HM Revenue & Customs (HMRC) (link is external)says that with effect from 11pm on 31 December, when the transition period ended, consignments of goods with an aggregate value of £135 or less (excluding shipping costs) will have VAT added at the point of sale, whether in the EU or elsewhere abroad.
That means that brands or online retailers based abroad that sell directly to shoppers in the England, Scotland and Wales (separate rules apply to Northern Ireland(link is external)) must register with HMRC for VAT and account for the tax on goods sold here below that threshold, including paying an annual fee to do so – something that Dutch Bike Bits, to return to that example, says makes it impossible to continue selling to people here due to the costs and the administrative burden involved.
Source: road.cc
Latest Posts in "United Kingdom"
- VAT Exemption for Medical vs Cosmetic Treatments: Key Tribunal Guidance for Clinics and Practitioners
- HMRC Updates Guidance on Lost VAT Appeals: New Cases Added and Amended
- VAT Recovery Falls Despite Increased Crackdown on Business Tax Avoidance, HMRC Figures Show
- VAT Late Filing Penalties: Software Failure and Employee Error Not Reasonable Excuse, Appeal Dismissed
- Corrupt Directors Jailed for £20m VAT Fraud After Secret Meetings and Fake Offshore Schemes
