Does that mean if I have my own store and use for example
platforms like these to ship to my customers that I am not forced to register for VAT or collect VAT from my customers
and this liability belongs to these platforms
or I understood wrong??
Hello @ali426 !
Yes, you understood correctly - if you’re a merchant using an Online Marketplace (OMP) to supply imported goods with a value below ￡135 to UK customers, the VAT liability will be shifted to the OMP.
So the liability goes to the Online Market Place - not to you.
now I work spocket to supply my product so I can ship to UK and no need to collect anything from my customers
and by the way I have ltd company based in UK does that differs anything or we still with the same situation
one more thing that mean if I work with ALiexperss or spocket I can ship worldwide without be concerned about any type of sale taxes right?
Hello @ali426 ,
Yes, you can ship to the UK - no need to collect anything from the customer as far as your goods are below £135.
As long as the criteria is followed its same for company or individual.
Regarding shipping goods worldwide, sales tax will vary from country to country – you’ll need to check on that.
thank you very much @DigitalArtisans
I only had enquiry about dropshipping services like
these sites source to your store from china manufacturers to their warehouse
check quality then fulfill the orders to your customers ,
so do we deal with DS services like Aliexpress and cjdropshipping
or here we have a different case and now we should deal with taxes and collect them from customers
Hyde here from Shopify. Great question!
That document does indeed say that "Orders above ￡135 will be subject to duties and import VAT", whereas orders "using an Online Marketplace(OMP) to supply imported goods with a value below ￡135 to UK customers, the VAT liability will be shifted to the OMP".
This doesn't necessarily preclude you from registering for VAT, because if the orders are above ￡135 I think you will be liable for VAT yourself.
All that said, you will need to consult with a tax expert on this issue to be absolutely clear on UK tax legislation.
All the best, Hyde.