Following the end of the transition period and the UK's departure from the EU, new rules and regulations are now in force for the import of goods into the United Kingdom.
Here we will look at the calculation of VAT, customs duties, and excise duties for goods imported into the UK
. For questions and transport requests, please contact the specialists at A Logistics.
VAT (known in the UK as VAT) is charged on all goods that are not gifts worth up to £39 if they are sent from outside the UK.
VAT is charged on the total value of the shipment, which includes:
- the value of the goods in the shipment
- packaging, insurance, and shipping costs
- any applicable customs duties.
Different rates apply for VAT, depending on the goods:
- standard VAT – 20% – for most goods
- reduced VAT – 5% – for some goods, such as child car seats
- zero VAT – for most food and children's clothing.
VAT on goods up to £135
If the goods are worth less than £135 and are not excise goods, VAT is included in the total amount.
If the goods are gifts and are worth between £39 and £135, the recipients pay VAT to the supplier. This tax is also payable on excise goods worth between £39 and £135.
VAT on goods with a total value of over £135
Recipients of consignments containing such goods must pay VAT to the supplier upon delivery or in advance.
Customs clearance
All goods sent from countries outside the United Kingdom are subject to customs clearance if they are:
- excise goods
- goods worth more than £135.
Customs duties must be paid on the price of the goods as well as on the cost of packaging, insurance, and shipping.
No customs duty is payable on non-excise goods worth more than £136.
For gifts worth more than £135, up to £630, a 2.5% customs duty applies, but for some goods it is lower. For detailed information, please contact our specialists.
For gifts worth more than £630 and other goods worth more than £135, customs duty is charged depending on the type of goods and their origin.
Customs duty is charged on all excise goods.
Excise duty
Excise duty is charged on imports of alcohol or tobacco products into the United Kingdom.
We would like to point out that cigarettes are subject to a duty of 16.5% on the retail price plus £4.90 per pack of 20 cigarettes.
When importing beer, the excise duty depends on the alcohol content of the beer. For beer with an alcohol content of 1.2% to 2.8%, the duty is 8.42 pence. For beer with an alcohol content of 2.8% to 7.5%, the duty is 19.08 pence, and for beer with an alcohol content above 7.5%, the duty is 24.77 pence.
For wine, the duty depends on the alcohol content and whether the wine is ordinary or champagne. If the wine has an alcohol content above 22% ABV, the duty is the same as for concentrated alcohol.
For a liter of concentrated alcohol, a duty of £28.74 is payable.
Detailed information on duties can be found here.
When is there a risk of excise goods being confiscated when imported into the UK?
If excise goods are sent from an EU country to Northern Ireland, the excise duty must be included in the price. Otherwise, the goods may be confiscated.
If the excise goods are alcoholic beverages over 35 centiliters without a UK customs stamp, or if they are cigarettes or hand-rolling tobacco without the typical UK health warnings or fiscal markings, they may also be confiscated.
To comply with all requirements and be accurately informed about the VAT and duties payable on the goods you are importing into the UK, contact the A Logistics team. We will arrange for the preparation of documents and shipments and carry out the transport in accordance with all new rules and requirements.