Import tax / GST threshold

**termy** · 10-11-2020, 11:00 PM

hi fellow members.

just wanted to check, on what be the import tax / GST threshold for whichever country you be from.

I mean, for example, for USA, i found information (online) which indicate the threshold to be USD800 (which is rather very generous actually).

(i am not sure, i just googled and found somewhere which stated that. Does that USD800 threshold apply federally? Or that figure is dependent on which State the person is residing?)

Which means, for example, if the value of an item is declared to be USD700, then the package will not be hit with import tax/GST, since it is below USD800.

just wondering and wanted to learn as well, because have had potential buyers who were hesitant of getting items from me, as they worry about getting hit with import tax / GST.

Any Aussie and Kiwi members could share, what's the threshold for Australia and NZ?

What about countries in the European Union?
(And what about the UK?)

**PJ1** · 10-12-2020, 01:01 AM

It used to be $1000 AUD for Australia. Now there is no threshhold. You pay 10 per cent GST on everything (including the postage!) And that means everything - even a $2 lens cap out of China.

Lord Lucan · 10-12-2020, 02:07 AM

So how do the customs people know the value of what is inside? Is it up to the honesty of the sender, and how and when do they declare it? Is the recipient asked? Do the customs open a few random parcels to check, and even if they do how would they know the value if it is an old camera lens for example? If the sender understates the value, and it is found out, how are they punished if at all, bearing in mind they do not live in the country in which the duty is owing?

A lot of questions, I know

**termy** · 10-12-2020, 02:26 AM

Some people might want "insurance", and thats where things get a bit problematic.

For example, lets say, someone in USA get a lens from someone in UK.

Let's say, the lens was bought for USD900.
So, if the buyer wants insurance for the lens at USD900, then it will be declared for USD900.

Cant quite possibly want insurance for USD900 and then declare as USD700.

**PJ1** · 10-12-2020, 02:28 AM - **1 Like**

Originally posted by Lord Lucan

A lot of questions

There is some system whereby sellers register or are captured if they are selling through Ebay or Amazon. The GST is then calculated at the point of sale. B&H and Adorama (and other big sellers) would also be registered, I am sure. The system is certainly going to pick up more than 95% of sales. For the rest of it, such as a sale through the market place here, I don't know the answer. If you want to sell me your K-1 for 10 pounds we could find out I suppose.

**termy** · 10-12-2020, 02:37 AM - **1 Like**

Yeah, those businesses that got to file tax returns etc, they wont go into under-declaration.

Lord Lucan · 10-12-2020, 02:51 AM

Originally posted by PJ1

If you want to sell me your K-1 for 10 pounds we could find out I suppose.

I'm not that desparate to find out

**Serkevan** · 10-13-2020, 02:19 AM

Originally posted by Lord Lucan

So how do the customs people know the value of what is inside? Is it up to the honesty of the sender, and how and when do they declare it? Is the recipient asked? Do the customs open a few random parcels to check, and even if they do how would they know the value if it is an old camera lens for example? If the sender understates the value, and it is found out, how are they punished if at all, bearing in mind they do not live in the country in which the duty is owing?

A lot of questions, I know

Oh, but the duty is owed by the buyer, so if the value was understated the one who will pay the difference will be the receiver, plus I guess they'll flag the seller to be on alert for packages coming in from them?

In the EU there are no thresholds AFAIK - I may or may not have been checking the official German page for imports to see whether that Japan FA43 was as good a deal as it seemed*. Moreover (from what a couple friends told me) in Germany it is possible for customs officers to assess the value of the item if they feel it's been undervalued. I know that in Spain some packages have been withheld and inspected in customs.

*Turned out that adding a 6.7% import duty on lenses (after delivery cost), plus 16% VAT (It might have still been 19% when I checked) on top of that suddenly makes things kinda unappealing.

SSGGeezer · 10-13-2020, 04:47 AM

Originally posted by Serkevan

*Turned out that adding a 6.7% import duty on lenses (after delivery cost), plus 16% VAT (It might have still been 19% when I checked) on top of that suddenly makes things kinda unappealing.

