How import duties work for parcels to the UK

The two charges

• Import VAT is charged on most goods, usually at 20%, on the value of the goods plus shipping.
• Customs duty is a percentage that depends on the type of goods. It generally applies once goods are valued above £135.

Gifts

A genuine gift from one individual to another, worth £39 or less, is normally free of both VAT and duty. It must be marked as a gift and not paid for by the receiver. Gifts worth more than £39 are taxed, with reduced duty treatment for gifts up to £630.

Goods that are bought or sold

If you are selling to a UK buyer, the parcel is commercial even if it is cheap. VAT is due. For goods up to £135 the seller is meant to account for the VAT; above £135, VAT and duty are collected at import. Our duties-paid option handles this so your buyer does not pay at the door.

Handling fees

When the receiver pays charges at delivery, the UK carrier usually adds a handling fee on top of the VAT and duty. That fee is often what annoys people most, and it is avoided entirely with DDP.

Practical tips

• Split large family parcels into separate gifts only if they genuinely are from different senders to different receivers; splitting to dodge the limit is not allowed
• Describe each item clearly with a value
• Keep receipts for new items

Thresholds and rates are set by HMRC and can change. Treat this as a general guide; we confirm charges at quote time.