EORI custom tax

Poppylong

Free Member
Dec 26, 2013
155
5
Hi all
Quick question on behalf of a friend pls....

Friend imports $260 of swimsuits - $20 USD per item/set.
Created an EORI number, and was charged £93 custom tax by UPS- almost 50% of the value.

How is this calculated does anyone know? anyone know why it's so high?

Many thanks
Poppy
 
Is it just import duty or does it include VAT and other costs like admin?

The tariff code should be on the invoice. Search for that code and it will tell you what the duty rate is.
 
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Customs Geek

Free Member
  • Oct 27, 2022
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    Hi all
    Quick question on behalf of a friend pls....

    Friend imports $260 of swimsuits - $20 USD per item/set.
    Created an EORI number, and was charged £93 custom tax by UPS- almost 50% of the value.

    How is this calculated does anyone know? anyone know why it's so high?

    Many thanks
    Poppy
    As MikeJ has said ask for a breakdown from UPS.
    There are a range of charges including those from UPS for performing the customs clearance formalities.

    Import Duty is calculated on the value of the goods plus cost of shipping converted to sterling using HMRC exchange rates . This is 1.3573 for March 26. Duty for clothing is 12%
    Then import VAT @20% is added on the cost of goods shipping costs and duty.
     
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    What has Vat registration got to do with anything?

    If the goods attract VAT she will be charged.
     
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    Customs Geek

    Free Member
  • Oct 27, 2022
    398
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    What has Vat registration got to do with anything?

    If the goods attract VAT she will be charged.
    As the OP had mentioned creating an EORI I thought I had made clear having an EORI number made no difference to what is being charged.
    I only mentioned VAT in the context of the EORI number formatting. (HMRC issue a separate series of EORI numbers for non VAT registered businesses ). Only private individuals importing for their own use don’t need an EORI.
    .
    Although not mentioned previously being VAT registered and having a linked EORI can mean you can use Postponed VAT accounting and not be physically charged VAT at the border, instead accounting for it on the VAT return.
     
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