The RCL40 Book

[Guenter Schink]

(12-09-2022 08:41 AM)Ángel Martin Wrote:  

BruceH ' Wrote:  Unfortunately different EU countries charge different rates. So Ireland is zero while Germany is 8% I think. I was surprised by this - I thought the EU had harmonised rates ages ago. Also I think this would have applied regardless of whether the UK had left the EU or not - because the UK rate is/was zero there would still have been a difference to be paid by someone.

My impression is that after brexit it's all about bilateral agreements between each EU country and the UK. Oh well...

No, one has to differentiate between VAT on import and customs tariffs. The idea is that goods sent from one country to another are exempt from VAT in the sending country while VAT is charged in the receiving country. That's even possible within the EU. If the article wasn't subject to VAT in the sending country, VAT in the receiving country applies, but normally this doesn't happen because it implies additional superfluous paperwork. Each country in the EU sets its own VAT.

Now, different countries have different limits for tax threshold. Thus it may happen that you have to pay 7% VAT on import for books (normal VAT is 19% in Germany)- no threshold anymore in Germany (it used to be ~30€) - and nothing in Ireland - don't know of any threshold there.

There are no specific VAT coming from for specific countries.

Custom is applied only if a certain value is exceeded. These custom rates are equal throughout the EU and other countries in the CU (customs union) e.g. Switzerland or Norway. The tariffs are dependent on the nature of the goods. E.g. Books=0% DVD-Player=13.9% Bicycles=15%.

It doesn't have to do anything with Brexit.

HTH Günter