just bought on eBay and I saw suddenly a “UK VAT added to price” for the first time is this correct

[laugb2001]

Hi,

I just bought an item on eBay and I saw added to the final price before payment a "UK VAT added to price" to a value of 20%. I have never seen that before in more than 18 years on eBay. The seller is in UK and I am also in UK. Is this correct and have I really to pay it?

thanks.

Lau

[elitegiftsltd]

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@unclestein wrote:

The goventment ARE seeking ways to recoup the billions spent on the Covid-19 scandal.

I was subject to a 'Tax Assessment Compliance Check' which I wouldn't wish upon anyone (basically they will try and pull you apart, don't tell them anything more than they need to know). Some companies end up paying hundreds of thousands back, and they are named and shamed as 'Tax Evaders'.

I wonder if Amazon, Ebay, Google and Starbucks should have a compliance check?

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Google did have a compliance check, it took years and considerable resources. And basically found nothing wrong. 

Would a 6 year compliance check of the other companies produce anything different? They appear to be acting as required, like google was. 

[elitegiftsltd]

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@a.f.d wrote:

I bought a second-hand camera lens from a seller in Japan and was charged VAT on the item and the postage,

I have bought from Japan before without VAT being added.

HMRC say the item has a value even if it is secong-hand  - OK but under UK rules THERE IS NO VAT ON SECOND HAND ITEMS;  THERE IS NO VAT ON POSTAGE!

If this is the UK govt trying to collect tax fron ebay they have got it wrong - they are collecting tax from us!

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Of course.

You as a consumer will always be paying the taxes. No one else is going to pay it for you.

They require ebay to collect VAT on certain transactions. Whether rightly or wrongly ....

As there's no VAT payable and you've been charged VAT then you'll claim it back from HMRC. May take a while. 

[elitegiftsltd]

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@a.f.d wrote:

eBay is required to collect VAT on certain orders delivered to UK addresses:

Orders up to £135 sent from outside the UK
....
For higher value items, VAT and duties are also likely to apply. However, VAT on purchases valued at over £135 will be payable directly to the UK customs authorities by the buyer.

VAT is charged on item + postage** but the £135 limit seems to be on item only?

....
You'll see the VAT included in your order total at checkout... I'm not entirely sure that always happens!

....and you can view and download a tax invoice from the Order details page in your Purchase history... well if you can I can't find it - nor is Ebay's VAT number prominently displayed anywhere

** According to HMRC website postage (stamps) and international  freight are BOTH ZERO RATED but Ebay is charging 20% VAT on them.

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So claim the VAT paid back.

HMRC should be able to refund you within a few months. 

[unclestein]

Didn't need to see all the T&C's, but the bit where it says "You'll see the VAT included in your order total at checkout": You dont actually see it until after you've paid, and I've argued this with them a few times. There's also no mention of the word 'VAT' anywhere beforehand, unless you search for it, which is wrong in my opinion.

In 20 years of running a legitimate buisiness I've never come across such a blatent disregard of trading ethics. More worrying is the amount of people who find it acceptable.

If I did that with my customers they would go ape.

I'm done with this.

Good day to you.

[unclestein]

I didn't need to see ALL the T&C's again, thanks, but  3 lines from the bottom it says "You'll see the VAT included in your order total at checkout": You dont actually see it until after you've paid, and I've argued this with them a few times. There's also no mention of the word 'VAT' anywhere beforehand, unless you search for it. This is a rubbish way to trade.

In 20 years of running a legitimate buisiness I've never come across such a blatent disregard of trading ethics. My customers would go ape if I started adding stuff onto invoices.

More worrying is the amount of people who find it's acceptable, just hope the HMRC don't ask them for a tax compliance check, they take no prisoners.

Anyway I'm done with this.

Good day to you.

[unclestein]

<Google did have a compliance check, it took years and considerable resources. And basically found nothing wrong.>

Apart from a $549 million fine as well as $510 million in back taxes from the corporate tax optimization scam in Ireland where the tax is only 12.5%.

[elitegiftsltd]

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@unclestein wrote:

<Google did have a compliance check, it took years and considerable resources. And basically found nothing wrong.>

Apart from a $549 million fine as well as $510 million in back taxes from the corporate tax optimization scam in Ireland where the tax is only 12.5%.

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That was the french probe. 

The UK one was a few years earlier and a much smaller amount - a £130 million settlement. Which suggests HMRC unsure of getting much more by way of legal action, with risk of no money but massive costs.

Only spent 6 years on it. Quite possibly they spent over £130 million on it.... 

