Home Forums General General new eu tax system ioss ?

Viewing 6 posts - 1 through 6 (of 6 total)
  • Author
    Posts
  • #159460
    Avatar photowardog
    Participant

    the eu have set up a new system of doing tax etc on items going from uk  to eu you may already know it

    called ioss (import one stop shop ) ,i know of one manufacturer who stated here while back that they were signed up (can’t remember who now)

    is it possible to set up a list/sticky here or maybe it might be on another site somewhere of uk manufacturers signed up to this (i know peter pig is not from what i read on their site ,rest i don’t know )  being eu i don’t fancy being suprised with additional customs/vat that i thought was already in price

    #159474
    Avatar photoMartinR
    Participant

    Judging by the comments on the HMRC Vat forum, ioss is just yet another source of monumental confusion (and doesn’t apparently apply to the export of goods for companies which aren’t registered in an EU state? but what do I know?). Good luck in getting and maintaining a list of registered companies…

    "Mistakes in the initial deployment cannot be rectified" - Helmuth von Moltke

    #159484
    Avatar photowillz
    Participant

    This is from Brigade models web site.

    As you may or may not be aware its has become somewhat problematic to send or receive items from out side of the UK from Jan this year.
    Found this information on Brigade Models Web site, this explains some of the changes since brexit and gives some hope that things will improve.

    First, the bad news – as of the end of this month (June 2021), the 22€ threshold for import VAT on packages into the EU will be abolished; from July 1st, all packages into the EU from outside will be subject to VAT at the local rate for the destination country, regardless of value, and most if not all postal services also charge a fee for this. Obviously this is not something we have control over, but we thought it fair to warn you – we wouldn’t want anyone to be surprised by this. This is likely to have the effect of making small orders from the UK to the EU uneconomical, since the fee alone can be in the order of 10-15€.

    However, a new system called IOSS (Import One-Stop Shop) is coming into operation at the same time. Under this system, the seller (us) will charge the buyer (you) VAT at the time of purchase (just like we used to do, but at your national rate instead of the UK rate). We account for this on the customs label on your parcel, and it should go through your postal service without any further delays, checks or fees. This makes the process easier for you, since you won’t face any surprise fees when the goods are delivered, everything is paid up front. There are a couple of minor wrinkles in this (there’s a maximum order size of 150€) but nothing insurmountable

    #159485
    Avatar photowillz
    Participant

    Taken this information from another blog…..

    After the well known impact on the wargame hobby of the Brexit, the IOSS rulings came into play since the 1st of july.

    Now, what this very basically means, is that there is no longer any chance that a parcel bought outside of the EU get’s past customs without charges.  You are now, no matter how small, and including the costs of shipping, required to pay VAT, import costs and most expensive usually of all: the rates postal services charge to actually bring the parcel to customs.  In case of Bpost, it’s 15 euro under a total value of 150 euro, 32 above that.

    Needless to say, that makes parcels run up in price pretty swiftly, often the costs outweighing actual taxes.  I had it recently with a Miku I won on an online cranegame: 2.66 euro VAT, but 15 euro service cost.  Still under half the price she is here on pre-orders (about 39.99 at most stores), but before she would indeed have been free, with free shipping…

    This all means that now you have to do some research and puzzling before ordering figures from Japan for example.

    Often, local stores (local as in within the EU) have the models as well, but often 40 to 50% above the price of the japanese biggies like Mandarake or AmiAmi.  But with costs like shipping, VAT (because they aren`t “in” on the new system, meaning you pay VAT twice unfortunatly) and declariations, you swiftly come to the same, if not more expensive, prices.  This is also what made us decide here to go for the EU stores unless it are pre-orders (AmiAmi is one of the only stores not requiring payment up front, as pre-orders can often take up to two years before actually being released), OR things no longer found (aka, their pre-owned section, which are usually just brand new, but older, figures).  But outside of that, it seems for the current day models it is far more intresting to look for the more expensive at first sight, yet not in the end, stores within the continent.

    Now, it doesnt end there.  Oh no, that would be simple wouldnt it.  You see, now it has also been decreed that if you run your own shizzles on the side, like ebay, etsy, webstores, bricklink or whotnot’s, you also need to register for VAT in EACH and EVERY country you ship to.  Luckily, not immediatly but from the moment your total sales go over 10.000 EUR.  While this might seem like a lot, take into account that is actually slightly under 835 euro a month.

