The recent release of Google’s Nexus One phone has been met with mixed feelings amid reports of poor Customer service and bugs affecting certain functions; but, one thing is certain, it’s a nice piece of kit and there’s huge interest in the UK with people scrambling to be among the first to own the latest gizmo.

Whilst the Nexus One will eventually become available through Vodafone, the launch date has yet to be confirmed, so buyers are looking to the States where the phone is already available (and cheap) – but, the one question affecting that decision to purchase from abroad remains ‘What import taxes will I have to pay ?’. We’ve seen a range of rates put forward in various chat forums….so we’ve decided to put the record straight, here and now…. !

Currently, HM Revenue & Customs consider the ‘essential character’ of the Nexus One (and the iPhone for that matter) to be that of a mobile phone.

So what ? You ask. Well, it’s good news for you technology addicts….mobile phones are duty free on import into the EU ! (But please beware, you will still have to pay import VAT calculated on the sum of the price of the phone + shipping + insurance).

The ‘essential character’ really does work in your favour (sometimes); for example, stand alone Sat Nav’s attract duty at 3.7% and you’d have to pay a whacking 13.9% import duty on a DVD player, but you can ship a mobile complete with GPS application and video playback function and its’ still classified by Customs as a mobile phone – duty free – happy days !

So, what better reason to get on line and get to the front of the queue for that latest ‘must have’ smart phone.

Sean

DutyCalculator.com | Taking the guesswork out of import duty

CNET was unhappy with the vague information that Google provides when it comes to the import duty & VAT charges due when you import the new Google Nexus One. They prefer to consult the Duty Calculator instead, to get the accurate import duty & VAT charges.

Here is what CNET says: “Google includes a page on its Web site that offers to estimate your costs, but it’s pretty vague. We prefer Duty Calculator, which knows that customs doesn’t charge duty on mobile phones. You will have to pay VAT, though. There’s duty on the charger, but it’s so low that Her Majesty will waive the damage — no wonder we adore her. The total duty and VAT at the current HMRC official exchange rate is £63.40.”

Nice one, you can’t rely on Google for everything!

Happy bundling

Andre

Just so you are all aware, HMRC have announced the following changes to the de minimus levels for the collection of import duty into the UK from outside the EU as of 1st Jan 2010.

1. Duty of £ 9.00 or less will not be collected (amended from £8.00)

2. Goods of a value (excluding freight & Insurance) of £135.00 or less will be admitted duty free (amended from £120.00), but VAT remains payable.

Every little bit helps. Happy bundling

Andre

This week Watches topped Ugg boots as most popular import item on the Duty Calculator.  Ugg boots still were number 2, followed by laptops and digital camera’s.

Import duty on watches is not calculated on a straightforward percentage rate. The duty payable on a watch is expressed as 4.5% of the product value + shipping costs with a minimum of €0.30 and a maximum of €0.80. In general, the duty payable on a single watch normally equals €0.80. You can find more information on the world of import duty calculations for watches here.

Our users are buying mostly from the USA, China and Hong Kong. Those countries cover over 80% of the calculations. The most popular categories are Consumer electronics, Apparel and shoes.

For over 70% of the calculations there is no import duty,  either because the total duty amount due is less than £8 (or €10), or the total value of the imported goods is less than £120 (or € 150) or, even better, some items are even duty free! For around 15% of the items, also the VAT results in zero. Neither duty nor VAT is payable if the total value of the goods (not including shipping charges or insurance) is less than £18 (€22, or equivalent in local currency).

Happy Bundling!

Listening to our customers is key to our business

After receiving customer feedback and careful review we made registration for the Duty Calculator optional. Now you can make import duty calculations without having to register for the Duty Calculator. If you register, you are able to save and email calculations. Also we have added explanatory notes to the calculation results, for example when the duty defaults to nil, or when multiple products fall under the same customs code.

Happy Bundling

Andre