Post Brexit import experiences

[Wildhorses]

I am not surprised, because that corresponds to the tax amount I have to pay for anything coming from the US to France, as it has been for the last 20 years. In fact, 99% of the time I have always succeeded in asking the sellers to declare a low value for the customs, but when it was impossible, I had to pay between 25% and 35% of total amount including shipping.
For this last jacket coming from Scotland, the detail of the tax is :
Droits de douane : 104 Euro ;
TVA : 199 Euro ;
Taxe DHL : 17,5 Euro.

Should I call the police ? My jacket is a midnight blue CHIPS, that may help...

 

[Marc mndt]

Crazy. For that money you could have booked a round trip flight to Edinburgh for two to pick up the jacket in person and have money left in your pocket for dinner.

 

[Wildhorses]

I was hoping a change with Aero, but that did not happen. Sadly I won't buy from them any more, but not only. As I was saying in another thread, it's the same problem with US shipping, it's necessary to declare a low value to avoid that,
and not every seller is ready to accept this, especially because there is no real insurance possible if item is lost. I have been very lucky all theses years, but now that's difficult. Welcome to the France, the Queen of taxes.

 

[Wildhorses]

I did send a mail to Aero about the VAT removed from the invoice, since brexit, I am curious to know what they will answer. But I don't hope anything nice.

 

[Blackadder]

At the absence of their explanation (at least an explanation that does not raise more questions) all the rest is speculation. Let's stick to presenting the facts and asking questions and hopefully an official explanation will be provided.

IMO, the official explanation has been provided when Aero stated that their products sell at a much higher price say like in Japan and Aero's own profit margin on "local" sales is low. Reading between the lines, this arrangement has been there since the beginning to protect overseas dealers. This way, there is a guarantee 20% profit margin for overseas dealers even if Aero offers no wholesale/dealer discount.
For some companies, dealers' profit margin is protected in the form of exclusive dealership. That however may not be a sound arrangement given the scale of Aero's operation. I have yet to see Aero refusing direct order base on having a dealer located in certain countries.
It is just that such practice cannot be applied in the past within the EU where there is zero trade barrier when EU customers can and do order directly from Aero all the time.

 

[Canuck Panda]

Move to America. And you don't have to pay import duty under 800 dollars.

 

[Wildhorses]

I know I don't live in the right country...

 

[Wildhorses]

I got an answer from Holly at Aero, and that 35% tax did surprise her, it's way too high. She was kind enough to tell me something would be done with this order. And the company will launch a new website in the future, with a new pricing structure, where the cost will be dependent on location, so European customers will pay 20% less than UK customers.
Covid is the reason why it was not done earlier. This way the price increase should be less dramatic in the future. Brexit has been a big issue for many.

 

[born113]

European customers will pay 20% less than UK customers

I asked Aero the same question a couple of months ago. They pretended not to understand the question and told me that I should address such questions to my customs office

 

[Canuck Panda]

I got an answer from Holly at Aero, and that 35% tax did surprise her, it's way too high. She was kind enough to tell me something would be done with this order. And the company will launch a new website in the future, with a new pricing structure, where the cost will be dependent on location, so European customers will pay 20% less than UK customers.
Covid is the reason why it was not done earlier. This way the price increase should be less dramatic in the future. Brexit has been a big issue for many.

Bingo! Can't wait to see their new website.

 

[Wildhorses]

Finally, Holly told me they don't understand why the tax I had to pay is much more than 20%, and they decided they would not give any refund. They told me to contact DHL for a refund, pretty funny.

There is : VAT+custom fees+DHL tax, which is around 35% of the full amount including shipping.

Again I'm not surprised.
This was my last buy from Aero, they won't hear of me again, I don't like to be played with.

 

[Marc mndt]

They told me to contact DHL for a refund, pretty funny.

There is : VAT+custom fees+DHL tax, which is around 35% of the full amount including shipping.

