Reply With QuoteThis is just the start... :(
Ebay has started to add 20% VAT to all purchases to UK from EU and I guess vice versa.
Well done all the people that voted for this.........!
This obviously will impact many small businesses in the UK and EU and not just those on ebay.
20% for a so called sovereignty!
Happy 2021?
This is just the start... :(
David
Infinite Diversity in Infinite Combinations
They never used to do that for other overseas counties such as USA, Japan, China etc so why they feel it necessary for Europe is odd.
I wonder if it is to avoid the problems of people ordering and not realising VAT is applicable.
But there are thresholds before it is payable.
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Explained on their help page
https://www.ebay.co.uk/help/buying/p...=DEFAULT_BUYER
They don’t do it on all but many items from America and elsewhere have the option of paying the VAT up front rather than risking extra charges etc when the item arrives.Originally Posted by gerard
I have not looked at anything from the EU for a while now and don’t intend to until this mess is all sorted out.
I don’t think people realised the issues this would cause to pretty much everyone.
I wonder if eBay are passing this onto the revenues of each country or just pocketing an extra 20%?
M
Breitling Cosmonaute 809 - What's not to like?
E-Bay wants to shed it's bay of thieves image and become more like Amazon. Hence this is hardly a surprise. I'd get ready for a lot more similar changes.
Indeed. A triumph. Several of my closest relatives got out just in time. They now live in Europe.
A little sad as a budget vintage buyer the decent prices within the UK dried up a good couple of years ago(well more really), there were still good prices to be had from the likes of Germany/France/Italy. Having said that the past year even those have been becoming far fewer and rarely a hidden undervalued gem any more.
I managed to get one last deal from Germany a couple of months ago and made peace with myself that would likely be my last overseas purchase.
On a positive it should pretty much stop my flipping as I tend to buy very little from within the UK. I've been wanting to slow down anyway so should help.
Only applies on items up to £135?
The "gift" that keeps on...
"Once is happenstance. Twice is coincidence. The third time it's enemy action."
'Populism, the last refuge of a Tory scoundrel'.
"On orders over £135 imported to the UK, the recipient may need to pay VAT as part of clearing the parcel through customs."
Sometimes you get lucky with this but now HMRC will want to collect money in as the national debt rises and obviously this is easier to collect than from the big multinationals and Bojo's mates.
I'm glad I've read this thread, just been eyeing up a very clean MM300 on ebay in Germany but I think I'll give it a miss!
Probably not worth the hassle
https://www.ebay.co.uk/help/buying/p...=DEFAULT_BUYER
In this discription by ebay its not 100% clear in the wording of it.
I thought we were staying in the single market and not paying 20% extra taxes ?
We have left the single market sadly.
https://www.bbc.co.uk/news/uk-politics-55502781
https://www.ft.com/content/c921bf8a-...9-50c9efe432a9
We have tariff free access to the single market, but we have left the customs union, so the EU is the same as the rest of the world regarding customs checks and charges.
Cheers..
Jase
This explains it
https://www.gov.uk/government/public...1-january-2021
assuming you can understand it
Surely if you buy something from (for argument's sake) France, then the French VAT rate of 20% is deducted before the UK VAT rate of 20% is added meaning you don't pay any extra? Or am I missing something else?
I'm baffled. I presumed we would always have paid VAT or the local equivalent somewhere along the line eg when I bought my Steinhart, I presume that the cost included German VAT/Sales Tax, but I didn't pay UK VAT. It was a single market not a tax free zone (well OK, free of import duties). So whilst we are not in the single market, we still have to pay sales taxes, so what's different? Are we paying both European and UK VAT now???
If anyone understands what's going on, please explain it to me in words of one syllable!!
If the French seller is VAT registered then maybe, but if for arguments sake you sold a watch to a forum member in France who asked you to deduct 20% would you do it?
Cheers..
Jase
This explains it
https://www.gov.uk/government/public...1-january-2021
assuming you can understand it
Interesting.....
Online marketplaces (OMPs), where they are involved in facilitating the sale, will be responsible for collecting and accounting for the VAT.
Seems as if there is a complete change to VAT.This explains it
https://www.gov.uk/government/public...1-january-2021
assuming you can understand it
The exemption on low value items, means cheap stuff from China which used to slide through (another thread on Alibabha chargingbVAT)
So it seems the far Eastern watch suppliers who used to sell on ebay saying no VAT import duties b/c watch innUK or Europe will now have VAT applied.The new arrangements will also involve the abolition of Low Value Consignment Relief, which relieves import VAT on consignments of goods valued at £15 or less.
It will take time for this to sort itself out. But I suspect it will mean some getting away with charging an extra 20% which goes nowhere near the exchequer.In addition, for sales of goods by overseas sellers, where the goods are already in the UK at the point of sale, we will move the responsibility for accounting for VAT from the overseas seller to the*OMP*that facilitates the sale.
As always careful of the unintended consequences.
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It all depends on the overseas seller, it’s just the same now as if you were buying from say the USA, VAT is payable on imports. If you buy something from the EU and they are not set up to deduct their local version of VAT then yes, you will pay VAT twice, that was the beauty / benefit of the customs Union while being a member of the EU.
Cheers..
Jase
Yes, those 17 plus million have a lot to answer to, 20% on ebay purchases from the EU?, I bet they never gave that a thought when they where weighing up the pros and cons of leaving the EU, I suspect they will be kicking themselves once they realise what an impact this will have on them.
Last edited by stevecross; 1st January 2021 at 15:12.
