Who pays VAT?
If the value of the parcel is between 0 and 135 GBP, it is considered as a low value parcel. Therefore, the seller pays Sales VAT directly to UK tax authorities directly with monthly declaration to HMRC based upon EORI and VAT registration. However, if the value of the parcel is above 135 GBP, the parcel is considered as high value. In that case, the seller pays VAT directly to B2C Europe upon invoice, 7 days after invoice date.
Will additional costs be charged?
In addition to the regular transport costs, an additional customs surcharge and any import duties and VAT will be charged. This depends on the delivery condition.
Who pays Customs Clearance cost?
The seller pays Customs Clearance Handling Cost to B2C Europe upon invoice of B2C Europe 0,50 EUR per kg with a minimum of 0,50 EUR per parcel.
Who pays Duties?
The seller pays Duties to B2C Europe only when levied at Customs Entry based upon the manufacture origin, value and HS classification of the goods. For values 0-135 GBP goods will be classified on manufacture origin of the goods.
The seller pays Duties directly upon invoice to B2C Europe when levied at Customs Entry based upon the manufacture origin, value and HS classification of the goods, 7 days after invoice date. For values >135GBP goods will be classified on manufacture origin of the goods.
Should shipping cost be included in the customs value?
Shipping cost must be included in the total value of the parcel for customs declaration. If the price of the parcel is between 0-135 GBP, the seller pays to UK authorities the sales tax on value including shipping cost. For values >135 GBP, the seller pays to B2C Europe the VAT and Duties on value including shipping cost.
How do I declare to British authorities that I already paid duties and taxes to B2C Europe?
You will receive a statement from B2C Europe based upon C8T8 certificate to provide you with the proof of payment of VAT and duties for high value parcels. Seller must offset already paid Sales VAT to Import VAT levied upon customs entry in monthly HMRC declaration.
Will I have a deposit with B2C Europe for a months trade?
If you are shipping parcels below the value of 135 GBP, then the seller is responsible for declaring and paying the Sales VAT to HMRC. Therefore, you do not have a deposit with B2C Europe.
If you are shipping parcels with values >135 GBP, then you will have a deposit with B2C Europe. If no deposit, then B2C Europe charges 3% deferment fee on top of the duties and taxes to be paid within 7 days after invoice.
What documents do I need to physically add to my shipment?
You must attach the physical customs invoice in triplicate to your shipment. If applicable, you must also add the transit and export documents you have created.
Do I need to state the country code origin?
The country of manufacture of the goods must be indicated if you are shipping parcels to the UK. This information is important and may determine applicable duties/taxes.
Questions due to Brexit?
Any question left?
We hope that we have given you the most insights and regarding Brexit. Is your question not in the Brexit FAQ? Or are you curious about what we can mean for you in the field of international parcel shipping or customs clearance? Then contact one of our experts.