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Buying ingredients and kit from Ireland after 31st Dec 2020

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foxbat

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Treading carefully here, this about the facts on the ground not the politics.

From next year the rules around VAT change for any country that we don't have a free trade deal with. Previously it was the receiver of a shipment that had to pay any duty and VAT and anything below £15 was exempt.

From January 1st 2021 the £15 exemption is abolished and any shipment with a value up to £135 must have VAT prepaid by the seller directly to HMRC before the shipment is made. Rules here. That means the seller must register for UK VAT with HMRC, quote:

This means that the following types of businesses will have to register for UK VAT (if not already registered) and account for VAT to HMRC
I'm wondering whether @Get_Er_Brewed and The Homebrew Company in Ireland are prepared to do this to continue selling into the UK (assuming the status quo post Dec 31) ?
 

Ajhutch

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GEB is in NI isn’t it? I know that may come with some issues, but not the VAT one presumably.
 

foxbat

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GEB is in NI isn’t it? I know that may come with some issues, but not the VAT one presumably.
Yes I've just realised that. So @Get_Er_Brewed are not affected. Me -> :doh: I guess this is just a general discussion then about anything we need to buy from overseas.
 

Cwrw666

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I wouldn't assume there's no issues for GEB. NI although part of the UK is going to continue as if it's still in the EU. This has already been agreed as part of the exit agreement.
The Homebrew Company must do a massive amount of it's business into mainland Britain so I expect they'll have it all sorted because without it they're screwed.
Having said that I've just had an order in from them so I'm sorted for the next few months - I wouldn't want to be needing stuff from them at the beginning of January!
 

Gerryjo

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Treading carefully here, this about the facts on the ground not the politics.

From next year the rules around VAT change for any country that we don't have a free trade deal with. Previously it was the receiver of a shipment that had to pay any duty and VAT and anything below £15 was exempt.

From January 1st 2021 the £15 exemption is abolished and any shipment with a value up to £135 must have VAT prepaid by the seller directly to HMRC before the shipment is made. Rules here. That means the seller must register for UK VAT with HMRC, quote:



I'm wondering whether @Get_Er_Brewed and The Homebrew Company in Ireland are prepared to do this to continue selling into the UK (assuming the status quo post Dec 31) ?
GetErBrewed are NI and THBC is UK reg as per website and assume they will have. I have the advantage of living in NI but we will be hit for a lot more.
 

Brewnaldo

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I use GEB a lot, so I hope it goes without hitch. One thing is for sure with any business we use though, if their costs go up, so do ours 😕
 

Gerryjo

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I use GEB a lot, so I hope it goes without hitch. One thing is for sure with any business we use though, if their costs go up, so do ours 😕
Regardless who or where we are we will all see considerable losses whether it be Extra tax, food bills etc and no wage increase for a lot of those still in work never mind those who have lost their jobs and nothing else going. It's going to be an uphill struggle for us all.
 

Brewnaldo

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Regardless who or where we are we will all see considerable losses whether it be Extra tax, food bills etc and no wage increase for a lot of those still in work never mind those who have lost their jobs and nothing else going. It's going to be an uphill struggle for us all.
Yes. Still, as we have this website the least we can all do is assist eachother in keeping the alcohol bills manageable
 

Brianbrewed

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TBH I think the main issue is no one is quite sure what is going to happen come Brexit.

There was a story on the Irish media that Brexit has a good chance to disrupt the supply of spuds for Irish Chippers.
ROI imports almost all of its spuds for chippers from England. (something to do with the sugar/starch balance).

Just another reason to hate the Tories if you're Irish.
 

foxbat

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One of the implications of the new VAT rules is that all the cheap goodies we've been getting on ebay and Aliexpress from China will go up by 20% because as "online marketplaces" ebay and Aliexpress are on the hook for collecting the VAT.
 

Zephyr259

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This is different from existing import charges isn't it? If I buy something from the US or Japan for example I'll get a customs bill which should also include the UK VAT. Currently, buying from Spain or Italy I pay VAT as standard but it's that countries VAT. I was assuming that once we leave I'd no longer pay the foreign VAT but would be liable for the UK one on import.

This doesn't sound like the case though?
 

foxbat

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This is different from existing import charges isn't it? If I buy something from the US or Japan for example I'll get a customs bill which should also include the UK VAT. Currently, buying from Spain or Italy I pay VAT as standard but it's that countries VAT. I was assuming that once we leave I'd no longer pay the foreign VAT but would be liable for the UK one on import.

This doesn't sound like the case though?
It's changing from you being liable to pay VAT on import to the sender being liable to pay before they send it.

How they'll police this I've no idea. Are they going to seize and destroy anything that shows up without a VAT number on the package?
 

Cwrw666

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It's changing from you being liable to pay VAT on import to the sender being liable to pay before they send it.

How they'll police this I've no idea. Are they going to seize and destroy anything that shows up without a VAT number on the package?
That's the wrong way round. Currently as part of the EU when you buy something the sender includes VAT in his own country which is included in the buyer's bill.
In future, assuming there's no deal, the sender will not charge VAT but on import to the UK your goods will be held until you pay UK VAT plus any import duties plus any handling charge.
This is what currently happens when we import goods from say the USA. BTW if the goods come via the post office, the handling charges can often equal all the other charges making it quite expensive.
 

foxbat

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That's the wrong way round. Currently as part of the EU when you buy something the sender includes VAT in his own country which is included in the buyer's bill.
In future, assuming there's no deal, the sender will not charge VAT but on import to the UK your goods will be held until you pay UK VAT plus any import duties plus any handling charge.
This is what currently happens when we import goods from say the USA. BTW if the goods come via the post office, the handling charges can often equal all the other charges making it quite expensive.
Wrong. From Jan 1st it all changes for goods under £135. Read the new rules on the Government website that I linked to on the original post.

 

Cwrw666

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Well I've just read the whole thing and am completely none the wiser. Just wondering how I've ever been able to buy anything from abroad. By what I've read it seems impossible.
 

jof

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What it means to me is that all the odds & ends I get from Ali Express that I am careful is always under the £15 limit, will theoretically increase in cost by 20% as Ali Express must include the VAT & pay it.
But I can also order items up to £135 now and not get stung with charges.
 

John Galt

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I think there is some confusion with VAT and the whole EU thang! It’s actually going to be easier for myself now due to brexit as I won’t have to complete a HMRC EU vat form every quarter detailing who I supplied services to within the eu and their vat numbers. It’s going to be the same as the USA and Switzerland, you just don’t charge them vat and don’t have to complete any forms to HMRC apart from the usual return.

Could definitely be open to abuse more so now. Carousel fraud etc. Saying that mine is services and not goods.
 
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