“The changes will not apply to consignments of goods containing excise goods or to non- commercial transactions between private individuals. Existing rules will continue to apply for these transactions.”This explains it
https://www.gov.uk/government/public...1-january-2021
assuming you can understand it
So what does this say about private transactions? Surely eBay and other platforms have to charge business accounts and not private?
That is the way I interpret it, but suspect it is wrong or not the way it will play out.
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If Ebay Private account-to-Private and EU to UK, then VAT not collected on sale, collected on import paid through carrier (Royal Mail, DHL, FEDEX)?
I thought Ebay was collecting VAT on business transactions (B2B and B2C) where the business was not registered for UK VAT or had not provided Ebay with their UK VAT registration number.
The way that reads private transactions will not be charged? Presumably they will expect the buyer/seller to sort it out themselves at the post office?
Thanks! Well done indeed. I wish I could sincerely muster a bit of sympathy to those for whom your country's authority to govern itself and make its own laws was cheap enough to give away for 20% off purchases from the European Union. But Happy New Year anyway.
This doesn't make any sense to me, what has Ebay to do with the sellers/buyers VAT obligations? This must be a massive misunderstanding by Ebay, or they are simply collecting 20% for themselves.
Edit: Ok I'm of course totally wrong and not updated, despite reading the thread :-)
"For imports of goods from outside the UK in consignments not exceeding £135 in value (which aligns with the threshold for customs duty liability), we will be moving the point at which VAT is collected from the point of importation to the point of sale. This will mean that UK supply VAT, rather than import VAT, will be due on these consignments."
https://www.gov.uk/government/public...1-january-2021
This actually sounds quite smart and less hassle, at least for the buyer.
Last edited by jonasy; 1st January 2021 at 15:36.
From the .GOV website link above:
Online marketplaces (OMPs), where they are involved in facilitating the sale, will be responsible for collecting and accounting for the VAT.
Cheers..
Jase
New legislation in VAT regimes to hold all online marketplaces like Ebay jointly liable for any unpaid VAT by its business accounts. If the business account is registered for VAT and logs this with Ebay, then I don't think Ebay will collect.
Parallels with construction industry CIS to stop tax avoidance?
Yes yes I was wrong, thanks for correction, I've edited my response.
Now, now, no politics in the G&D...
Otherwise someone might mention buses...
So, how does eBay know I'm not a business? I'm at least as confused as I was at the start...
If I sell a watch to someone will they pay eBay 20% on top?
M
Breitling Cosmonaute 809 - What's not to like?
There would be no VAT to deduct.
Can’t see business sellers deducting VAT either, rest of World never did.
Like I say its been around for a while for non EU sellers, seems to be mostly from America and Japan (Or more likely thats where I have been looking) Where ebay will show you the additional vat and you pay on purchase and avoid any fees when the item arrives. I guess the same thing is now in operation for the EU I assume it will also be an option for private sellers as well in the near future?
well i voted leave and i am happy! i will just have to buy british products and support the british economy and or british business
I was one of the 17 million voted out. 20% on Ebay purchases hardly a game changer if its excessive don't buy it. When their sales dry up, they will drop their prices.
I never buy French or other Euro wine, have not for the last 3 years Chile, Argentina New Zealand and OZ are now my staple, if we all did it the Euro Zone would sit up
Last edited by hilly10; 1st January 2021 at 17:28.
I can't imagine a scenario where a retailer or seller can swallow a reduction equal to the VAT addition.
Because there isn’t one. Unless you live in a fantasy.
For those interested in vintage watches the 20% import tax is an expensive frustration, examples have to found overseas because they simply aren’t available in the UK. Having to pay 20% tax on used/ second- hand items always seemed unfair, especially when the option to buy locally didn’t exist. Now the same situation applies to purchases from the EU, so it makes things even harder. Seems unfair but that’s how it is, no point in moaning about it.
I buy watch parts from Europe so I’m not happy, but there's nothing I can do. Hopefully the benefits of leaving the EU will provide some mitigation.
If you were buying a watch direct from Steinhart they should deduct the German VAT and you get charged UK VAT 20%. If you bought a Steinhart from a British retailer that's exactly what will happen, the only difference should be the German VAT to UK VAT. And if its gone up dont buy it
Buying new watches should see little impact as VAT will be deducted by the retailer in the EU and added by HMRC here. Pre owned will be the issue as you still pay VAT on the value but there is no VAT to deduct by the EU retailer. So I guess the used watch market in the UK will get a bit more expensive.
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And what would those benefits be for you in your line of work? Genuinely interested.
Why would they want to do that we are only one nation of sales? What is perhaps more concerning is UK sellers cashing in on less competition and bumping their prices up.
I think that’s more likely when it’s going to kick in as no customer is going to pay more for what they could have had a month ago and if living just across a bit of water probably still can.
The business does not (need to) charge VAT on goods leaving the country. They don't lose 'reduce' (lose) anything.
If you ever need something from EU drop me a PM and I'll stick it in my back pocket (for a fee). There could be a trade in smuggling opening up for those down the S Coast! Anyway - I hope to be there in the EU full time, sometime this year :-)
Last edited by MartynJC (UK); 1st January 2021 at 18:09.
UK sellers will be bumping prices up also because they lose some/most of the EU buyers.
Why? This only affects second hand goods (already VAT zero rated). New goods will be sold ex-VAT to EU - so marginal pricing difference?
I'm already there, but haven't returned to the uk in 4 years so smuggling isn't a viable option for me.
Many forum members will have a mate who lives abroad, get the item delivered to them, and then pick it up when you visit said mate, or when he returns to visit the uk.................. expats will do anything for a pork pie or a lump of cheddar :-)
Because buying inside EU will be easier.
Returning items will be easier inside EU.
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