VAT and Duties from EU to UK

[vtosi]

Hi everyone, 

I'm assessing the possibility to ship to UK from Italy including duties and VAT for the clients. Specifically I'm going to: 

- manually set the prices for UK including the duties and the VAT through a formula

- I have already set "Include sales tax in product price and shipping rate"

- additionally flag "collect taxes" under the UK market because i would like for the client to see the amount of VAT that is included

The doubt comes up here in order to be compliant with UK VAT: i have an Italian VAT number (no UK) and i'm planning to pay the duties and VAT when i receive the notification from the courier, is it enough or there are other things to keep in mind?

Thank you so much!

Best regards

[TeemuEAS]

Hi Vtosi! 

If your products are not excise taxed and shipments are below £135, you can take advantage of the UK Low Value Consignment simplification. You just have to register for UK VAT first. You do not need a 3rd party to do the registration, but we highly recommend having a partner like EAS to handle reporting. HMRC penalties for non-compliance are disproportionate. You can find instructions for the registration in EAS Project help centre. And now for the bad news: it will take 8 weeks to get the number. You can use the following method for selling while you wait 

If your products do not qualify for the simplification, then get a Delivered Duty Paid (DDP) contract with a courier. Make sure your store collects the taxes and duties correctly. Courier will pay taxes and duties to UK customs on entry and invoice you for them along with the shipping. As mentioned, no value thresholds exist for DDP. 

We are happy to guide you through. Our Shopify solution can be viewed here: https://apps.shopify.com/eas-eu-compliance