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Kit So Much Cheaper In Us?!?


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#21 mharri2

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Posted 17 May 2011 - 08:03 PM

Not technically true VAT is only payable on UK sales if the person selling is VAT registered. Somewhere along the chain someone will have paid VAT but not reclaimed it from HMRC but it's not necessarily you.


Errrr technically correct however HMRC WOULD charge import duties AND VAT on top of the duty on their discretionary valuation as they would view that most/if not all suppliers of new equipment in the UK are VAT registered- and they would value it at the highest value they could find trust me I know
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#22 Stevie Coops

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Posted 17 May 2011 - 09:56 PM

Errrr technically correct however HMRC WOULD charge import duties AND VAT on top of the duty on their discretionary valuation as they would view that most/if not all suppliers of new equipment in the UK are VAT registered- and they would value it at the highest value they could find trust me I know


Pray do tell how you know...sounds like either experience or you work for them. Either way you could enlighten us on how they would know it wasnt second hand?
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#23 mharri2

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Posted 18 May 2011 - 06:23 AM

Pray do tell how you know...sounds like either experience or you work for them. Either way you could enlighten us on how they would know it wasnt second hand?


Opened it and checked manufacture dates and I had the docs on me and they found them - and HMRC make the decision and it is up to you to prove it wrong, not them to prove it right and they can value it at whatever they like and whether they think it is new/second hand or new kit in old container etc etc.
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#24 Stevie Coops

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Posted 18 May 2011 - 08:36 AM

Ok well that's one experience. This thread wasn't started a a discussion on tax dodging, but on kit being much cheaper in the US.
So let's look at it another way, if I buy something from over there and make the biggest paper trail possible so the price can be proven, and then they do look in my luggage and charge me the 25% which has been spoken of, I'll still be saving around £300 on the example I gave earlier (£1495 UK, $1395 US for the same product).

Is all the kit manufactured in the states or something?
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#25 SamLee

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Posted 18 May 2011 - 09:07 AM

Ok well that's one experience. This thread wasn't started a a discussion on tax dodging, but on kit being much cheaper in the US.
So let's look at it another way, if I buy something from over there and make the biggest paper trail possible so the price can be proven, and then they do look in my luggage and charge me the 25% which has been spoken of, I'll still be saving around £300 on the example I gave earlier (£1495 UK, $1395 US for the same product).

Is all the kit manufactured in the states or something?


That does seem like an extreme example (what is it?) But yes generally most kit is manufactured in the US, and we generally pay a premium on top of import costs just because that always happens in the UK, not just on skydiving kit. Everything seems cheaper abroad than it is here, electronics, clothes etc it all works out cheaper if you buy abroad.
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#26 Stevie Coops

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Posted 18 May 2011 - 09:21 AM

That does seem like an extreme example (what is it?) But yes generally most kit is manufactured in the US, and we generally pay a premium on top of import costs just because that always happens in the UK, not just on skydiving kit. Everything seems cheaper abroad than it is here, electronics, clothes etc it all works out cheaper if you buy abroad.

Hey dude, don't wanna say what website it was on cos that's a bit unfair on that company, but it was for a container. I was gob smacked! No bad feelings for that company cos they are just a business but I'm looking after my money lol
Yeh everything is always cheaper abroad, pretty standard with this country haha!
Where does everyone go to in the states to buy stuff? It's quite a big place lol....
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#27 timmyg

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Posted 18 May 2011 - 09:54 AM

That does seem like an extreme example (what is it?) But yes generally most kit is manufactured in the US, and we generally pay a premium on top of import costs just because that always happens in the UK, not just on skydiving kit. Everything seems cheaper abroad than it is here, electronics, clothes etc it all works out cheaper if you buy abroad.


Quick search for a fully loaded vector 3 container. From a UK shop £2850, US shop $2780.
Sabre2: £1600 or $2000
Cypres2: £1000 or $1450 (this works out cheaper here rather than bringing it back and correctly declaring it to HMRC)
Exchange rate used 1GBP = 1.6USD

The list goes on, even after paying tax buying gear in the US it is cheaper and if you pick it up yourself you can get a holiday out of it and still end up around the same price as buying a full rig in the UK.*

*but it is a little bit of a hassle and requires a bit of planning...
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#28 JoeB

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Posted 18 May 2011 - 12:39 PM

My sister lives in LA.

If SHE buys some equipment, and gets it delivered to her house, can she then sell it on to me 2nd hand with a receipt for say $10, then i can declaire it. Because i paid less than £16 its tax free? or are the tax office smarter than that?
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#29 mharri2

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Posted 18 May 2011 - 02:07 PM

My sister lives in LA.

If SHE buys some equipment, and gets it delivered to her house, can she then sell it on to me 2nd hand with a receipt for say $10, then i can declaire it. Because i paid less than £16 its tax free? or are the tax office smarter than that?


errrr - wadda ya think :whistle:
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#30 Stevie Coops

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Posted 18 May 2011 - 02:23 PM

Just had a look on the HRMC website, and it says that tax is the normal VAT rate, duty pay was like 2%.
Still thinking it is worth it...

And big lol to the sister idea! I think that is definately worth a try dude, and if it works tell your sister she is gonna become the worlds best 2nd hand dealer :P
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#31 Eddles

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Posted 14 June 2011 - 11:56 PM

One of the states is also a semi tax haven so many companies are set up there to avoid alot of the tax in other states. It's kind of ridiculous how it's one country yet everywhere just governs itself pretty much. But It is a ridiculously huge place so I suppose it can.


Well, the pot calling the kettle black... we've got loads of companies setting up house in Jersey selling us DVDs and other cheap tat VAT free as seen here. "Someone" I know well got his Viso 2 from Jersey VAT free.

Though seems that the 2011 budget is looking to close this loophole. Pooh.
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#32 BlueSkyBri

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Posted 21 July 2017 - 01:16 PM

Such nice words from this guy. 

 

What do you reckon I should do? Click his link?  :doh:

 

Attached File  Screen Shot 2017-07-21 at 13.59.45.png   327.31KB   1 downloads


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