UK VAT to EU buyers

HI I'm looking for some advice.  I'm having a problem buying from a UK company on ebay who says on his listings that his invoices inclulde UK VAT and it is itemised separately on his invoices plus he shows his UK VAT number

 

I've explained to them that I am in the EU and since Jan 1st, UK selles can not charge VAT to EU buyers.  Actually I am in the Canary Islands so I'm in the EU but not in the customs union and we were already exempt from paying UK VAT anyway ut that should make no difference.

 

However the seller is telling me that his ebay prices are already VAT exempt when he clearly states on his listings that they are VAT inclusive

 

I did a bit of reseach an It says this on the UK government website

When the UK leaves the EU VAT area, it will become a third country. This means that the way businesses manage VAT on goods and services exported and imported to/from the EU will change. Sellers will not charge VAT, but buyers will have to pay VAT to HMRC at the point of import (alongside any applicable customs duties).

 

The probleim is that EU buyers ordering form the UK now have to pay VAT (IVA) which is generally 21% on all items they purchase from the UK, plus the couriers fee for completing import paper work (10-20 euros typically) plus 21% on the paper work charge.

 

I don't understsand why the UK seller will not give me a VAT exempt prices.  Otherwise I am paying UK VAT plus import paperwork plus local VAT which makes the goods too expensive to buy, I may as well order from France or Germany or Spain.  

 

As this issue basically prevents 550 million EU citizens from buying from UK suppliers at a reasonalble price, or indeed the correct price, I don't understand why the seller is causing me problems - surely they want my business and surely they can't afford to lose 550 million prospective EU customers?

 

Also it appears it is illigal for the seller to charge me UK VAT.  I have asked again for the seller to clarify the paradox between telling me the goods are VAT exclusive and listing them as VAT inclusive.  if I don't get a satisfactory answer should I report this matter to ebay?

 

Also as an aside how does this issue affect none VAT registered  UK ebay sellers?  Can they no longer sell competitively to the EU?

 

 

Accepted Solutions (0)

Answers (3)

Answers (3)

fargvs
Experienced Mentor

'' Actually I am in the Canary Islands ...'' ... Your account profile is showing as Based/Located/Registered in the UK, so eBay UK site/Government rules are applied ... see >

 

'Goods in the UK at the point of sale - sold by an overseas seller through an online marketplace'

'Goods located outside the UK at point of sale'

https://www.gov.uk/government/publications/changes-to-vat-treatment-of-overseas-goods-sold-to-custom...

 

papso22
Experienced Mentor

Its not the sellers fault it is a site wide eBay error that they are supposedly sorting out.

arkwebus
Experienced Mentor

I believe that CI does not have VAT. Theoretically the UK seller [if VAT regd] could zero rate the sale but I doubt eBay can cope with that

 

@juliedurose1