    Again, that sounds like a lot, as that means a like over half of a monthly average wage here in Belgium, but you might be amazed if you dont be carefull how fast it is reached.  As most geeky hobbies arent cheap, this quickly runs up if you sell some, I don`t knwo, Zero Two figures, or some GW starters, or some rare Pokemon cards… and now that eBay no longer is a 1-2 with Paypal, but pays out directly to your bank account, the government knows all to well what is coming in.  And the final, hopefully temporary, thing?  Delays!  Already, with less then a month that the system is in place, customs is swamped.  Parcels coming into the country the 14th, went to declaration status on the 23rd, to be treated “within the next 7 working days”.  So that will be around 3 weeks it is standing somewhere in a warehouse to be declared… better get those christmas gifts ordered around september or so!

    So yeah, for those reasons, both in and out going, IOSS is another little annoyance after the Brexit that came into play this year.  Shop carefull my followers, and believe me, it is really starting to pay off if you do your shopping with research… and a calculator at hand!

    #159486
    Avatar photowillz
    Participant

    From what I can work out to register IOSS cost a company / individual  this, so if you post less than 2400 parcels to EU a year it will cost at least £750 a year ie 100 parcels an additional £7.50 each parcel before postage.

     

    https://www.desucla.com/service-ioss/#:~:text=How%20much%20does%20it%20cost%3F%20%20%20Price,%20%20%C2%A33%20%201%20more%20rows%20

    No of shipments              one off payment    Annual payment    Monthly VAT payment

    Tier 1,   20000                               £175                      £1945                          £20

    Tier 2,   12500 – 19999                 £65                        £1500                          £10

    Tier 3,   7500 – 12499                   £40                       £1500                           £5

    Tier 4,   2400 – 7499                    £20                        £745                             £3

     

    https://community.hmrc.gov.uk/forums/customerforums/vat/c14fc8ab-1c79-eb11-8ced-00155d975a0f?environmentid=302efd07-28d9-4d2d-b558-96167951ad6a&instanceid=a597504d04a4bb873c98faa2436077bc03bc8fb1fd56c877805eb305ea4ce58e&licensetype=Dynamics365&mscorrelationid=fe936fd2-4ffc-4a50-b933-c4a8978eb053&orgid=13212d7e-6a5d-4598-95ba-4a07545dbb67&portalapp=site-e1cfc2ea-2de6-4c96-8e99-76600a349358-UKw&portaldomain=https%3A%2F%2Fcommunity-origin.hmrc.gov.uk&portalid=e1cfc2ea-2de6-4c96-8e99-76600a349358&portalproductionortrialtype=Production&portaltype=Community%20Forums&tenantid=ac52f73c-fd1a-4a9a-8e7a-4a248f3139e1&page=4

    #159591
    Avatar photoIan Marsh
    Participant

    IOSS is not viable for small businesses with limited sales to Europe. The Desucla platform mentioned above actually has a tier 5, annual fee £475, which if you indeed send 100 parcels to the EU a year will work out at just £4.75 extra per shipment. I don’t get to that level of EU orders nowadays, so the cost would be higher (whereas if I were still Eureka’s agent, the cost would be less, because the EU accounted for several hundred orders a year).

    However, it’s not a bargain for some countries, which charge only a small handling fee for collecting VAT on import (e.g. Germany, Finland, Sweden). It’s only attractive for those countries that have a high handling fee (e.g. The Netherlands, Belgium). And as Andrew Rae of Statuesque Miniatures has pointed out on various forums, some countries are still adding a handling fee to IOSS shipments to help cover the cost of introducing new technology to cope.

    There also remains the issue of having a shopping cart system that will charge VAT for EU orders under 150€ for the IOSS, and not charge VAT for orders over that value. And the grey area of exchange rates that make the breakpoint fuzzy for sites priced in other than euros.

    Ian
    Fighting 15s
    www.fighting15s.com

Viewing 6 posts - 1 through 6 (of 6 total)
  • You must be logged in to reply to this topic.