Import charges 2021

[mr.tali1985]

Hi there..

A straight forward question:

Items sold from EU to the UK now include import tax which is deducted by ebay at checkout. How does the authority know that the VAT was paid? Is it stated on the parcel? Does ebay provide custom invoice to seller to go with the parcel? How is this managed?

Anyone know would be great help.. Same for US to UK, etc.

[duncanvr]

I had countless UK buyers complaining that I was adding the 20% VAT. I told them its ebay adding it not me. As far as I know its because of a new BREXIT law from Jan 1st. Just how is it managed I believe the UK Government collects the taxes directly from big companies like ebay probably in a lump sum. Now I don't think the actual VAT is stated on parcels but they do generate a ebay paid code now days which shows the goods have paid the taxes. Worse is second hand collectables now get taxed which should not happen. But this is what buyers and sellers are going to have to get used to. Import VAT is on all overseas transactions not just EU to UK.

[slippinjimmy]

---

@mr.tali1985 wrote:

Hi there..

A straight forward question:

Items sold from EU to the UK now include import tax which is deducted by ebay at checkout. How does the authority know that the VAT was paid? Is it stated on the parcel? Does ebay provide custom invoice to seller to go with the parcel? How is this managed?

Anyone know would be great help.. Same for US to UK, etc.

---

I have not had a UK order so far this year.

I expect it is the same as Australia for which eBay have been collecting for a year. The address eBay supplies for these orders should have an extra line which is the eBay VAT registration number plus "Code: Paid"

Here is what eBay adds to AU addresses:

ABN#64652016681 Code:PAID

For the UK it should be the same (different number and VAT instead of ABN of course).

[mr.tali1985]

Yeah, both above good points.. I noticed the PAID code on two orders I shipped recently, however.. both were the same code which was confusing.

On other occasion I've sold an item where import charges were paid, now it's to reach customs in the USA and they won't have a clue I recon.. I did stated it on the parcel but anyone could do that.

It would be good to come to a point - how can the seller make customs in the destination country aware officially that the import duty / tax was paid. I would expect ebay / paypal to have a clear guidance as they collect the money, but couldn't find much..

[slippinjimmy]

---

@mr.tali1985 wrote:

Yeah, both above good points.. I noticed the PAID code on two orders I shipped recently, however.. both were the same code which was confusing.

On other occasion I've sold an item where import charges were paid, now it's to reach customs in the USA and they won't have a clue I recon.. I did stated it on the parcel but anyone could do that.

It would be good to come to a point - how can the seller make customs in the destination country aware officially that the import duty / tax was paid. I would expect ebay / paypal to have a clear guidance as they collect the money, but couldn't find much..

---

The Code would be eBay's UK VAT registration number so of course it will be the same for all shipments going into the UK.

If you are wondering, yes you could slap that code on any package regardless if it had actually had VAT charged and collected. No different than declaring a value lower than the actual value.

The issue with that is that it is illegal (but that won't stop some people from trying).

[pjcdn2005]

On other occasion I've sold an item where import charges were paid, now it's to reach customs in the USA and they won't have a clue I recon.. I did stated it on the parcel but anyone could do that.

 eBay does add a state/use  tax on sales to some US states but that does not need to be noted on the label.  It isn't a federal tax and it won't be collected by customs if it isn't paid.  

As someone else mentioned, in  other cases where ebay is required to collect a federal tax such as VAT or GST eBay's tax number should be on the label.

[arcanedamellc]

Hi duncanvr,

Are you enrolled in the Global shipping program via Ebay or no? By this I mean, shipping internationally without sending the package to Ebay to handle customs. I'm wondering if Ebay is adding the VAT automatically to listings not enrolled in the Global Shipping Program. Thank you.