An Post charging duty on secondhand clothing sent from UK

Unregistered39

Hi there, I have a feeling this is just a lesson learned case, but it's so frustrating! I received a note from An Post yesterday telling me I owed €30 VAT (inc. €3.50 An Post Fee) for a package my sister sent over to me. It's secondhand clothing that she's passing on to me. They told her in her post office that she had to put a value on it, so she put £90 (you've always had to do this, so she thought nothing of it). In all of the insanity of Brexit, having to pay duty on something like this seems just insane. I had a look on both the An Post and Revenue website and nowhere can I see anything that relates to a case like this (something I'd imagine is quite common with all the UK/Ireland ties). Anyone else had a similar experience and got it sorted?

Tow

Multiple threads on this. One of the the joys of Brexit.

Darc19

An post are not charging you. It is the revenue charging based on the declared value of the goods you are getting from a non EU country.

Also it is not duty that revenue have charged you, it is vat.

So there are three people to vent at

1. Boris Johnson for Brexit

2. Your sister for putting too high a value on it

3 The post office she went to that did not give good advice. - Personal gifts up to €45 incl delivery are free of vat

Unregistered39

https://www.boards.ie/discussion/comment/118030280#Comment_118030280

Yes, I appreciate all that. As I said, lesson learned. The value she put on it was accurate, if not underestimated, and she had no reason to believe she should lie on it. I agree her post office should have said something.

Jim_Hodge

https://www.boards.ie/discussion/comment/118030358#Comment_118030358

Not getting at you but if you appreciate all that then what do you want sorted? There is nothing to sort at thus stage.

looksee

Well I appreciate the point about the €45 including postage, I wasn't aware of it - and have relatives in the UK, though nowadays they are not likely to be sending second hand clothing! Anything that used be sent to and fro was marked 'nominal' or 'no value' if it was just clothing etc that we were sending to each other.

Unregistered39

https://www.boards.ie/discussion/comment/118030756#Comment_118030756

My query was related to the goods being secondhand, and therefore, in my eyes, not liable for anything aside from postage. I was wondering if anyone else had this specific issue, hence my post. And although they are secondhand, they do have a value of more than €45, which is why my sister in good faith put the sum of £90 on the postage. I could eventually get through to An Post and tell them to open the parcel and they could see it is not new clothing, but wouldn't fancy my chances of getting anywhere with them.

whiterebel

New or second hand VAT applies.

Unregistered39

https://www.boards.ie/discussion/comment/118030919#Comment_118030919

But I didn't buy them?

looksee

Its honestly a bit difficult to see how you would get to a total of £90 for secondhand clothing. No matter how good the condition it would have to be pretty special to be valued at that kind of money. If your sister paid £90 for it then your fees on top it is an expensive lesson; if it was her own clothing she was passing on then its only worth what someone is prepared to pay for it, mostly it goes to a charity shop so is worth nothing to the owner, so an estimate within the 45 would have been reasonable.

KildareP

https://www.boards.ie/discussion/comment/118031048#Comment_118031048

Doesn't matter.

Otherwise you could have your relative buy them brand new, take off the tags and pop them straight into the post over to you declaring them "second hand" despite having never worn them.

Jim_Hodge

https://www.boards.ie/discussion/comment/118030911#Comment_118030911

It doesn't matter if they're second hand. The sender stated a value and duty due. An Post aren't going to open the parcel and reduce the value - get real. Customs/Revenue drive all this, An Post are just collecting what's due on their behalf.

Unregistered39

https://www.boards.ie/discussion/comment/118031477#Comment_118031477

This was a genuine query around something I have encountered for the first time. Telling me to get real is pretty aggressive. I understand now what happened and why, I think it's ridiculous that lying is the only way to get around this, but there you have it.

TheChizler

https://www.boards.ie/discussion/comment/118031383#Comment_118031383

Is a legitimate question, VAT is normally charged on sale of goods or services. No sale occurred here so what's the justification for charging VAT when it's declared as a gift?

And yes I know that ultimately it's the rule and people would try to get around legitimate VAT otherwise, but in principle what's the justification?

Effects

https://www.boards.ie/discussion/comment/118031602#Comment_118031602

Lying is the only way to get around it, because the charges were due to be paid. Can you send the parcel back and have it resent with a low value on it?

You could just treat it as a learning experience, and get your relative to put a value of €10 on it next time.

gormdubhgorm

https://www.boards.ie/discussion/comment/118031118#Comment_118031118

https://www.boards.ie/discussion/comment/118031777#Comment_118031777

I looked it up there calling it a gift only avoids customs duty of 2.5% but not VAT???

https://www.revenue.ie/en/importing-vehicles-duty-free-allowances/gifts-and-consignments-of-low-value/what-rate-of-customs-duty-is-charged-on-gift-consignments.aspx

My brother sent of photos from the UK - and my mother had to pay VAT on it plus the an Post 3.50 euro admin. Brother was raging because it was dearer than the photos themselves!

Jim_Hodge

https://www.boards.ie/discussion/comment/118032356#Comment_118032356

Only on declared combined value of under €45. The damage is done here as the sender declared a higher value.

Jim_Hodge

https://www.boards.ie/discussion/comment/118032605#Comment_118032605

Apologies, I'm not seeing the full quoted pieces so e the "upgrade". The downside of posters citing other incidents in a thread.😔

TheRiverman

https://www.boards.ie/discussion/comment/118030280#Comment_118030280

Apart from Boris Johnson, I would go back as far the lunacy of David Cameron for calling the Brexit Referendum.

KildareP

https://www.boards.ie/discussion/comment/118031777#Comment_118031777

If you are bringing it into the EU, VAT applies at the point of entry. Normally this would be a wholesaler or distributor but in the case of a private individual it is you.

Gifts are exempt up to €45 value:

https://www.revenue.ie/en/importing-vehicles-duty-free-allowances/gifts-and-consignments-of-low-value/rules-for-duty-relief-on-gift-consignments.aspx

silver2020

https://www.boards.ie/discussion/comment/118031777#Comment_118031777

Within a country, VAT vat is charged at the sales point of goods or services.

When importing from a non-eu country, VAT (and duty where applicable) is charged at point of entry.

Same system operates in virtually all countries.

I would question the value that was put on the package. To ascertain a value of second hand goods is as simple as saying "how much would someone reasonably pay for these used item of clothing" rather than thinking "how much are these worth" and makign a guess based on what you originally paid. A reasonable answer would be no more than 20%-25% of the retail price. A customs label marked "Used clothing" and a value of £30 would probably have been seen as fine unless it was a huge box of clothing.

gormdubhgorm

https://www.boards.ie/discussion/comment/118032650#Comment_118032650

The guy is an opportunist con artist - all 'the project fear' stuff written about pre-Brexit has proven to be true.

https://www.youtube.com/watch?v=wzopehu1MLw

Now Boris claims the British people knew what they were voting for all along!

https://www.boards.ie/discussion/comment/118032695#Comment_118032695

Sound that's grand. Makes sense. Have been getting stuff on ebay from China for years. On the packages they ticked the box - 'gift' - to avoid customs charges.

L1011

Stuff marked "gift" can and is opened to look for receipts/invoices etc. It is far from guaranteed to work.

dxhound2005

VAT is charged on the value of the goods plus the postage/carriage paid. €26.50 VAT at 23% would refer to a value of around €115. £90 converted at the rate earlier this month would be around €105.

On high value items over €150 (not including postage), customs duty can also apply. In that case it is the value of the good plus the duty plus the postage/carriage, and then 23% VAT on that total. And a further fee for the delivery company.