"Freight Value" and DHL

AndyReco31 · Apr 3, 2019

Hi, I have found similar posts in relation to this but i'm still not 100%.

I'm based in the UK and recently made an order from a US based company, the total amount i paid for the order was c.£76 and shipping was free.

A few days later DHL told me that i would have to pay £40 for import fees. (their fee and VAT)

When i get the invoice with the delivery they state a "freight value" of £44.44 which has subsequently inflated the VAT bill to about double what i was expecting.

The definition of Freight Value from the paper work - The cost of transit from your supplier door to the EU border if this is not included on the suppliers invoice.

From what i can find online it seems that the "freight value" is either the cost of shipping or calculated by customs if a shipping value is not stated on the paperwork. Is this correct?

My question is can i contest that "freight value" should be zero because i have an invoice stating this or is this a customs calculated value that i am at the whim off?

I have called them but i can't seem to get a straight answer on this point.

Thanks

JEREMY HAWKE · Apr 4, 2019

Was the commercial invoice attached to the consignment and that info also on their system

AndyReco31 · Apr 4, 2019

There was no invoice attached when i received the package but they have told me over the phone that they have used values given to them from my supplier.

I have subsequently sent the invoice i received from the supplier to DHL, stating the amount i paid and also stating that shipping to me was free.

But they said it didn't affect the freight value.

JEREMY HAWKE · Apr 4, 2019

It is of a benefit to add five commercial invoices to a document wallet on this shipment and if possible attach and add all the invoice info to the electronic document when booking

AndyReco31 · Apr 4, 2019

Problem is that this is out of my hands, but i'll look at trying to get suppliers to organise that in future.

Are you saying that i should only be paying VAT on the amount that i alone paid for the order?

JEREMY HAWKE · Apr 4, 2019

Yes because the invoice has always been used to calculated vat at customs

Was the purchase price on the customs declaration

stuartm1962 · Apr 4, 2019

DHL are passing on what HMRC have advised is the duty payable on the import. This is calculated on the difference between the price that you have paid and what the "consider" to be the value of an identical item available in the UK.

DHL have then added their fee to it and charged vat on the total.

You will have difficulty disputing that, unless you can show that a comparable item is the same price in the UK or the USA. You can appeal against it, but i doubt that you will get very far.

Deleted member 302361 · Apr 6, 2019

The revenue calculated is based on the information keyed in by DHL. If Customs had queried the value you would have been contacted, as it appears that Customs didn't contact you then it's all down to DHL.
Agents base the values they key into their declaration system based on supplied documentation. Does the invoice clearly say that all freight charges were paid by the supplier? Is there any mention about the charges raised by DHL regarding their costs clearing the consignment in the UK?
On occasion fast parcel operators have been known to clear shipments and deal with accuracy later

Ray272 · Apr 9, 2019

Does sound very strange actually. We use FedEx shipping and orders are about £300 per order shipping is normally $70 and we on average pay £45-68 duties and taxes.

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"Freight Value" and DHL

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