Dear All,
I have bought and sold a fair few guitars in the last few years, but all in the UK market. Last month I bought a 1967 Gibson Hummingbird on Reverb from a chap in the United States. The cost was £2,900, including well-insured shipping, which I thought was a bit of a bargain.
However, I have now received a letter saying that I am going to have to pay an extra £743 before they will deliver it to me (£95 Customs Duty, £622 Import VAT, and £25 Clearance Fee).
I had no idea the charges were going to be so onerous, and was wondering if any Fretboard members know if there's anything I can do about it. Do the figures sound right?
Thanks in advance,
Clive.
Comments
My Trading Feedback | You Bring The Band
Just because you're paranoid, don't mean they're not after youI'd say (whilst I know it's a sore one), its not far off. I also buy and import (non guitar related equipment) from the US and we have to factor in similar 'extras' to what you've encountered here for the items we bring into the UK.
Cheers
Hugh
www.proudhoney.com
Of course in my case I'm probably going to have the joy of watching it set on fire/sawn in half before my eyes due to the presence of a rosewood neck.
VAT at 20% on Item Value & Shipping Cost
Possible Import Duty at around 3% of Item Value, this isn't always charged though.
Many Shipping companies such a Parcelforce will also add a 'Clearance Fee'
With a high clearance fee you can sometimes be in excess of 25% of the purchase price in duties.
Cheers!
Clive.
BTW i totally agree about the VAT on the shipping fees - actually the VAT generally.... but hey-ho...
At the moment I'm looking for:
* Hamer Watson, SS2, Vintage S, T62.
* Music Man Luke 1, Luke II
Please drop me a message.
https://reverb.com/uk/news/international-shipping-guide
It's not clear whether legally they need to do that or whether it's just a best practice thing?
One thing that does appear to be a legal thing is this:
"Instruments over $2,500 shipped anywhere except Canada require an Electronic Export Information (EEI) form".
If it's not got one then it may be that it won't be delivered anyway....or maybe a get out option for you if you think it's now too expensive?
https://www.shippingsolutions.com/blog/who-is-responsible-for-filing-the-electronic-export-information-eei
Failing to file through AES when required or filing incorrect information can lead to civil and criminal penalties up to a maximum of $10,000 per violation. The Office of Export Enforcement (OEE) within the U.S. Department of Commerce and U.S. Customs and Border Protection within the Department of Homeland Security are the two agencies tasked with enforcing these rules.
For the US and the rest of the world, permits are technically required on both ends and there is a fee involved.
If we are not in any customs union with the EU then CITES rules will apply to anything coming or going from the UK to anywhere. So a guitar bought from Thomann would require export and import permits.
The good news is that they are talking about relaxing the rules for musical instruments so it looks like if all goes to plan by September 2019 (or January 2020 at the latest) they should be removing the need for permits on “finished musical instruments.” But,
it’s early days on that and anything can happen...