UKH

Previously all private purchases from the  EU the VAT was applied locally under the rules applied in the sellers country and calculated/paid there. 

Under Brexit this was no longer the case and the VAT should have been applied and collected when the goods arrived in the UK BUT the customs are unable to cope with the increased workload. So the new rules are that for puchases over £15 and up to a value of £135 the seller must VAT register in the UK, apply and collect the VAT at the UK rate and pay this to HMRC.

As anyone with a small business who already "enjoys" paying to collect tax for their own government the thought of running an additional parallel set of VAT accounts isn't particularly appealing and incurs additional costs.

I for one will simply stop accepting orders for less than £135 and don't be suprised if your favourite Euro online shop does as well.

I saw this last night on social media. A brexiteer friend from Accrington was moaning that his order from somewhere in the EU had been refused but then he started laughing that it was affecting the EU as much as the UK.

I gently reminded him that the supplier was still in a free market of 27 countries with a population of 1/2 billion and they would probably make a do.

Still waiting for his response.

E

Yes, agreed.

I occasionally buy from a German company, but, to make it worthwhile with postage, usually order a large quantity. I think they're a big enough company to absorb the extra registration, as the UK shipping cost on the website doesn't seem to have changed.

A few suppliers have come out as saying that they specifically will not supply to the UK in the current situation due to a) increased costs and b) increased faff.

https://www.bbc.co.uk/news/business-55530721

What happens over £135?

No VAT is charged by the seller (the local VAT is removed from the price) and the goods go through customs with the usual export papers for export to non-EU countries then VAT levied and collected on entry to GB (N Ireland is different). This incurs a processing and collection charge of £14.35 (varies for different couriers).

What about personal shipments (like xmas presents)? Here in Guernsey we have to pre-pay the VAT when we post stuff to the UK (we don't have VAT here), will that be the same for Germs?

PLEASE don't send us any germs! Things are bad enough already. 

From memory it's VAT free up to £35 but that's not something I've involved myself with .

This is not a Brexit issue, the new VAT rules apply to all countries both in and out of the EU. I believe the EU is about to release a similar VAT regime. Regardless, it's ill conceived and a pain in the arse...

Naah, that is the beauty of the single market.

VAT is more or less harmonized across the EU, at least with a lower bound and a narrow list of exceptions (mainly ones that were already in place in 91). As a consumer you simply pay your VAT at home, including if you buy from a seller in another EU country that exports above some limit to your country.

As a reseller, IIRC you have to register a VAT number or such, but there are more qualified people than me on this thread.

The extra faff for a private consumer trying to buy from a EU based online store is very much Brexit related.

CB

It is a Brexit issue, prior to Brexit this system didn't exist. It is a direct result of leaving the customs union.

Unfortunately it is a Brexit issue. 

All this winning is too much.

https://www.cyclingweekly.com/news/product-news/campagnolo-becomes-latest-e...

E

Could you explain to me why it isn't? (I don't quite follow your logic) It seems to have become an issue since brexit, or is that just a coincidence? Is it something we would still have to do if we were still in the single market?