Forum Topic

Any advice or thoughts on an import charge I was not made aware of?

Hello. I am hoping someone might be able to give me some thoughts or advice on an import charge I have just been invoiced for by FedEx.A couple of weeks ago I ordered a couple of shirts online. I was aware the company was based in Amsterdam, and agreed to pay the £28 shipping and handling fee.However today, just after the parcel was delivered, I received a text saying I owe FedEx an additional £71 import charge! Having gone back over my order, and various emails regarding my purchase and delivery, there is no mention of this requirement!Is this right? And if so, should I have been told about this either by FedEx or the company I bought from? They do ship all over the world, so me ordering from the UK is not something strange or a one off.Thanks in advance!

Mark Edwards ● 2036d29 Comments

I would be inclined to complain to the supplier, who presumably chose to use Fedex and should have advised you of possible additional charges. I have had similar issues in the past with items being shipped from the Far East, and I guess this is now one of those post-Brexit issues impacting on buying from the EU that have yet to be fully sorted out. However, for a couple of shirts the amount seems excessive.

Richard Greenhough ● 2036d

This is happening to an awful lot of people and at the risk of starting yet another online row, it's down to Brexit. You have to feel sorry for companies trying to sell to or from the UK as apparently it is now a nightmare of red tape. Hopefully things will improve, but there's no guarantee. In the meanwhile I'm afraid we'll have to think twice about buying from mainland Europe, a bit like we did with the USA as the cost of importing even low-value goods is insupportable.https://www.bbc.co.uk/news/business-56441829

Bruce Hammal ● 2036d

Did you open the package? I recently ordered a winter jacket from a store that looked like it was in the UK but turned out to be in Germany. The 1-2 days delivery became 14-21 days once I had placed my order and I received an email from DHL asking for £150.00 duty and VAT before they would deliver the jacket to me. I told them to send it back to the company and asked for a full refund (which I got). Nowhere on the website did it mention import duty, taxes VAT or delivery times. If you ask FedEx to return to sender then you won't pay any duty. If you opened the package then I think it's too late.

Chris Blackwell ● 2036d

Here's  more of the same.https://www.bbc.co.uk/news/uk-england-suffolk-55593308

Bruce Hammal ● 2036d

"buying from the EU that have yet to be fully sorted out."It's a feature, not a bug. A direct consequence of the skeletally thin deal negotiated by Johnson et al. We are a third country, import & customs charges from EU countries are now applicable.

Huw Burford-Taylor ● 2036d

Thanks everyone for your replies and advice. I have not yet opened the package, but annoyingly, they only sent me a text informing me of the additional cost after the package had been delivered.I have just complained to the company I bought from, who suggested I cancel the order, but once they found out I had taken delivery, they said it was too late! Nowhere on their website mentions this fee - just the delivery and handling costs. And it does seem rather sneaky of FedEx to advise me after the package was delivered. Might it be worth contesting?

Mark Edwards ● 2036d

A mix of the carriage companies profiteering and EU bureaucrats doing all they can to put spanners in the works.How did you pay? Best take it up with the credit card company or PayPal etc.

Russell Pearson ● 2036d

Spoken like a true lexiteer matey, when in doubt blame the EU boogeymen.

Matthew Swain ● 2036d

"..import & customs charges from EU countries are now applicable."Then it is down to the supplier to advise the customer at the time the order is placed.

Richard Greenhough ● 2036d

Napoleon tried the same 🤣

Russell Pearson ● 2036d

RP > "... EU bureaucrats..."How is the EU responsible for UK *import* charges?

John Whitworth ● 2036d

Hardly. The onus is on the buyer to find out if fees are applicable. It's happened to me plenty of times when I've ordered stuff from the US, charges are applicable and in this instance entirely our own decision to leave the single market & customs union.

Huw Burford-Taylor ● 2036d

Nope. Not nowadays. A seller has no control over, or knowledge of, where their buyers are located & it's not their concern either. The burden of responsibility is with the buyer to ascertain what import charges, if any, are applicable.

Huw Burford-Taylor ● 2036d

It’s not profiteering. It’s a direct consequence of leaving the EU and in particular the Single Market. What did people think would happen when we left the largest Single Market in the world (which ironically we mostly wrote the rules for)? As Johnson said, ‘ No country in its right mind would consider leaving the Single Market’But we did it anyway. And here we are.

Stewart Jones ● 2036d

"A seller has no.....knowledge of..where their buyers are located.."D'oh ! Then how do they know where to send the items to ? Any respectable seller should be aware of the likelihood of import charges being levied (or passed on) by their courier and advise their customer accordingly at the time the order is placed. The customer has no contractual relationship with the courier. In this instance, not only should the supplier have advised the customer, but the courier should have notified the customer of the charges before making delivery, so that if they did not want to accept the charges they could choose to cancel the order.

Richard Greenhough ● 2036d

This all seems correct  for the new rulesThe EU seller is not responsible for knowing or collecting the import charge. That is down to the delivery agent and is only now known when your package is about to be at your door.Order less than UK 135 in a single order and you should not have any surprises.  If so then enquire of your delivery agent why.Order over 135 and you have to be prepared to pay it or return it once known .

Andrew Craig ● 2036d

Rubbish. They have no knowledge of whether that is the ultimate destination or not, or simply a transhipment hub. It is entirely impractical in these days of transporting multiple small value items that a seller in country A can itemise all potential import charges to whichever country in the world might be buying from them, the most they can say is that import costs *might* apply and to check locally, which is what anyone buying from abroad should do anyway. As regards courier companies, it rather depends on the value of the order. Some advise prior delivery that a charge is payable, some don't. As you correctly point out there is no contract between recipient & courier, so there is no contractual reason why they should advise them of any charges due.With regards to charges now applicable from EU countries all this was foreseeable and foreseen. See also: Project Fear.