[stu-bro]

I ordered an item from a Chinese seller with a UK address who then informed me that the item was not available (even though they are still advertising it) and when I asked for a refund they deducted the VAT.

How can I be paying VAT on an item that the seller never had?

[ile136yz]

Open a case 'item not in stock'.  The Seller will have to refund in full & eBay will refund any VAT taken.

[bobandcharlies]

Amazing - what on earth can any seller be thinking to deduct VAT from any refund - unless what has happened is that ebay took the VAT as required by law and paid the net amount to the seller 

So the seller repaid direct to you the amount you paid - ebay in this circumstance - assuming the seller cancelled the order should refund the VAT 

It should be very simple

You should not have this worry and frustration - it really should be seamless 

If the order has not been cancelled simply contact CS and explain - it should be instantly sorted 

The advice to open an INR case is sound but you will have to wait until the estimated delivery date has passed - check with CS first

[get_luck_7777-0]

hi the reason is that they add UK VAT added to price is that the seller is in china

if you buy outside the uk the UK VAT added to price is done

[Anonymous]

You should contact eBay straight away you should have got a complete refund
of what you paid out and also the Chinese man should have a good excuse for
cancelling your sale if not your can reflect your disappointment to there
feedback ,

[victortardis]

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@Anonymous wrote:
You should contact eBay straight away you should have got a complete refund
of what you paid out and also the Chinese man should have a good excuse for
cancelling your sale if not your can reflect your disappointment to there
feedback ,

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Could have been a female seller. 

[stu-bro]

Many thanks for all the helpful replies, I have contacted PayPal who contacted the seller and he is now refunding the full amount.

As an aside, sellers who knowingly advertise goods they do not have and then try to convince you to buy another similar product should be penalised somehow.

[1sellsu]

I don't have a problem with paying vat for items if it's due but I do have a problem with them advertising the price exclusive of vat and listing the item as being in the UK. If vat is going to be added then they should advertise the price correctly. 

I have fallen foul of this many times this month without realising until I got my credit card bill. As I'd already put my expenses in for the costs I thought I was buying it all for I will be out of pocket. 😡

I'll def be buying more from other sites where I know exactly what I'll be paying when I order. 

[ruby*tuesday]

Sellers aren't responsible for adding the VAT Ebay are on behalf of HMRC.

If the Seller is Registered Abroad but Ships from a UK Location Buyers are still charged the VAT.  Will be the same scenario whichever On Line Retailer you purchase from.

Is easy enough as a Buyer to mentally add 20% to a purchase price. 

[papso22]

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@1sellsu wrote:

I don't have a problem with paying vat for items if it's due but I do have a problem with them advertising the price exclusive of vat and listing the item as being in the UK. If vat is going to be added then they should advertise the price correctly. 

I have fallen foul of this many times this month without realising until I got my credit card bill. As I'd already put my expenses in for the costs I thought I was buying it all for I will be out of pocket. 😡

I'll def be buying more from other sites where I know exactly what I'll be paying when I order. 

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I agree that it should be clear before you commit to buy, just how much you will be paying.  I don't know why eBay can't do this as they have all the relevant details available to them at that fime.  What buyers need to do, but shouldn't need to do, is check the seller's feedback page for their location, not the listing page for the item's location.

[Anonymous]

I haven't read every word on this thread but where a price is quoted it is considered to include VAT unless stated otherwise. Normally goods retailed to the public will show a VAT inclusive amount whereas will have the option of VAT inclusive prices or VAT excluded prices but it must be clearly shown.  In short, if you are given a price without referencer to VAT, then it is taken that VAT is included. 

I think it maybe something not considered in many cases.

[unclestein]

Here it is again, with no prior notification.

[myriad*seller]

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@Anonymous wrote:

I haven't read every word on this thread but where a price is quoted it is considered to include VAT unless stated otherwise. Normally goods retailed to the public will show a VAT inclusive amount whereas will have the option of VAT inclusive prices or VAT excluded prices but it must be clearly shown.  In short, if you are given a price without referencer to VAT, then it is taken that VAT is included. 

I think it maybe something not considered in many cases.

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This is import VAT that is being added as the seller is overseas, not sales VAT, which is what you are talking about. They are two completely different types of VAT despite the name being the same.

eBay cannot list (import) VAT inclusive prices before they know the buyers location - it's simply not possible. Import VAT is variable depending on the VAT rate of the destination country so can only be calculated at checkout

So it is perfectly legal (in fact legally required) to add import VAT onto purchases at the point of sale - HMRC and the UK government require eBay to do this 

It's not sales VAT (which must be included in the stated sale price by law) but import VAT where the buyer purchases from a seller located overseas (even if the item is in the UK).