Shipping a high value consignment to the United States

[bh13coupe]

Guys need some wisdom.

I work for an IT firm who has a client with an office/site in Florida and several in the UK. They have aproached us to do some work in their Florida office. This will involve around £100k worth equipment (1 pallet) to be shipped from UK to Florida.

My question is, are we liable for any hits or costs when the shipments lands in the States? We will pay the VAT in the UK and claim that back as the kit is going overseas. I am pretty sure there will be a charge to us when the kit lands in the States.

Any pointers will be appreciated.

 

[dinoy]

yes import duty and local sales tax, u need to talk to your shipper about it they are usually good at sorting out such issues, also make sure it is sent CIF fully insured, if it such high value u may want to airfreight it rather than container shipping

 

[neilrr]

I'm pretty sure it's the recipient's responsibility to handle customs duty & other charges at their end.

Google 'international freight forwarder' & call a couple.

 

[NW_Merc]

I bought some stuff from the States and I had to pay duty on them when they got here. So it's the receiver's responsibility for any taxes/duty to be paid.

 

[davidjpowell]

Unless it's really specialist stuff would it be more straighfroward to buy over there and configure it in-situ?

 

[bh13coupe]

Unless it's really specialist stuff would it be more straighfroward to buy over there and configure it in-situ?

Its related to a large roll out of kit with our engineers, the configuration taking place here prior to shipping

 

[st13phil]

I'm pretty sure it's the recipient's responsibility to handle customs duty & other charges at their end.

It is entirely dependent upon the INCO Terms under which the goods are shipped whether it is the consignee or the consignor who is responsible for paying duty - if any is due.

You need to consider the terms of your contract with your customer when deciding who owns the goods at which stage of the transaction to determine who carries liability for loss or damage too.

 

[Benzowner]

Presumibly you will be selling the kit to your client, but exporting the goods to the US. If this is correct, it depends whether you bill the client in this country or the US. If you bill the client in this country and send the goods to the US normal VAT and carriage costs apply, and your client will reclaim the VAT and sort out his own import procedures. If you are billing the client in the US, you don't charge the VAT element on the invoice but you will need to send 6, I think, copy invoices with the goods for import duty which your client will pay in the US. You will also need your clients overseas VAT, or equivalent, number so you can inform customs and excise when you export. It all sounds complicated, but usually the carrier can advise regards the paperwork side, it is just whether you bill UK or US which determines the VAT bits.