Huw Burford-Taylor ● 2036d

Nonsense. Someone buying a couple of shirts on-line is hardly likely to be a transhipment hub. "..there is no contract between recipient & courier, so there is no contractual reason why they should advise them of any charges due." Any respectable courier company would do so before delivering.

Richard Greenhough ● 2036d

Just to be clear, these are not new rules. These are the rules that were already in existence for ‘third countries’ . We have chosen to be a third country and hence those rules apply to us. In that sense they are new to us but that was our choice.

Stewart Jones ● 2036d

Never heard of sole traders operating from home then?As I said, some do, some don't, including multinational couriers. DHL tend to require payment to release items from their bonded warehouse, Fedex invoice in arrears (or certainly used to). There is no obligation or legal requirement for them to do one over the other, the responsibility for import charges is solely the buyers.

Huw Burford-Taylor ● 2036d

FWIW the maximum import duty rate on 'fashioned textiles' (this includes shirts) is 12% anything over this is solely at the behest of the courier who, it seems, are taking the opportunity to 'milk' the recipient. Couriers are legally bound to collect any VAT(the sellers must sell the goods nett of VAT) if the value is over £135.00 and are allowed to charge a reasonable handling fee for acting as 'collectors' on behalf of HMRC

N V Brooks ● 2036d

It isn't quite as simple as that - the charges are generally quite opaque and depend on the carrier.The import charges are mainly made up of:- Import VAT @ 20%- Import Duties (a lot are null or v. low)- Charges to process and pay the above on your behalf Some sellers might discount your order by the VAT - e.g. knock 21% off if coming from Holland, but many don't - either to improve margin, but often because they are subsidising the international delivery cost.We are working on the other side - exporting to the EU and I can give you an analysis of what it costs us.[NOTE: We have a Dutch subsidiary so are charging Dutch VAT, but orders are shipped from London].Order Value €39 sold to German customer (including Dutch VAT of €6.77 @ 21%)Shipping to Germany: £10.99 (2-3 days)Duties / Taxes: £16.00 [Fixed Charge Per Order]Brexit Adjustment: £4.50 [Fixed Charge Per Order]Fuel Surcharge: £1.20 [Variable]Import Export Taxes: £15.40 [Variable - import VAT + fees into Germany]Total Costs: £48.09Assuming the carrier is taking the €39 as the order value (we can't claim back the VAT already paid to the Dutch Authorities), then the import VAT would be €7.31 / £6.32.  There are zero import duties.We were charged £15.40 for Import Taxes - so there's already an extra £9 added onto the VAT payable.On top of that there are fixed charges of £20.50 per order - regardless of value.  This is a well known carrier - it isn't FedEx, but I can say the charges are comparable (in fact FedEx were a bit cheaper in our experience).I thought it interesting the OP paid £28 already in shipping and handling - that's quite a high delivery charge for 2 shirts which are being sent via DAP INCOTERM (recipient pays all import costs).As they are textiles, there may be duties to pay as well as VAT - plus fees to process that element of the transaction.However, as per my example and the OP's, the level of fees is much higher than you might reasonably expect.You well get more reasonable charges if it was sent via the postal service and delivered by Royal Mail - they would charge the import VAT (20%) plus an £8 handling fee.  We were charged so much because we were sending everything DDP (Delivered Duty Paid) so assumed responsibility for all charges.  My advice is to ask the sender to use a postal service and not a courier.

Ed Saper ● 2036d

Thanks, Ed, for the detail.I tip my hat to you given you've learned this in what, I'm guessing a few months since the new import rules? If they can be called rules given the target moving even though it hasn't yet been clearly defined.I find it naive anyone expects EU transactions would remain the same since the UK left the bloc.In 16 years of having things sent from the US, some gifts and some not, I still cannot predict or engineer how and when duties will be paid.

David Lesniak ● 2036d

Bought a Fiscar tree pruner from the U.S. it eventually cost me £125 withthe extra charges, was unable to purchase one here.

Janice Evans ● 2036d

Fiskar is correct spelling, they are available now about £50.

Janice Evans ● 2036d

Once again thanks for all the advice and information here - at least I will be aware of this in the future, and hesitate before buying anything outside the UK.In all fairness the company does seem to be above board and decent, and are looking into the possibility of reimbursing me for the extra charges. Fingers crossed!

Mark Edwards ● 2036d

The sender needs to complete an Airway Bill specifying the Importer of Record and the Ultimate Consignee (if different).Without that information, the package can't clear customs.If it was sent DAP - Delivered At Place - then that pushes all the charges (except the delivery fee) onto the recipient.It works a bit different for postal services - the sender puts the invoice details onto a CN22 form.

Ed Saper ● 2036d

Mark I bought some clothes via the US and the designer also uses fedex  the difference being when I paid the fedex box came up stating the import duty amount in addition to the delivery charge so all costs were covered at time of purchase. I would mention this to the supplier it this should be covered via fedex at time of purchase.

Jayne Thorburn ● 2036d

I'm sending a lot abroad to family and friends and on both sides we have to pay 1/3 more postage. On top my parcels - probably due to covid-19 - take 3.5.And we have to fill out a paper, okay that is the least to worry. If all goes back to normal I will deliver in person as it is almost the same and I know it arrives!

Katja Urban ● 2036d