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Tax breaks announced for online Christmas shoppers
Thursday 13th November 2008, 4:39PM GMT.
HM Revenues & Customs (HMRC) is dropping tax on internet shopping for non-EU purchases up to £105 (€150)
Currently customs duty is paid on goods bought outside the EU worth over £18 – but this threshold is being raised to £105 from December 1st.
VAT will still be charged on goods over £18 (€22).
HMRC director of customs & international Doug Tweddle said: “Whether you’re looking to get your hands on the latest computer game, designer clothes or DVDs, it’s important to be aware of the law on customs charges, especially as this is about to change.”
He added: “If you’re buying goods from countries outside the EU, it’s in your interests to know what the rules are. For example, some websites don’t always make clear there is duty or VAT to pay, while others may misrepresent or undervalue your goods to try and avoid paying charges.
“But if goods are found to be wrongly declared, they may be seized and the customer penalised.”
More information is available in a podcast from the HMRC website.
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