If this is on a used lens it seems quite wicked! I understand the fact that new goods in the EU have a VAT tax, but used? Wasn't it already taxed at least once?

Originally posted by termy

(i am not sure, i just googled and found somewhere which stated that. Does that USD800 threshold apply federally? Or that figure is dependent on which State the person is residing?)

Strictly Federal in my experience. Used items usually only get sales and or excise taxes added when it is a motor vehicle you are registering. I had to pay state sales tax plus my road taxes (excise taxes,) on a 16 year old car that my ex ended up with. I think there are also certain countries where used camera gear and other specific items do not trigger an import tax. I thought Japan to the US was one, but I have never bought any camera or lens that exceeded the 800 dollar limit you mentioned in your post.

**Serkevan** · 10-13-2020, 04:59 AM - **1 Like**

Originally posted by SSGGeezer

If this is on a used lens it seems quite wicked! I understand the fact that new goods in the EU have a VAT tax, but used? Wasn't it already taxed at least once?

Strictly Federal in my experience. Used items usually only get sales and or excise taxes added when it is a motor vehicle you are registering. I had to pay state sales tax plus my road taxes (excise taxes,) on a 16 year old car that my ex ended up with. I think there are also certain countries where used camera gear and other specific items do not trigger an import tax. I thought Japan to the US was one, but I have never bought any camera or lens that exceeded the 800 dollar limit you mentioned in your post.

Yep, it applies to any imports as far as I know - I suppose that the rationale is that it's the first time the item enters the EU and therefore the EU has not yet levied a tax, but it's... eyebrow-raising, to say the least. That said, there is no general sales tax whatsoever - it's all named VAT I think? (Okay, "MwSt" in German, but it means literally the same).

There's a whole lot that can be discussed about how non-luxury items being taxed is just increasing fiscal pressure on lower earners when an adjustment to the progressive income/capital tax rate would accomplish the same while being more in line with the raison d'être of a progressive tax rate in the first place, but that's the Big P Word.

**termy** · 10-13-2020, 05:51 AM

Originally posted by Serkevan

*Turned out that adding a 6.7% import duty on lenses (after delivery cost), plus 16% VAT (It might have still been 19% when I checked) on top of that suddenly makes things kinda unappealing.

This is really quite very high percentage of VAT plus import duty.
Almost is ridiculous.

No wonder no European buyers even if i priced quite a bit lower than usual.

**Serkevan** · 10-13-2020, 05:59 AM

Originally posted by termy

This is really quite very high percentage of VAT plus import duty.
Almost is ridiculous.

No wonder no European buyers even if i priced quite a bit lower than usual.

Yes, buying from outside the ESM is a massive expense. It really cuts down on the benefit of buying used. I almost took the plunge on a FA 77 sold by an Australian member on the Marketplace here that was very reasonably priced, but adding 40 bucks on postage, plus a 27% effective tax rate at the time froze me down real quick (and I realized that it would almost certainly get enforced after contacting the seller, so on top of not getting the lens I wasted their time).

**newmikey** · 10-13-2020, 06:11 AM - **2 Likes**

Currently, the EU wide threshold for duty is €150 and for VAT it is only €22. The VAT threshold will disappear next year so that every package is taxable for VAT at whatever the rate is in the member state of import regardless of the value. VAT rates are quite high (between 16 and 27% across the EU27) and duty rates are quite moderate - 0% on cameras and 6.7% on lenses and filters. It does not matter whether goods are new or used, the rates stay the same, only the value on which those rates are applied may vary (according to WTO guidelines). Lowballing is an offense and if caught will lead to penalties and/or seizure of the goods.

Duty applies only to import as others have correctly stated but VAT is a non-discriminatory tax as it applies to all consumer purchase inside and outside the EU. Only difference is that consumer prices in the EU are required to be shown inclusive of any VAT (different from the US f.i.) so what's on the pricetag is what you pay at the cash register or checkout webpage.

