Spurious VAT Bill from DHL

BatMum

Free Member
Sep 16, 2024
2
1
Hi,

We sent some machine parts to Germany to be fixed. These were used parts that we already owned. The company in Germany wasn’t able to fix the parts so returned them to us via DHL.

DHL are now claiming we owe them VAT plus various other admin charges.

Our opinion is there shouldn’t have been any vat to pay anyway as the parts were already ours.

Secondly we didn’t request DHL to provide any services to us, the company in Germany did. We haven’t given DHL permission to pay vat or anything else on our behalf. We haven’t agreed to any DHL terms and conditions. We effectively have no relationship with DHL but have a bill for services we didn’t request.

Am I wrong here? Do we owe this money?

Thanks.
 

Customs Geek

Free Member
  • Oct 27, 2022
    401
    1
    211
    Midlands
    Hi

    Unfortunately if goods leave the UK they lose their duty/ VAT paid status so when they are subsequently returned they are treated as a new import. There are ways to manage this but it often involves exporting them in a specific way .
    www.gov.uk/guidance/apply-to-pay-less-duty-on-goods-you-export-to-process-or-repair
    As the goods are being returned in exactly the same state as they went out and haven’t changed ownership you should be able to ask DHL to apply returned goods relief. They may ask you for proof of the original export.

    Whether they should be asking you for the charges or not will be down to who the German sender would pay etc. Perhaps a conversation with the sender will help clarify this.

    Have you already received the goods or are they still with DHL?
    If DHL still have the goods then they won’t release them until someone pays . If you have already received delivery DHL will have already paid HMRC so it a commercial matter between all three parties.
     
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