Beamish (Widget can) is canned in the UK by Diageo UK in Runcorn.

    So the only canned/bottled beer that you buy in the ROI is either produced in the UK/NI or Foreign.

    I have said it before almost 70% of the food and Drinks that we consume in the Republic are produced abroad, if we took back our food and drink industries in this country there would be plenty of work for everyone.

    Guinness is still brewed in St James Gate.


  • Site Banned Posts: 5,904 ✭✭✭parsi


    foggy_lad wrote: »
    they tried to limit quantities like this in the uk but were shot down by the eu and their own courts as long as cigs and booze are for personal use they can not limit the amounts!

    They're still doing it in certain cases where they believe the quantities are excessive and they take the attitude of "impound now, sort-out later".
    This is a year old but indicative:

    http://www.thisisdevon.co.uk/news/MEPs-block-loosening-booze-cruise-rules/article-487890-detail/article.html


  • Advertisement
Advertisement