Buying stuff from Jersey

[MacW]

Hi guys,

If I buy second hand stuff from Jersey (fleabay, club member hand me downs, etc) what sort of taxes am I liable for?

Ta muchly

[darreni]

If it gets stopped at customs, 20% VAT.

[MacW]

Thanks Darreni

[Cupramax]

Surely only if its coming from a business?? You wouldn't pay VAT on something from Ebay normallY?

[Henry-F]

I think you do have to pay Vat on a private purchase. If you buy a car from a private seller in the USA you are still liable for Vat on it's value in addition to other taxes.

If the item is valued at under 22 Euros then there is currently an exemption in place which is being exploited by a number of retailers. It makes their printer cartridges, CDs, DVDs and other items 20% cheaper than those supplied from businesses on the mainland. It has been quoted as the reason several UK businesses failed.

Henry

[darreni]

Cupramax said:

Surely only if its coming from a business?? You wouldn't pay VAT on something from Ebay normallY?

Nope, personal gifts etc are also chargable (if the value is over £32 IIRC), as are ebay purchases or anything else.
It really depends if it gets stopped by customs.
If the item has any value, to obtain Insurance you will have to declare the correct value. Also, you need to complete a customs declaration, to include description & value. Being honest wil increase the chances of it being stopped.

I sent a watch back to Omega for servicing, Via the local AD & he warned me that customs could (& have) checked packages & requested VAT on the value of the contents.

[darreni]

Henry-F said:

I think you do have to pay Vat on a private purchase. If you buy a car from a private seller in the USA you are still liable for Vat on it's value in addition to other taxes.

If the item is valued at under 22 Euros then there is currently an exemption in place which is being exploited by a number of retailers. It makes their printer cartridges, CDs, DVDs and other items 20% cheaper than those supplied from businesses on the mainland. It has been quoted as the reason several UK businesses failed.

Henry

Thats just changed today Henry, now £15 limit with a further review in 2012.

You cant blame the retailers for using the system though, HMRC put it into place as the cost of collecting the additional VAT was higher than the VAT collected.

[aceparts]

At the moment, non commercial items have a limit of £32 before you get hit with VAT AND an £8 admin fee. Other items it's £18 (due to go down to £15 in November). Most traders in the CI pre-pay the vat on items over £18 so you can check before hand.

[aceparts]

Henry-F said:

If the item is valued at under 22 Euros then there is currently an exemption in place which is being exploited by a number of retailers. It makes their printer cartridges, CDs, DVDs and other items 20% cheaper than those supplied from businesses on the mainland. It has been quoted as the reason several UK businesses failed.

Henry

Once LVCR is knocked on the head (that's a private persons personal allowance to enable them to import items without paying vat as the cost of collection would be more than the VAT), then the CI zero rate of corporation tax, low tax and generous allowances will be blamed instead

[TheCoolerKing]

darreni said:

If it gets stopped at customs, 20% VAT.

Its a lottery and althoigh it's a risk more times than not you'll find it won't get picked up.