28-06-12, 09:33 AM
But surely you can insure something for whatever you want?
This was in the Guardian... (not a link as the advice may be useful if you can search for it)
Our son in Australia posted his Christmas presents early, hoping to avoid the rush, but we have since received a letter from Parcelforce requesting £47.76 VAT. Knowing it was highly unlikely the goods would be valued at more than £100, we rang the number given and were informed that parcels were selected at random and the customs officer would assess their worth. This may not be the usual form of problem that you deal with but, nevertheless, one that could affect dozens of unsuspecting people in the UK receiving Christmas presents from Australia, or anywhere else for that matter. Is there any form of redress or reasoning that can be followed up? PL, Birmingham
You're right – customs duty and import VAT could be an issue for people receiving mailed gifts bought or sent from outside the EU for delivery to the UK this Christmas. Customs duty is payable on goods with a value over £135 but the duty is waived if the amount of duty calculated is less than £9. Import VAT (17.5%) will be charged by HM Revenue & Customs on bought goods above £18 in value, or £40 for gifts between private individuals. Parcelforce also charges an £8 clearance fee for the administration of a package that incurs HMRC costs, rising to £13.50 for express parcels and high-value packages.
Parcelforce acknowledged that it does not value items itself. "Our role is to present items to the Inland Revenue where the charge is raised," a spokesman said. "The charges are based on the customs declaration form completed by the sender."
This means Parcelforce has merely passed on the charge it has incurred from HMRC. If you and your son both dispute the fee, you should complain to HMRC within 30 days of receiving (and paying for) your goods. Details are available on the HMRC factsheet HM Revenue & Customs Decisions – What to do if you Disagree. If you are not satisfied with the outcome of your discussions with HMRC you can have your case reviewed by a different officer from the one who made the decision, or you can have your case heard by an independent tax tribunal for a final decision.
This was in the Guardian... (not a link as the advice may be useful if you can search for it)
Our son in Australia posted his Christmas presents early, hoping to avoid the rush, but we have since received a letter from Parcelforce requesting £47.76 VAT. Knowing it was highly unlikely the goods would be valued at more than £100, we rang the number given and were informed that parcels were selected at random and the customs officer would assess their worth. This may not be the usual form of problem that you deal with but, nevertheless, one that could affect dozens of unsuspecting people in the UK receiving Christmas presents from Australia, or anywhere else for that matter. Is there any form of redress or reasoning that can be followed up? PL, Birmingham
You're right – customs duty and import VAT could be an issue for people receiving mailed gifts bought or sent from outside the EU for delivery to the UK this Christmas. Customs duty is payable on goods with a value over £135 but the duty is waived if the amount of duty calculated is less than £9. Import VAT (17.5%) will be charged by HM Revenue & Customs on bought goods above £18 in value, or £40 for gifts between private individuals. Parcelforce also charges an £8 clearance fee for the administration of a package that incurs HMRC costs, rising to £13.50 for express parcels and high-value packages.
Parcelforce acknowledged that it does not value items itself. "Our role is to present items to the Inland Revenue where the charge is raised," a spokesman said. "The charges are based on the customs declaration form completed by the sender."
This means Parcelforce has merely passed on the charge it has incurred from HMRC. If you and your son both dispute the fee, you should complain to HMRC within 30 days of receiving (and paying for) your goods. Details are available on the HMRC factsheet HM Revenue & Customs Decisions – What to do if you Disagree. If you are not satisfied with the outcome of your discussions with HMRC you can have your case reviewed by a different officer from the one who made the decision, or you can have your case heard by an independent tax tribunal for a final decision.