Additional costs from Japan

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9,453
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Andrew Cliffe
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Yes
price
shipping
above paid using exchange rate being used by whoever is handling the transaction

import duty at 6.7%
vat at 20%
customs clearance / handling fee
above uses exchange rate being used by customs clearance agent

For importing a lens from Japan, leaving the EU has no effect on procedure.
 
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1,693
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Simon
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What is the best way to calculate all costs when purchasing a lens from Japan.
Does leaving the EU shortly change any of the existing charges?
I think we signed a trade deal with Japan recently but I couldn't find details of import duties when I checked despite it being referred to. I would be interested to find out too. It will be interesting to see what will happen with VAT as we will have the option to move away from that. Hopefully it doesn't turn into teh old property tax which was much higher
 
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9,453
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Andrew Cliffe
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I believe lenses are 6.7% import duty.

All goods are classified using harmonised codes which are sometimes a little obscure. You can look up rates at https://www.gov.uk/trade-tariff

The UK's VAT rate is amongst the lowest of the EU states, Luxembourg, Germany and Turkey are slightly lower, but most are 20% or above.
 
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Peter10d
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2,375
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Peter
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No
price
shipping
above paid using exchange rate being used by whoever is handling the transaction

import duty at 6.7%
vat at 20%
customs clearance / handling fee
above uses exchange rate being used by customs clearance agent

For importing a lens from Japan, leaving the EU has no effect on procedure.
So if we assume 26.7% for import duty and vat, would it safe to say that custom clearance and handling fees shouldn’t take it much above 33% (a third) of the total purchase price?
 
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9,453
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Andrew Cliffe
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If just buying a lens, allow 28.04% on purchase price plus £ 15/20 admin fee.

Normally the admin fee is £ 10-15, and is a fee charged by the delivering courier - eg DHL / Parcelforce for paying customs on your behalf to speed things up.

Exhange rate when you buy the product is handled by the card processor or bank. Exchange rate for customs purposes may well be different . All shippers are required to send a detailed commercial invoice with the package detailing its contents, and that is used to base the duty/vat on.

VAT registered buyers can reclaim the VAT as part of their normal VAT return.
 
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1,693
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Simon
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I believe lenses are 6.7% import duty.

All goods are classified using harmonised codes which are sometimes a little obscure. You can look up rates at https://www.gov.uk/trade-tariff

The UK's VAT rate is amongst the lowest of the EU states, Luxembourg, Germany and Turkey are slightly lower, but most are 20% or above.
Thanks for the info. I used that site before but it takes some understanding which I don't have.
 
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23,868
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Phil
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So if we assume 26.7% for import duty and vat, would it safe to say that custom clearance and handling fees shouldn’t take it much above 33% (a third) of the total purchase price?
You need to remember that you dont just add the % figures together; if the 6.7% is added first, then the postage, the VAT will be 20% of that total.

Eg:
Your way
£100 lens
+ 26.7%
£126.70 + £10 postage = £136.70

IIRC the rules
£100 lens
+ 6.7% import duty
£106.70 + £10 postage = £116.70
£116.70 + VAT = £140.04
 
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10,848
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Jeff
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Anything under £135 is duty free according to h.m customs
 
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2,093
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Pete
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I read somewhere recently that Fedex should be avoided as the courier if possible as they charge a £40 admin fee
 
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9,453
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Andrew Cliffe
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VAT payable on items above £ 15 or marked as gifts above £ 39
No duty below £ 135

Fedex said:
FedEx pays the Duty and Tax charges on your behalf to ensure we can deliver your shipment as quickly as possible. This incurs an administration fee of 2.5% of the combined Duty and VAT charge or £12.00 (whichever is greater).
 
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Bharat
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Just wanted to add that vat is now payable for all imports... Even if it is under £15. I noticed while buying something from aliexpress, that they are adding 20% to all purchases.
 
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Bharat
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Please take a look at this ebay post which confirms the same. Looks like the 20% vat exemption on low value items is now abolished.
.

Also found some updated guidance here.
 
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7,346
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Alan
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As far as I can find, there is no duty for any HS code I can think of to do with cameras and lenses, so it should just be the VAT, which as Phil says is applied on top of postage too, and at the exchange rate n the day of charging too.
 
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1,693
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Simon
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Please take a look at this ebay post which confirms the same. Looks like the 20% vat exemption on low value items is now abolished.
.

Also found some updated guidance here.
Looks like "gift" is still an option to avoid
 
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