Buying a frame from Taiwan and tax

keithc440
keithc440 Posts: 277
edited August 2009 in Road buying advice
Anyone know what tax I would be liable on a frame bought from Taiwan ? I assume there will be VAT at 15% but would there be additional duty payable as well ?

Comments

  • Monty Dog
    Monty Dog Posts: 20,614
    There's duty payable too for bike parts - something like 4-7% tariff and you need to add it to the cost of the whole consignment including shipping costs, it works out that you take the whole cost of your consignment, add duty and compound with Vat - for a £100 consignment with 7% duty your total cost = 1.15((1.d)*£100) = £123 where d=duty e.g. 07 for 7%
    There will probably also be additional customs handling charges from the shipping company. Shipping a bike frame from Taiwan DHL is about £70 too, which when you add duty and vat adds £86. When you understand the total costs, sometimes the bargains aren't as good, particularly as you could get no warranty and what if the consignment gets damaged / lost? Don't skimp on the insurance either - lots of stuff disappears/ gets damaged in transit, and putting a low value on the customs invoice can leave you stuffed if it gets lost/broken.
    Make mine an Italian, with Campagnolo on the side..
  • keithc440
    keithc440 Posts: 277
    Thanks for the very thorough explanation. I had been looking at some of the frames from this site http://shop.cycletaiwan.com/ but this gives me food for thought.
  • Rockhopper
    Rockhopper Posts: 503
    More info here...

    http://www.bike-eu.com/facts-figures/eu ... -2009.html
  • desperate73
    desperate73 Posts: 135
    Ofcourse if it is a gift, or returned warranty item, or has no value on paper then there is no duty to pay.

    Worth sorting out with the seller and to get the sale i'm sure they'd help. They'd also know which way round would be best.
    Account requested to be deleted
  • desperate73
    desperate73 Posts: 135
    Ofcourse if it is a gift, or returned warranty item, or has no value on paper then there is no duty to pay.

    Worth sorting out with the seller and to get the sale i'm sure they'd help. They'd also know which way round would be best.
    Account requested to be deleted
  • aracer
    aracer Posts: 1,649
    Ofcourse if it is a gift, or returned warranty item, or has no value on paper then there is no duty to pay.
    Wrong - you still pay duty on gifts.

    Meanwhile I'm impressed as always to see tax evasion advice on cycling forums.
  • top_bhoy
    top_bhoy Posts: 1,424
    aracer wrote:
    Ofcourse if it is a gift, or returned warranty item, or has no value on paper then there is no duty to pay.
    Wrong - you still pay duty on gifts.

    Meanwhile I'm impressed as always to see tax evasion advice on cycling forums.
    ....I'm impressed that you have never injured yourself from falling off that high moral horse you have!!! The self-righteousness like yourself are terribly irritating. I spare a thought for your friends and family having to suffer your continual pontificating.
    Click here to view Top_Bhoys Pedal Force:
    Click here to view Top_Bhoys RC2:
  • Rockhopper
    Rockhopper Posts: 503
    Its not tax evasion ...







    Its smuggling :-)
  • Wappygixer
    Wappygixer Posts: 1,396
    To be honest at those prices I'd rather spend just a little extra and buy a frame from Planet X.At least if you require warranty it wont cost you an arm or a leg to return it and turn around should be so much faster.
    Chain reaction also have some cheapish carbon frames around the £400-500 mark.

    Heres a guide on UK import duty etc. http://209.85.229.132/search?q=cache:FKuuE1m5YS0J:www.hmrc.gov.uk/VAT/sectors/consumers/goods-imported.htm+do+you+pay+duty+on+gifts&cd=1&hl=en&ct=clnk&gl=uk&client=firefox-a

    If you go ahead and buy from this company and want to avoid duty get them to send any invoices and paperwork seperately, also if they will declare it as a gift ask them to pop a birthday card in for good measure, worth a laugh if nothing else :lol:

Categories