**Serkevan** · 10-13-2020, 06:26 AM

Originally posted by newmikey

Only difference is that consumer prices in the EU are required to be shown inclusive of any VAT (different from the US f.i.) so what's on the pricetag is what you pay at the cash register or checkout webpage.

Yep (which is super helpful, honestly, I care about how much I pay), but IIRC this does not apply to foreign imports on Ebay, they specifically say the price excludes international taxation... not specifically VAT, though.

**newmikey** · 10-13-2020, 06:36 AM - **1 Like**

Originally posted by Serkevan

Yep (which is super helpful, honestly, I care about how much I pay), but IIRC this does not apply to foreign imports on Ebay, they specifically say the price excludes international taxation... not specifically VAT, though.

Of course foreign ebay sellers (or aliexpress, or US Amazon or etc.etc.) do not show duty or VAT - that is the responsibility of the importer i.e. us the consumers/buyers. Ebay does have an international shipping and clearance program though which will quote the price inclusive of everything D2D and will handle clearance for you - at a premium obviously. Next year, foreign sellers such as ebay or aliexpress will be able to sign on to the EU Comission's "One Stop Shop" concept which will hopefully increase the number of online sellers who show all-inclusive prices to EU consumers.

10-11-2020, 11:00 PM	#1
termy Loyal Site Supporter Join Date: Jan 2019 Posts: 1,154	Import tax / GST threshold hi fellow members. just wanted to check, on what be the import tax / GST threshold for whichever country you be from. I mean, for example, for USA, i found information (online) which indicate the threshold to be USD800 (which is rather very generous actually). (i am not sure, i just googled and found somewhere which stated that. Does that USD800 threshold apply federally? Or that figure is dependent on which State the person is residing?) Which means, for example, if the value of an item is declared to be USD700, then the package will not be hit with import tax/GST, since it is below USD800. just wondering and wanted to learn as well, because have had potential buyers who were hesitant of getting items from me, as they worry about getting hit with import tax / GST. Any Aussie and Kiwi members could share, what's the threshold for Australia and NZ? What about countries in the European Union? (And what about the UK?)

10-12-2020, 01:01 AM	#2
PJ1 Loyal Site Supporter Join Date: Jul 2012 Location: Toowoomba, Australia Photos: Gallery \| Albums Posts: 5,481	It used to be $1000 AUD for Australia. Now there is no threshhold. You pay 10 per cent GST on everything (including the postage!) And that means everything - even a $2 lens cap out of China. Last edited by PJ1; 10-12-2020 at 01:03 AM. Reason: Added info.

10-12-2020, 02:07 AM	#3
Lord Lucan Pentaxian Join Date: Sep 2017 Location: South Wales Photos: Gallery Posts: 2,958	So how do the customs people know the value of what is inside? Is it up to the honesty of the sender, and how and when do they declare it? Is the recipient asked? Do the customs open a few random parcels to check, and even if they do how would they know the value if it is an old camera lens for example? If the sender understates the value, and it is found out, how are they punished if at all, bearing in mind they do not live in the country in which the duty is owing? A lot of questions, I know Last edited by Lord Lucan; 10-12-2020 at 02:08 AM. Reason: Tpyo

10-13-2020, 04:47 AM	#9
SSGGeezer Veteran Member Join Date: Jun 2017 Location: Indiana, U.S. Photos: Gallery \| Albums Posts: 4,845	Originally posted by Serkevan Turned out that adding a 6.7% import duty on lenses (after delivery cost), plus 16% VAT (It might have still been 19% when I checked) on top of that suddenly makes things kinda unappealing. If this is on a used lens it seems quite wicked! I understand the fact that new goods in the EU have a VAT tax, but used? Wasn't it already taxed at least once? Originally posted by termy (i am not sure, i just googled and found somewhere which stated that. Does that USD800 threshold apply federally? Or that figure is dependent on which State the person is residing?) Strictly Federal in my experience. Used items usually only get sales and or excise taxes added when it is a motor vehicle you are registering. I had to pay state sales tax plus my road taxes (excise taxes,) on a 16 year old car that my ex ended up with. I think there are also certain countries where used camera gear and other specific items do not trigger an import tax. I thought Japan to the US was one, but I have never bought any camera or lens that exceeded the 800 dollar limit you mentioned in your post. Last edited by SSGGeezer; 10-13-2020 at 04:49 AM. Reason: Spelling and clarity*

