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Author Topic: Importing from the EU  (Read 1133 times)

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Rog

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Importing from the EU
« on: May 13, 2020, 02:35:40 PM »

Buying stuff from EU will soon attract VAT and (maybe) duty when it crosses the UK border and I probably need to get an EORI number, which isn’t difficult. However,  I’m trying to find out if the VAT charged in (say) Italy is reclaimable or avoided, otherwise I’m going to be paying two lots of VAT (ouch).
If I am VAT registered here I can reclaim VAT on purchases and effectively pass the UK VAT onto the customer. But I don’t really want to be VAT registered .... although I suppose I could go that route if that’s what it takes.
Anyone know the answer?
....if I export to non EU countries the goods are zero rated for VAT...so perhaps the same rule applies in the other direction..
« Last Edit: May 13, 2020, 02:51:32 PM by RogerT »
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Theo

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Re: Importing from the EU
« Reply #1 on: May 13, 2020, 02:54:07 PM »

You already pay Italian VAT if you buy from Italy. If you are buying from outside the EU then suppliers in Italy can sell tu you VAT free, so if the UK is outside the EU you would only pay UK VAT at the point of import.   The answers to the rest of the questions all depend on what Boris and his chums agree with the EU.
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Rog

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Re: Importing from the EU
« Reply #2 on: May 13, 2020, 03:08:04 PM »

Thanks..yes I was just looking at how it works from this direction and was concluding (hopefully) that goods would be zero rated, which takes out the sting a bit.

Peadar

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Re: Importing from the EU
« Reply #3 on: May 13, 2020, 09:58:37 PM »

Buying stuff from EU will soon attract VAT and (maybe) duty when it crosses the UK border -

....if I export to non EU countries the goods are zero rated for VAT...so perhaps the same rule applies in the other direction..

Buying stuff from the EU already attracts VAT if the seller is VAT registered, but unil we leave the customs union there is no question of import duty.

No VAT on exports outside Europe - but the importer at the other end will be liable for whatever his national excise duty is.
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Chris Ryall

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Re: Importing from the EU
« Reply #4 on: May 14, 2020, 01:35:25 PM »

I did inquire 1991, en route to Recanati. It was SO complicated with a different rate for every instrument. Think they quoted me 7% for my Mori. Drums were 15%!
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Corinto

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Re: Importing from the EU
« Reply #5 on: May 14, 2020, 04:01:38 PM »

Another, but related, problem, may occur when a EU citizen sends a box to a UK fettler for an overhaul or whatever needed, and then it comes back from the UK to EU ... I guess there may be lots of paperwork in order to avoid VAT and Taxes once and again ... any idea how this will work?
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pete /acorn

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Re: Importing from the EU
« Reply #6 on: May 14, 2020, 05:22:19 PM »

At the moment if you are VAT registered there is no VAT if you are buying from a EU company that is VAT registered.
When we are out of the EU Vat will have to be paid on import.
If you have filled in the correct forms and got the correct registrations then the packager will be shipped without hold up and the VAT will be charged at the end of the month however if you haven't it will be held till the VAT is paid.

At the moment,with myself,I charge VAT on the total sale price of new instruments and have to pay that to HMRC at the end of the relevant 3 month period and because I have not had anything to off set which is great when you carry stock however from January I will need to have 20% more loose cash to pay the VAT on import which will be reclaimable.
I hope that you can understand that lot.
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Winston Smith

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Re: Importing from the EU
« Reply #7 on: May 14, 2020, 11:07:26 PM »

Perfectly understandable, Pete.

When VAT first came out, I well remember having an invoice returned for not having VAT on it. I hadn't registered because my turnover wasn't enough to have to. I soon changed my tune, being registered from then until I closed up in 2007. I always found the tax to be quite simple to understand, although I certainly didn't like it!.
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Chris Ryall

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Re: Importing from the EU
« Reply #8 on: May 15, 2020, 02:20:28 PM »

Another, but related, problem, may occur when a EU citizen sends a box to a UK fettler for an overhaul or whatever needed, and then it comes back from the UK to EU ... I guess there may be lots of paperwork in order to avoid VAT and Taxes once and again ... any idea how this will work?

No. “Everything will be the same once we are out, they will clamour for a trade deal, but we will be in control”

(I merely quote what was said in 2016) 🙂
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