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Yes. The impact will be on cheap things <£135
From a quick read it seems to say that any overseas seller will need to register for UK vat if they sell to customers in the UK. So that's everyone in China who is selling in Ali Express or ebay. Will they bother?
And the de minimis is being abolished. Now, things under £15 don't have to bother with vat. That will change so they will have to collect vat even on cheap things like phone cases and cables. There is a fixed cost to this so it probably means selling cheap stuff to UK customers won't be viable any more.
I believe Sweden and Australia have already abolished their de minimis and that it led to something like a 90% reduction in consumer imports from China.
frank9755-
Torn with this. On the one hand, it's a reduction of choice, increased cost etc... On the other, a lot of cheap imported tat is an environmental disaster.
Trying to see a decline in imports of that nonsense as a plus?
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This is how I understood it, sellers will have to register with HMRC to pay VAT. Thanks for this explanation and the Sweden + Aus example!
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As they say, the online marketplaces will be responsible for registering and paying vat. Sellers will just see increased fees on their listing, I guess?
andyfallsoff
user92573
𝔒𝕨𝖑𝘡
Looks as though it only applies to goods with a value less then £135. Have I misinterpreted?