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10-12-2020, 02:26 AM	#4
termy Loyal Site Supporter Join Date: Jan 2019 Posts: 1,154 Original Poster	Some people might want "insurance", and thats where things get a bit problematic. For example, lets say, someone in USA get a lens from someone in UK. Let's say, the lens was bought for USD900. So, if the buyer wants insurance for the lens at USD900, then it will be declared for USD900. Cant quite possibly want insurance for USD900 and then declare as USD700.

10-12-2020, 02:28 AM - 1 Like	#5
PJ1 Loyal Site Supporter Join Date: Jul 2012 Location: Toowoomba, Australia Photos: Gallery \| Albums Posts: 5,481	Originally posted by Lord Lucan A lot of questions There is some system whereby sellers register or are captured if they are selling through Ebay or Amazon. The GST is then calculated at the point of sale. B&H and Adorama (and other big sellers) would also be registered, I am sure. The system is certainly going to pick up more than 95% of sales. For the rest of it, such as a sale through the market place here, I don't know the answer. If you want to sell me your K-1 for 10 pounds we could find out I suppose.

10-12-2020, 02:37 AM - 1 Like	#6
termy Loyal Site Supporter Join Date: Jan 2019 Posts: 1,154 Original Poster	Yeah, those businesses that got to file tax returns etc, they wont go into under-declaration.

10-12-2020, 02:51 AM	#7
Lord Lucan Pentaxian Join Date: Sep 2017 Location: South Wales Photos: Gallery Posts: 2,958	Originally posted by PJ1 If you want to sell me your K-1 for 10 pounds we could find out I suppose. I'm not that desparate to find out

10-13-2020, 02:19 AM	#8
Serkevan Site Supporter Join Date: May 2019 Photos: Albums Posts: 5,976	Originally posted by Lord Lucan So how do the customs people know the value of what is inside? Is it up to the honesty of the sender, and how and when do they declare it? Is the recipient asked? Do the customs open a few random parcels to check, and even if they do how would they know the value if it is an old camera lens for example? If the sender understates the value, and it is found out, how are they punished if at all, bearing in mind they do not live in the country in which the duty is owing? A lot of questions, I know Oh, but the duty is owed by the buyer, so if the value was understated the one who will pay the difference will be the receiver, plus I guess they'll flag the seller to be on alert for packages coming in from them? In the EU there are no thresholds AFAIK - I may or may not have been checking the official German page for imports to see whether that Japan FA43 was as good a deal as it seemed. Moreover (from what a couple friends told me) in Germany it is possible for customs officers to assess the value of the item if they feel it's been undervalued. I know that in Spain some packages have been withheld and inspected in customs. Turned out that adding a 6.7% import duty on lenses (after delivery cost), plus 16% VAT (It might have still been 19% when I checked) on top of that suddenly makes things kinda unappealing.

10-13-2020, 04:59 AM - 1 Like	#10
Serkevan Site Supporter Join Date: May 2019 Photos: Albums Posts: 5,976	Originally posted by SSGGeezer If this is on a used lens it seems quite wicked! I understand the fact that new goods in the EU have a VAT tax, but used? Wasn't it already taxed at least once? Strictly Federal in my experience. Used items usually only get sales and or excise taxes added when it is a motor vehicle you are registering. I had to pay state sales tax plus my road taxes (excise taxes,) on a 16 year old car that my ex ended up with. I think there are also certain countries where used camera gear and other specific items do not trigger an import tax. I thought Japan to the US was one, but I have never bought any camera or lens that exceeded the 800 dollar limit you mentioned in your post. Yep, it applies to any imports as far as I know - I suppose that the rationale is that it's the first time the item enters the EU and therefore the EU has not yet levied a tax, but it's... eyebrow-raising, to say the least. That said, there is no general sales tax whatsoever - it's all named VAT I think? (Okay, "MwSt" in German, but it means literally the same). There's a whole lot that can be discussed about how non-luxury items being taxed is just increasing fiscal pressure on lower earners when an adjustment to the progressive income/capital tax rate would accomplish the same while being more in line with the raison d'être of a progressive tax rate in the first place, but that's the Big P Word.

