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Import charges a total farce!


old rooster
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I was given a Flambeau tackle bag for Christmas a couple of years ago, it was ideal for storing the gear for use on the boat. After about 18 months the zips corroded and jammed solid and the front pocket split open so I got on to the manufacturer who agreed to send a replacement.

 

The replacement bag was sent out via USPS and seemed to have disappeared. I checked the tracking and it said it was in the UK awaiting charges to be paid.

 

I had a trawl through the net to see if there was any info on where it might be and discovered that when it hits our shores Parcel Farce take over (Oh dear :()

 

So.....got onto the local Parcel Farce office and was told there was £33.34 to pay on it!! This is for faulty goods being replaced so not sure why it was so much, if anything at all. The bag new is only US$ 80 so this charge represents nearly half the cost of the bag.

 

Rip off Britain or wot!

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The company in America should have marked it as a warranty replacement. If you still have the communication from them stating they will replace it sent it to customs and excise. Parcel Farce charge about £13 to collect the duty, so the duty was only about £20 . If you pay the £33 first you won't get Parcel Farces fee refunded.

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Duty is zero on an item of that value. It's the 20% vat which kills you. Plus their 'service fee'. It used to be 8 quid!

 

Check here:

 

http://customs.hmrc.gov.uk/channelsPortalWebApp/channelsPortalWebApp.portal?_nfpb=true&propertyType=document&_pageLabel=pageTravel_ShowContent&id=HMCE_CL_000014#P25_2720

 

Also keep in mind that you pay on the total shipped cost - not just the value of the item.

Edited by aris
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Get them to send it back, then ask the company to resend it, but mark the packaging as a gift, or with a low value. I just had exhaust parts sent over and asked them to do that, they marked the value as $22 and I got them in a week, no tax :-)

It is still liable for VAT if a gift. I've had some stuff that has just gone through without question but this one obviously got picked up.

 

They can send it back because I ain't paying.

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it won't go back it will just end up being destroyed as for some reason it usually costs far more to get the item re imported to the country of origin and it isn't cost effective. Basically its going to cost you that for a brand new bag so I can't really see the huge issue, yes the declaration sent with it should have specified it was a replacement but that is the issue with buying from overseas.

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Duty is zero on an item of that value. It's the 20% vat which kills you. Plus their 'service fee'. It used to be 8 quid!

 

Check here:

 

http://customs.hmrc.gov.uk/channelsPortalWebApp/channelsPortalWebApp.portal?_nfpb=true&propertyType=document&_pageLabel=pageTravel_ShowContent&id=HMCE_CL_000014#P25_2720

 

Also keep in mind that you pay on the total shipped cost - not just the value of the item.

 

I had a package from my friend in America. The value stated on it was $50. I had to pay £8.72 duty/vat, which i did'nt mind, but another £8.00 to Royal Mail for 'handling fees', which I did object too.

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I had a package from my friend in America. The value stated on it was $50. I had to pay £8.72 duty/vat, which i did'nt mind, but another £8.00 to Royal Mail for 'handling fees', which I did object too.

That would have been pure vat (on the item plus postage). There is no duty if the value is < £135. The way they do exchange rates is weird too. They take the rate at the beginning of the month, and use that rate all month.

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Am I missing something here?

 

So, you currently have a bag that doesn't work but you liked it when it did work?

 

You have been sent a brand new one free of charge and you don't want it because it will cost you £33? Even though a new one would cost £53?

Edited by ME
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It's a rip off either way - I sent a watch to US to be repaired - got stung $20 US import duty - watch repaired and sent back -- few weeks later got bill from fedex for 52 quid - Queried it - sent all documents but still seems UK gov want's it's 20% vat and Fedex it's 10 quid handling fee -

 

watch was 47 yrs old so they probably wanted vat they missed first time round. - No way would I have valued it at 20 quid to get it back vat free.

 

Dave

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Am I missing something here?

 

So, you currently have a bag that doesn't work but you liked it when it did work?

 

You have been sent a brand new one free of charge and you don't want it because it will cost you £33? Even though a new one would cost £60?

Bang on the money mate! It was a replacement for a failed product, it shouldn't cost me anything.

 

Might seem a tad pedantic but I doubt that the design fault has been rectified so the zips will probably rot out again inside a year or so. If this doesn't work out Ii will buy something else.

 

Surely the whole point of consumer protection and fitness for purpose legislation is to ensure that he customer is either reimbursed in full or provided FOC with a replacement product?

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Bang on the money mate! It was a replacement for a failed product, it shouldn't cost me anything.

 

Might seem a tad pedantic but I doubt that the design fault has been rectified so the zips will probably rot out again inside a year or so. If this doesn't work out Ii will buy something else.

 

Surely the whole point of consumer protection and fitness for purpose legislation is to ensure that he customer is either reimbursed in full or provided FOC with a replacement product?

 

 

I wonder how many manufacturers of anything would provide an FOC replacement for corrosion damage?

 

If that is the case, then the manufacturers of the jockey wheels for my boat and jetski owe me about 6 new jockey wheels - as I binned them and bought new ones every year when they seized up! :rolleyes:

 

And I need to get on to the trailer bearing manufacturers as I just replaced the bearings on my boat trailer too - due to corrosion :rolleyes:

Edited by ME
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I wonder how many manufacturers of anything would provide an FOC replacement for corrosion damage?

 

If that is the case, then the manufacturers of the jockey wheels for my boat and jetski owe me about 6 new jockey wheels - as I binned them and bought new ones every year when they seized up! :rolleyes:

 

And I need to get on to the trailer bearing manufacturers as I just replaced the bearings on my boat trailer too - due to corrosion :rolleyes:

Well if you like paying over the odds for parts which ain't fit for purpose all the jolly best! ;).

