Legal For Tourist To Sell One Rolex In U.K. ?

[MonBK]

Originally Posted by Devildog

Eddie, your wrong mate (and the irony of someone from Oz correcting soemone from the UK on UK VAT law is not lost on me )

There are specific UK VAT laws for imported goods.

If you are in the UK and importing goods from outside the EU you pay VAT at the prevaliing rate on those goods, whether they are new or used and whether or not you (the buyer) are VAT registerd or not.

The buyer here is not importing the goods and therefore is not liable for VAT its quite simple.

Very simple.

[Devildog]

Originally Posted by ADB85

Compare it to shipping/posting a watch from the USA to the UK for sale. You have to declare the value and are taxed accordingly. This is IMO no different apart from the watch is on someones arm rather than in the post. VAT and import duties are still required if knowingly importing to sell even if the item is second hand/used. Just my 2 cents, I may be well off the mark.

Yes, but its important to differntiate that its the importer who is liable for the VAT.

If the watch is bought outside the EU, the buyer is liable for VAT and duty at the date it lands on UK shores.

In the scenario of the original post, ALF61 is importing the watch to the UK for sale. THere is no buyer at that point. His buyer is buying a watch in the UK so cannot be loable for paying any extra VAT or duty over and above the purchase price

What's intersting here is that when ALF61 arrives in the UK he's wearing his own watch. If he goes home with it still on his wrist, no VAT or duty payable.

But if ALF61 travels to the UK with the sole intention of selling his watch, then he is in effect importing it for sale and ALF61 would be liable for VAT and duty. But (presumably) ALF61 is not a UK citizen and there may well be different rules for visitors whcih I'd need to check.

Whatever the outcome, the buyer of ALF61s watch simply cannot be liable for VAT or duty.

[Devildog]

Originally Posted by Tampashooter

Who cares? Do it. Who is going to know?
The UK can't even keep track of the jihadists. You think they have time to track rolex sales?

Might want to keep your own house in order before criticising others Mike. Just saying.

[Devildog]

Originally Posted by Ruud Van Driver

I think you're bang on here, Scott. I can't imagine VAT being applicable on a second hand product; I know for certain that I can't claim my VAT back when I leave the UK to come back out here if I buy a watch from someone like Watchfinder.

Originally Posted by Ruud Van Driver

And yet they won't (or can't?) provide the appropriate paperwork to allow me to claim the VAT back when I leave the UK and return to Singapore. Another reason for me to avoid them.

Absolutely Paul.

Watchfinder will only be liable to pay VAT to HMRC on the margin as Tyler has said - you pay as the seller 1/6th of the margin.

When you use the VAT margin scheme which watchfinder most certainly will you must not show the VAT on your sales invoice - which is why the can't issue you with VAT paperwork to allow you to reclaim the VAT.

Nothing sinister - they are just playing by the rules

[MonBK]

Originally Posted by Devildog

Absolutely Paul.

Watchfinder will only be liable to pay VAT to HMRC on the margin as Tyler has said - you pay as the seller 1/6th of the margin.

When you use the VAT margin scheme which watchfinder most certainly will you must not show the VAT on your sales invoice - which is why the can't issue you with VAT paperwork to allow you to reclaim the VAT.

Nothing sinister - they are just playing by the rules

Even simpler, you can't claim VAT on a used item.

[Johny]

An American walks into a pub in Scotland. He has lost his wallet and offers to sell you his watch......

[Gaijin]

Originally Posted by Tampashooter

Who cares? Do it. Who is going to know?
The UK can't even keep track of the jihadists. You think they have time to track rolex sales?

[PJ S]

Whilst some of you are on the right lines, the simple fact is that the buyer would be liable to declare it and pay the VAT applicable.
The seller can enter the country and nothing will happen regarding his personal possessions. If he decides to sell one of his possessions in a private sale, nothing will happen when he leaves the country, but the buyer, if he should ever need to claim on his insurance for the loss of the item purchased, will probably need to provide proof of purchase.
That’s where things might get tricky and could find himself with a demand for the unpaid VAT.
Until that point, no-one is any the wiser and a SWAT team won’t be breaking the buyer’s door down at 5am due to the non payment of VAT.

As this site is publicly viewable, it’s utterly daft to discuss such matters, other than as hypothetical scenarios.

[tyler1980]

Originally Posted by PJ S

Whilst some of you are on the right lines, the simple fact is that the buyer would be liable to declare it and pay the VAT applicable.
The seller can enter the country and nothing will happen regarding his personal possessions. If he decides to sell one of his possessions in a private sale, nothing will happen when he leaves the country, but the buyer, if he should ever need to claim on his insurance for the loss of the item purchased, will probably need to provide proof of purchase.
That’s where things might get tricky and could find himself with a demand for the unpaid VAT.
Until that point, no-one is any the wiser and a SWAT team won’t be breaking the buyer’s door down at 5am due to the non payment of VAT.

