HMRC has highlighted an important change which is likely to affect individuals who are making preparations to purchase presents for their family, friends and other loved ones this Christmas. It will therefore be important for Britons to pay attention in order to avoid being caught out by charges which could otherwise spring up on them and dampen their shopping experience. There are now less than 100 days until Christmas, and many people will be preparing to ensure they have everything ready for the special day – including the all-important presents which millions will exchange right across the country.
However, HMRC has warned unaware people could be caught out by unexpected charges, especially if they are buying from overseas traders.
This year, on January 1, 2021, changes due to Brexit were introduced. This means some UK consumers who are purchasing items from EU businesses may now need to pay customs charges when their goods are delivered.
In the past, some consumers have needed to pay charges when they purchase certain items from sellers who are not based in the European Union.
But now, the same rules apply to items which are bought from the EU due to the UK’s exit from the trading bloc.
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However, these should be charged by the seller at the point of sale, so there should not be complications concerning this.
Those purchasing more expensive items from abroad could need to pay important VAT, customs duty or excise duty when they receive the order concerned.
Katherine Green and Sophie Dean, Directors General, Borders and Trade, HM Revenue and Customs (HMRC), commented on the matter.
They said: “With 100 days until Christmas, we want to remind shoppers of the changes introduced since January 1, so that their present buying experience is as smooth as possible, and that online shoppers don’t inadvertently get caught out by any unexpected charges.”
The Government explains that anything which is posted or couriered to a person from another country will go through customs.
This is undertaken to check it is not banned or restricted, and that individuals will pay the right amount of tax and “duty” on the goods.
This will include anything new or used that a person:
- Buys online
- Buys abroad and sends back to the UK
- Receives as a gift
To qualify as a gift, goods must be described as gifts on the customs declaration, as well as being purchased for a birthday, anniversary or other occasion.
The gift must be bought and sent between individuals, not companies, and must be intended for personal use.
It has also warned that goods may be seized if a person does not follow the rules. Britons could also be fined or prosecuted.
To provide further assistance, the Government has also published additional guidance.
It has encouraged Britons to visit its official website to find out more and clarify the rules for their personal circumstances.
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