Import tax FAQS and Qs?

[Alan]

Does anyone know if import duty needs to be paid on instruments imported into the UK from non EU destinations that are damaged or need repair? Just wondered I remember reading that cars could be imported with the engine taken out and put in the boot to avoid import duty.

Anyone?

[Dave King]

Hi
I had an interesting conversation with the customs people recently,,,, the simple answer is no they dont need paying as long as you can prove that you've returned them once the repairs have been carried out. However they have no system in place to check that you have actually sent them back apart from random checks.

Dave King

[Alan]

What about if you import them to 'do-up' yourself? If you cant play it is it still classed as a musical instrument?

[Deleted]

When I've had to deal with HM Customs & Excise on VAT issues they've always been really friendly and helpful. They've merged with the Inland Revenue now and become HM Revenue and Customs. Phone them for advice, their number is 0845 010 9000.

[Deleted]

I think Richard is right - speak to Customs FIRST. There's nothing worse than suddenly finding yourself with a huge import bill! They take the cost, add import tax, then add Vat on the total amount. However the value of a guitar in parts may not be that high - but without the paperwork to back it up....... !
I declared mine at the airport expecting to get some of my (and possibly the familys) tax-free 'allowance' - the guy took great glee in telling me I wouldn't get any allowance and it was going to be 'very expensive' ..... and it was! Still it ended up being cheaper that I could have got here.

[LouisianaGrey]

On a connected subject it's worth pointing out that if you can get small items sent by post rather than a courier like Fed Ex then there's only about a one in four chance that you'll have to pay duty because the post office only check around 20% of the parcels that come in. Even then they only seem to pick the big or odd-shaped ones.

[Richard]

Or maybe, get to know someone who lives in Guernsey the land where VAT does not exist..

[Michael Messer]

Richard, tell us more about Guernsey and its tax benefits. Hawaii might have sun, sea, surf, hula girls and volcanoes, but it's not a tax/vat free zone!

Shine On
Michael.

[Richard]

Well I can't quote this as gospel, but it has worked for me twice for getting stuff in from the US.

Guernsey is a funny place as it is part of the UK but it is not in the EC and it has it's own tax rules where, for instance income tax is 20% and that's it.

Now, there is no VAT - it does not exist, end of story - and many firms\ people supplying goodies from England know it is exempt and do not try and charge it - for instance firms like Viking Direct, Dabs Computers, Dolphin Music etc. If there is a large VAT amount and they try to tell me to pay VAT and then claim it back they lose the order!

So, goods coming here are not subjected to anything like the import tax levels of the UK - cars for instance are VAT free. The theory being that VAT is levied by the UK when high value Guernsey goods go the UK - cars again for instance. There is a set limit of £300 (I think) for goodies bought here that are exempt by the UK customs anyway - cameras, jewels etc. Personally I see that extended to cover musical instruments bought here as well - in fact anything up the £300.

However, the moral of the story seems to be the likelyhood of being taxed on an import when I get something imported here is petty low and in any event if tax were demanded it would not include the 17.5% VAT which is the killer and as yet I have not yet paid or been asked to pay any import duties of any kind whether its from the UK or the US.

And obviously, if the goods have been in my possession and\or opened by me and then sent on the UK as loan or present, or I bring them over myself on a trip, well.. The postage onto the UK is much the same cost as UK internal post.

Is there not another forum member on this site also called Richard who also hails from here - if so and he knoweth more maybe he could explain further..

'Tis is a little convoluted, but I hope this briefly explains the situation, so if I know you and you know me ........

[jonny b]

hi
I have imported a couple of guitard from the states. you have to pay tax if you are keeping them, ie not just repairing them [makeds sound business sense], you pay VAT + an import tax tha together come to just over 20% - I forget the exact percentage, but they are al on the HM excise website. Something to watch - the carriage price is deemed to be part of the price, ie you pay tax on the carriage charge - seems unfair, until you think otherwise everyone would charge 1$ for the guitar and $1500 for the guitar!! Also on insurance for most couriers you may want to ask th esender to include the carriagr cost in the "value" as if it does get lost/broken you are covered for the repeat carriage. Also, unlike parcelforce, the US mail basic parcel service doesnt have just a limited basic insurance value - it has NO insurance at all.
Or of course you colud just get a ticket to NY and stroll back thru customes claiming its always been yours...but your luck would need to be better than mine normall is!!

[jonny b]

woops, sorry when I said "you think otherwise everyone would charge 1$ for the guitar and $1500 for the guitar" obviously I meant $1500 for the carriage!!