Page 1 of Custom charges?
General Forum
Anybody know how custom charges are calculated? Ive just ordered goods costing about £26 from Amazon.ca and although it should be marked gift im just wondering if i do get stung how much would it be. Thanks.
It`s 3.5% on the value of the goods i.e.excluding p&p. Then it`s 17.5% on the total of goods value+duty+p&p. You can also add whatever handling fee the post office care to to charge - about £2.50 or so.
SN
You take the cost of the goods plus the P&P charges and convert to pounds according to the rates at http://www.hmce.gov.uk/business/rates/rates.htm then take 17.5% of that for VAT and add the P.O. charge of £3.85 (assuming you did not use one of the more expensive options). See also http://www.hmce.gov.uk/forms/notices/143.htm
You will note that I have *NOT* included the 3.5% customs duty, as I have never been charged for that - don`t ask me why - but working it out as outlined above, excluding customs duty, gives the result exact to the penny.