I tried that. It took me (and the seller) several tries / 45 minute calls before we got a dhl representative on the line. Their answer: it is what it is. I decided not to pay, DHL handed the case over to some aggressive debt collection agency.

 

[Wildhorses]

I tried that. It took me (and the seller) several tries / 45 minute calls before we got a dhl representative on the line. Their answer: it is what it is. I decided not to pay, DHL handed the case over to some aggressive debt collection agency.

In France it's different : you don't get the package delivered if the Tax is not paid first.
Aero did a bad thing and acts like they don't understand.
Before Brexit you could read the VAT amount on their invoice.
After Brexit they did remove the VAT, but the price was the same (even higher, in fact).
This way you pay the first VAT to Aero, then you pay VAT+ additional Customs+DHL fees on : (Total amount + already paid first VAT). This makes close to 3 VAT paid in the end.
I can't do anything with DHL or customs, you can't change the regulation.
But Aero is inconsistant.

 

[Rich22]

Aero would have to register to pay VAT to France, otherwise it's on the customer to pay the tax (as well as the duty/fees) on arrival of the product. With the new EU laws, it does fall to the individual to check with whoever they are buying from that they have bothered to register and fill in the proper forms, otherwise they're the one out of luck, with no right to complain to the seller. Items with a declared value over €150 will get stung for the relevant duty, and whatever malicious fees the delivery company feel like imposing, regardless of whether the tax is already paid, though it should be possible for a seller to calculate and take care of all of that in advance.

Edit: Of course I can't say why Aero are/were charging foreign customers UK VAT... again, that's a conversation that foreign customers should have with Aero before buying. Sorry to say.

 

[MrProper]

In France it's different : you don't get the package delivered if the Tax is not paid first.
Aero did a bad thing and acts like they don't understand.
Before Brexit you could read the VAT amount on their invoice.
After Brexit they did remove the VAT, but the price was the same (even higher, in fact).
This way you pay the first VAT to Aero, then you pay VAT+ additional Customs+DHL fees on : (Total amount + already paid first VAT). This makes close to 3 VAT paid in the end.
I can't do anything with DHL or customs, you can't change the regulation.
But Aero is inconsistant.

Even though it's very annoying, you don't pay VAT twice. At least not in the tax sense. In fact, you just pay 20% more than a UK citizen. I.e. Aero simply earns one fifth more from you. Because for your purchase they will not pay VAT in the UK, because it is an export to a third country.

 

[Wildhorses]

Even though it's very annoying, you don't pay VAT twice. At least not in the tax sense. In fact, you just pay 20% more than a UK citizen. I.e. Aero simply earns one fifth more from you. Because for your purchase they will not pay VAT in the UK, because it is an export to a third country.

The fact is the VAT was mentioned before Brexit, and it's not anymore, it's been a surprise and it's unfair.
That's not correct, and they know that.

 

[born113]

In France it's different : you don't get the package delivered if the Tax is not paid first.
Aero did a bad thing and acts like they don't understand.
Before Brexit you could read the VAT amount on their invoice.
After Brexit they did remove the VAT, but the price was the same (even higher, in fact).
This way you pay the first VAT to Aero, then you pay VAT+ additional Customs+DHL fees on : (Total amount + already paid first VAT). This makes close to 3 VAT paid in the end.
I can't do anything with DHL or customs, you can't change the regulation.
But Aero is inconsistant.

There are intermediaries (mail forwarding) in the UK who, for a very small fee, will return the VAT to you and send it to another country.

 

[Rich22]

There are intermediaries (mail forwarding) in the UK who, for a very small fee, will return the VAT to you and send it to another country.

How would that work?

 

[born113]

How would that work?

It works like any other exporter. Just like Aero can and should do. Any exporter returns the previously accounted VAT. Moreover, this happens in all countries. The British intermediary buys the goods in his own name and sends it to you.
Aero has a UK VAT number. You can see it on their invoices. Any of its products can be VAT refunded.

 

[Wildhorses]

Here is the invoice, VAT : 00,00
Aero clearly has hidden the VAT amount, to keep it.