 

There is no reason for boat trailer bearings to corrode in this day and age, I never once had to replace mine or the jockey wheel but maybe because I had a decent trailer?

 

As a nation we accept far too much poor quality in products and services but it is a matter of personal choice whether you just keep lobbing out I guess.

Edited by old rooster
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I wonder how many manufacturers of anything would provide an FOC replacement for corrosion damage?

 

If that is the case, then the manufacturers of the jockey wheels for my boat and jetski owe me about 6 new jockey wheels - as I binned them and bought new ones every year when they seized up! :rolleyes:

 

And I need to get on to the trailer bearing manufacturers as I just replaced the bearings on my boat trailer too - due to corrosion :rolleyes:

 

I can see by your rolling eyed smilies that you feel the damage is acceptable.

 

I bloody wouldn't! If they are boat/jetski trailers they are bound to be used in a marine environment, and if they don't have decent quality sealed bearings then they aren't fit for purpose as far as I'm concerened. My braked boat trailer has not had a new bearing or brake componenet yet although the wheels and hubs do get stripped and fully cleaned/protected at the end of each season. Similar with the jockey wheel, it's the original and still running freely. It's a Snipe trailer, thoroughly recommended.

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I took a ring over to the US to have a Diamond (one of a few) replaced that had been lost (not set correctly) and was covered by the Jewellers Workmanship Guarantee (as you can guess it was a top notch jeweller and a Big Big stone) along with a clasp check of an encrusted male ring,

Anyhow it was cheaper for me to fly out with the ring, get picked up from the airport, meet the jeweller, be booked in a hotel for 2 days and fly back

 

The client had worked out it would be cheaper than posting (as because of the value only FEDEX (if i recall) would take it and it had to be handed over at each step) and that plus teh return shipping and import duty was more than sending (and paying) me

 

And the marriage didn't last!!!

 

Madness!!!

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Another problem I have encountered several times is the US sender provides paperwork in US $ but at the British end they don't convert it to pounds so $100 becomes £100. Marking items as a gift is silly because it draws attention and gifts are not exempt anyway.

 

If they do this, call them on it - but it is unlikely. Where people get caught out is that you pay vat on the declared cost **AND** the cost of postage and any insurance. So if the item cost $70, and cost $20 to ship to you, you will pay 20% vat on $90 (after it is converted to pounds)

 

There is a higher limit on gifts. If the delivered price of an item is less than 15 pounds, there is not vat or duty to be paid. If it is marked as a gift, other rules apply - the vat/duty free limit is £40.

 

If the item costs £15 - it's vat and duty free. If it is £15.01 - you pay 20% vat on the lot. If it comes to £135.01 or more - you pay vat, and duty on the lot.

 

Duty is quite small though - usually 1-4% depending on the item.

 

It's all quite clearly documented in the link I put above:

 

http://customs.hmrc.gov.uk/channelsPortalWebApp/channelsPortalWebApp.portal?_nfpb=true&propertyType=document&_pageLabel=pageTravel_ShowContent&id=HMCE_CL_000014#P25_2720

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If they do this, call them on it - but it is unlikely. Where people get caught out is that you pay vat on the declared cost **AND** the cost of postage and any insurance. So if the item cost $70, and cost $20 to ship to you, you will pay 20% vat on $90 (after it is converted to pounds)

 

There is a higher limit on gifts. If the delivered price of an item is less than 15 pounds, there is not vat or duty to be paid. If it is marked as a gift, other rules apply - the vat/duty free limit is £40.

 

If the item costs £15 - it's vat and duty free. If it is £15.01 - you pay 20% vat on the lot. If it comes to £135.01 or more - you pay vat, and duty on the lot.

 

Duty is quite small though - usually 1-4% depending on the item.

 

It's all quite clearly documented in the link I put above:

 

http://customs.hmrc.gov.uk/channelsPortalWebApp/channelsPortalWebApp.portal?_nfpb=true&propertyType=document&_pageLabel=pageTravel_ShowContent&id=HMCE_CL_000014#P25_2720

I went through all the web info but still believe that it is wrong to charge VAT or duty on an item that has been sent as a replacement for an original, failed item that has already been subject to these charges.

 

Just a personal view of course.

 

As for corrosion warranty mentioned by the lad from Essex further up the page I'd have thought one of the biggest providers of this these days are car manufacturers?? If something is intended for outdoor use it should have a level of corrosion resistance.

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I went through all the web info but still believe that it is wrong to charge VAT or duty on an item that has been sent as a replacement for an original, failed item that has already been subject to these charges.

 

Just a personal view of course.

 

As for corrosion warranty mentioned by the lad from Essex further up the page I'd have thought one of the biggest providers of this these days are car manufacturers?? If something is intended for outdoor use it should have a level of corrosion resistance.

 

It is but it entirely depends on what the sender has written on the customs declaration. If he hasn't put warranty replacement item FOC on it then it gets charged simple. Handling the money for customs is a ball ache hence the charge for doing so.

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It is but it entirely depends on what the sender has written on the customs declaration. If he hasn't put warranty replacement item FOC on it then it gets charged simple. Handling the money for customs is a ball ache hence the charge for doing so.

Hear what you are saying mate but not sure from reading it that warranty replacement items sent FOC are even exempt when documented thus?

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Its a thin line, had you sent the faulty one back and then a repaired / replacement returned then that is easy and no charges as its purely a replacement then its slightly more murky but if written properly on the declaration it shouldn't be charged.

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