Forum

All the gear no idea
 

Hi

About a year ago I broke a bit of kit I use while out walking ( keen walker love the fresh air etc) anyway I discovered a replacement only problem was that no UK seller had the item.

So I searched on EBay USA and bought ten thinking that if I liked them then so must other people.

I sold these within a week and have since sold a further 200ish and few other bits and bobs I have found, making in the region of 4k profit. Turning over about 12-13k

I have had a few problems with eBay and none with PayPal . But as I am importing stuff from the USA, I am worried about tax.

I have just had a parcel stopped in Coverntry with a C60 form sent to me asking for the value and reasons for purchase. I am happy to pay the import charges etc and I suppose the tax etc. but this may make it not worth my while.

What will happen now will all my parcels be intercepted? Etc

How much tax will I have to pay ? Is there cheap software to do this or is an accountant the only option?

How much will an accountant

Most of all I just have no idea I just started with the taxman etc even if that is necessary.

All this from just seeing something I like .

well anything non-gift over £18 incurs vat and possibly an excise charge, I agree it cuts in to your profit, so much so that it is not worth it. They include the shipping charge in their total.

Problem about future parcels is more about what the sender declaration says in terms of value and what type of goods they are.

Are you receiving goods in quantities or one at a time eg just one machine?

No you should be able to work out the charges yourself, using the HRMC site and the helpline.

You could break up the packages into smaller items and may have 4 out of 5 items get through without tax, but then all 5 could get caught.

Really need to get the calculator out, and even then when I do get charged it doesn't tally up with the declaration.

Ho ho! Oh yes the import duty is a kicker! I once bought a Marmot jacket for a bargain price from a seller in Canada, it was a brand new jacket and when I opened the door to take my parcel from the postman he handed me a bill for £25 - which was the tax I had to pay because the seller hadnt labelled it as 'gift'.

Fortunately though the seller actually refunded me the money which was very nice of him. The best thing was, after all that, the jacket turned out to be too small for me....!! I had to sell it on Ebay , I made a few quid on it, but hardly worth the hassle.

With regards to importing stock I guess you will have to grin and bear it and work the taxes into your outgoings and see if its still worth doing. You dont want to get into a situation where you're committing tax evasion and after earning thousands get gripped by the taxman for it. Many a rich man has become a poor man cos of that little dodge...

Welcome to the forum :)

With careful preparation, you could do everything yourself.

Start with this site

HM Revenue & Customs: Home Page

When you first start it appears daunting but it is doable.

Good Luck

:pop2:

It makes it immensely easier when someone can refer a member to an exact URL for the help they need.

Good Job GB. :thumb:

Are you buying these from a middle man (Ebay seller) rather than manufacturer. You may get a better deal if you go direct, which may keep the little earner alive.

Knock, if you dont mind me asking what is this bit of kit you're referring to selling? I enjoy walking in the Yorkshire Dales and I'm intrigued into what this must have item is.

Are you talking about them extendable pole things that some people use when walking, where you have one in each hand? Dont worry I'm not going to steal your sales as I only sell used items.

Thanks for the replies

I have got hold of a online calculator for importing my parcels.

Next question is when do I need to let the taxman? At what point will that letter arrive ?

Will they see my imports and react?

How do you do your accounts? I have seen software but it requires a subscription etc or costs a bomb . I am reluctant to pay out if the bubble bursts and this does not last

Many thanks for all the help

And to johnleeds the bit of kit is more military walking than civilian . Sorry.

Two points.

Tax advice is beyond the forum remit.

That's not saying get lost, however.

You should be able to phone the Help Line & talk to them with a reasonable amount of confidentiality. Try that , speaking in the same terms you are to us. However you can add your personal info of current earnings etc.

Your main need is to deal with the matter. You are certainly doing that.
:peace:

https://www.gov.uk/browse/business/setting-up

If you check the dot gov website they always have loads of info and you can get an accounts book from any stationary store or use open office if you prefer to use a program and print out everything.

Bytestart – Set Up a Company – Start a Business – Limited Company – Sole Trader – Self Employed

There is a simple guide there

Many many thanks for the replies

One last question, what accounting software do people use?

I would like one you can just download and import the ebay and PayPal Csv files / downloads

Can you recommend

Cheers
Knock

Knock,

Is your items being delivered by Parcel Force in the UK? Sage is always the best software to get regarding accounting issues

Also dont forget about selling locally

I tried outright last night which imported both my PayPal and eBay accounts but it does not understand currency swaps. So is useless really.

Will try SAGE but can you upload or import data from ether PayPal or eBay or Spreadsheets ?

Yes Parcelforce are my UK carrier. I have a major issue with them is that they charge an £8 handling charge but never check the charges made on a parcel by customs, which I think I keep getting overcharged on!! So what is that charge for ? And there staff are useless.

No wonder people don't start businesses all this hassle for a few squid.

Selling locally is going ok, I have a few mates etc who like my products but some of it is quite specialist. Italy and France are good areas for me but postage I think is killing me there . International signed for is so expensive. Which is why some of them buy in bulk

My best sale is a 1k of gear to a film company!!! All in one hit.

Knock

MYUSA

Was a good shout but my items are on there prohibited list

Many thanks for suggestion

Knock

Try and get your supplier to use a delivery service other than one that links up with Parcelforce

Have you tried just getting the sent straight from the usa??Dropshipping

Ie sell them in UK and when someone buys them off you you buy off US supplier and get him to send direct ot your customer???.Might not get the benefit of bulk buy but your only paying for shipping once .

Not sure what your margins are or how the numbers add up but its a possibility.