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Avoiding Duty and Taxes on Imports

Discussion in 'Import & Export' started by ShippingDude, May 11, 2009.

  1. Import Expert

    Import Expert

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    3,331
    These countries are all likely to have a GSP Duty agreeement with the EU, giving a reduced or nil rate of Duty. You just need to ensure that your Supplier issues an original GSP Form A with the documentation.
  2. MSFB

    MSFB

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    Does China have a GSP reduced rate?
  3. Import Expert

    Import Expert

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    No - nothing reduced from China I'm afraid.
  4. James and James

    James and James

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    Because theft/fraud is easier than running a profitable business.
  5. 3d wheel aligner

    3d wheel aligner

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    Jul 14, 2012
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    as a wheel aligner exporter, generally i can help our customer to save cost for VAT or Tax like that , when i sent commercial invoice , bill of loading and packing list, for commercial invoice value, i will write small, for example ,Original amount is USD5000.00 i can write:USD2500.00 with our seal and signature

    How do you feel about this ?
  6. Import Expert

    Import Expert

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    3D - Quite simply thats illegal. I think the point that a lot of people fail to realise is that yes, perhaps in the short term you might get away with this. However it only takes a formal HMRC audit, whether it be on the VAT or Customs areas and they are likely to see that what you have paid the supplier does not match the commercial invoice provided (and as such the Duty/VAT paid). Is it really worth a UK importer risking this when the punishment will be best case a fine, worst case a custodial sentence at Her Majesty's pleasure. These audits will generally take place every three years or so and companies are now coming under a lot more detailed scrutiny than they used to.
  7. MSFB

    MSFB

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    It's illegal but very tempting. I was led to believe once that if you are on the flat rate VAT scheme then you can more easily get away with it as you aren't trying to claim back your VAT later and they have no reason to go back and check it.
  8. Aniltho

    Aniltho

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    I also appreciate in this view.
  9. Lace

    Lace Retired Moderator

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    Please be advised I deleted one of the posts here that encourages illegal tax avoidance practices. Inappropriate content like this is not allowed inside our community. Please refer to our forum terms.
    manishp100 likes this.
  10. Simone Guard

    Simone Guard

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    well I don't.... specially on my thread!
  11. manishp100

    manishp100

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    Hi was just reading posts on here as I do from time to time and also post replies as well.

    I have only been asked to pay customs fees once (by DHL) other than that my items come via courier airmail (99% of the time via DHL), are checked at customs and i dont seem to be charged for them.

    They are paper based card items (no duty on this from where i am importing)

    The orders are never worth more than £100 in stock price at any one time.. the delivery is a killer but thats how im operating at the moment and its working fine for me.

    Is there anything I might be missing here?
  12. jimmcdonald

    jimmcdonald Banned Member

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    if it is ok for Starbucks and Amazon is fine with me!!!!
  13. ShippingDude

    ShippingDude

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    If you think Apple doesn't utilize a licensed Customs Broker to pay out Millions, yes Millions, in taxes and duties disbursements to US Customs annually, you are mistaken, guys...

    I'm not sure that
  14. Generix

    Generix

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    The media stories about Amazon and Starbucks not paying enough corporation tax is a load of rubbish, published by media peeps who are either out to stir trouble and/or have a serious lack of understanding of how the tax system works.

    Don't believe everything you read, any semi competent tax specialist would agree that these stories are nonsense, I would hazard a guess that even non-tax specialist accountants would agree.

    Don't believe everything in the media, especially when it comes to tax, I have seen more articles written than I care to remember where the author/editor had no grasp of simple tax concepts but continues to write their interpretation of court judgements or planning schemes.
  15. J-illionairre

    J-illionairre

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    I must say that this is one of them most ridiculous things that I have ever heard!! The only benefit of this being wrote is to show everybody what NOT to do!

    This is unlawfully declaring your full tax requirements and I'd imagine would be classed as fraud and tax evasion.

    If you are exporting something for $5,000, then declare it is $5,000 and ensure the correct amounts are paid. By doing this, not only are you putting yourself at risk, but also those that you are sending things to if they go along with it knowing the full amounts are not being declared. It is because of folk like this which means there has to be so many investigations and checks carried out on everyone else who does do things correctly
  16. Generix

    Generix

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    Technically it's the importer who needs to declare the amounts correctly. Arguably the OP of that comment at worst is an accessory.
  17. junebao

    junebao

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    The custom duty mainly depends the CIF value, if you want to lower the cost, basically you need a better value.
  18. Generix

    Generix

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    Or to import from somewhere with a preferential Duty rate, or better yet, somewhere from within the EU.
  19. kinsorted

    kinsorted

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    x 2
    stock comes in via China Post
  20. soleburner

    soleburner

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    Nov 7, 2008
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    HI

    Just wanted to know, if I am importing items from US, the company charges me 20% VAT, I tried telling them its a TAX free sale, but they wont do it without this, its confusing to me as I am not VAT registered and I am a sole trader.

    So I get charged that VAT, and the customs import duty lol. I have stopped using this supplier at the moment till I can figure this out.

    If I changed into a Limited Company could I claim my VAT and Customs back?

    Any help will be delightful

    Kind Regards
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