10-13-2020, 05:51 AM	#11
termy Loyal Site Supporter Join Date: Jan 2019 Posts: 1,154 Original Poster	Originally posted by Serkevan Turned out that adding a 6.7% import duty on lenses (after delivery cost), plus 16% VAT (It might have still been 19% when I checked) on top of that* suddenly makes things kinda unappealing. This is really quite very high percentage of VAT plus import duty. Almost is ridiculous. No wonder no European buyers even if i priced quite a bit lower than usual.

10-13-2020, 05:59 AM	#12
Serkevan Site Supporter Join Date: May 2019 Photos: Albums Posts: 5,976	Originally posted by termy This is really quite very high percentage of VAT plus import duty. Almost is ridiculous. No wonder no European buyers even if i priced quite a bit lower than usual. Yes, buying from outside the ESM is a massive expense. It really cuts down on the benefit of buying used. I almost took the plunge on a FA 77 sold by an Australian member on the Marketplace here that was very reasonably priced, but adding 40 bucks on postage, plus a 27% effective tax rate at the time froze me down real quick (and I realized that it would almost certainly get enforced after contacting the seller, so on top of not getting the lens I wasted their time).

10-13-2020, 06:11 AM - 2 Likes	#13
newmikey Site Supporter Join Date: May 2007 Photos: Gallery Posts: 2,287	Currently, the EU wide threshold for duty is €150 and for VAT it is only €22. The VAT threshold will disappear next year so that every package is taxable for VAT at whatever the rate is in the member state of import regardless of the value. VAT rates are quite high (between 16 and 27% across the EU27) and duty rates are quite moderate - 0% on cameras and 6.7% on lenses and filters. It does not matter whether goods are new or used, the rates stay the same, only the value on which those rates are applied may vary (according to WTO guidelines). Lowballing is an offense and if caught will lead to penalties and/or seizure of the goods. Duty applies only to import as others have correctly stated but VAT is a non-discriminatory tax as it applies to all consumer purchase inside and outside the EU. Only difference is that consumer prices in the EU are required to be shown inclusive of any VAT (different from the US f.i.) so what's on the pricetag is what you pay at the cash register or checkout webpage.

10-13-2020, 06:26 AM	#14
Serkevan Site Supporter Join Date: May 2019 Photos: Albums Posts: 5,976	Originally posted by newmikey Only difference is that consumer prices in the EU are required to be shown inclusive of any VAT (different from the US f.i.) so what's on the pricetag is what you pay at the cash register or checkout webpage. Yep (which is super helpful, honestly, I care about how much I pay), but IIRC this does not apply to foreign imports on Ebay, they specifically say the price excludes international taxation... not specifically VAT, though.

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10-13-2020, 06:36 AM - 1 Like	#15
newmikey Site Supporter Join Date: May 2007 Photos: Gallery Posts: 2,287	Originally posted by Serkevan Yep (which is super helpful, honestly, I care about how much I pay), but IIRC this does not apply to foreign imports on Ebay, they specifically say the price excludes international taxation... not specifically VAT, though. Of course foreign ebay sellers (or aliexpress, or US Amazon or etc.etc.) do not show duty or VAT - that is the responsibility of the importer i.e. us the consumers/buyers. Ebay does have an international shipping and clearance program though which will quote the price inclusive of everything D2D and will handle clearance for you - at a premium obviously. Next year, foreign sellers such as ebay or aliexpress will be able to sign on to the EU Comission's "One Stop Shop" concept which will hopefully increase the number of online sellers who show all-inclusive prices to EU consumers.