As this site is publicly viewable, it’s utterly daft to discuss such matters, other than as hypothetical scenarios.

in a practical sense i see your point, but intent to sell/leave it in the country means he has to declare as an import. Sure, my mom can come to visit with her hypothetical rolex sub on her wrist and leave with it with no issues if the plan is for her to come and go with her personal property. If she plans on "accidentally" leaving it before going back home so i can find it and wear it as a Christmas gift, she broke the law, if she intended to leave it. Intent does matter. She imported it, not me, so the VAT is her responsibility.

[Devildog]

Originally Posted by PJ S

Whilst some of you are on the right lines, the simple fact is that the buyer would be liable to declare it and pay the VAT applicable.
The seller can enter the country and nothing will happen regarding his personal possessions. If he decides to sell one of his possessions in a private sale, nothing will happen when he leaves the country, but the buyer, if he should ever need to claim on his insurance for the loss of the item purchased, will probably need to provide proof of purchase.
That’s where things might get tricky and could find himself with a demand for the unpaid VAT.
Until that point, no-one is any the wiser and a SWAT team won’t be breaking the buyer’s door down at 5am due to the non payment of VAT.

As this site is publicly viewable, it’s utterly daft to discuss such matters, other than as hypothetical scenarios.

There is simply no way that a UK buyer has to declare and pay VAT on a second hand item purchased in the UK.

VAT is payable by the party importing the goods into the UK in the first place.

Additionally, there is no way that an insurer looking for proof of purchase will be contacting HMRC (not that they have any reason to)

I'm sorry but your post is up there with some of the daftest things i've read on this forum

[MonBK]

This is of course the correct answer. ^

So many ifs in this thread it's amazing.

All I can say is IF my mother had wheels she'd be a bus.

[Swashplate]

Originally Posted by tyler1980

This. Its not worth getting flagged for the foreseeable future when you travel by avoiding paying what you owe and getting caught. Importing anything, and you pay duty. When my parents bring christmas presents for my kids when they visit they declare and pay duty if they are over the limit.

FACT: I was busted bringing in some delicious pork pies and now I am on a watch list. Now there is some irony.....

[Tools]

Originally Posted by ZOOK

I have read posts from your countrymen saying that coming to America and buying a Rolex watch doesn't work because they still have to pay import duty and VAT when returning home.

Not sure where that fits in this situation, but I wouldn't think a visitor/tourist could sell an expensive item while visiting another country without some kind of declaration when leaving the country.

Yes, importing and selling is still importing whether you mail it or carry it. When you travel to a country you are required to report anything of value that you intend to leave behind (import), and pay all pertinent import fees and duties.

[ALF61]

Originally Posted by Quailhunter

I travel Internationally often and I try to follow all the rules and avoid any possible violations. Once you get on the “ bad guy list” coming through Customs can get really ugly.

You have stated publicly that you are bringing in an expensive item with the intent to sell. Not a great idea.

I haven´t stated anything. It is a wild idea that crossed my mind with obvious concerns on legal implications and a willingness to comply with any laws and due taxes. I think it is an interesting question after I read what happenned to a pilot with his Batman. The issue is evidently confusing as there are members who are also uncertain. It is after all only a question, not an intent.

[ALF61]

Originally Posted by Devildog

Yes, but its important to differntiate that its the importer who is liable for the VAT.

If the watch is bought outside the EU, the buyer is liable for VAT and duty at the date it lands on UK shores.

In the scenario of the original post, ALF61 is importing the watch to the UK for sale. THere is no buyer at that point. His buyer is buying a watch in the UK so cannot be loable for paying any extra VAT or duty over and above the purchase price

What's intersting here is that when ALF61 arrives in the UK he's wearing his own watch. If he goes home with it still on his wrist, no VAT or duty payable.

But if ALF61 travels to the UK with the sole intention of selling his watch, then he is in effect importing it for sale and ALF61 would be liable for VAT and duty. But (presumably) ALF61 is not a UK citizen and there may well be different rules for visitors whcih I'd need to check.

Whatever the outcome, the buyer of ALF61s watch simply cannot be liable for VAT or duty.

Fiu !!, thanks for the dedicated explaining !. I have not been to the UK in decades since 1977 I think and only for a brief period. I have no plans to travel there in the foreseeable future and after reading this flagging business I am even less inclined to do so. My question was purely hypothetical. I have been doing some general customs digging, and definitely if a valuable item (A Rolex definitely qualifies) is brought into a country with the intent to sell it, taxes are due. After this, if I do travel to the UK I will most likely not have a Rolex in my person or possession.

[rootbeer7]

and then Brexit comes and.........................

[Devildog]

Originally Posted by ALF61

I haven´t stated anything. It is a wild idea that crossed my mind with obvious concerns on legal implications and a willingness to comply with any laws and due taxes. I think it is an interesting question after I read what happenned to a pilot with his Batman. The issue is evidently confusing as there are members who are also uncertain. It is after all only a question, not an intent.

Quite. And unless your name as stated in your passport actually is "ALF61" and your address is simply "Middle America" there is no chance whatsoever that anything you post on here will ever come back to bite you. Some posters are quite paranoid

Originally Posted by ALF61

Fiu !!, thanks for the dedicated explaining !. I have not been to the UK in decades since 1977 I think and only for a brief period. I have no plans to travel there in the foreseeable future and after reading this flagging business I am even less inclined to do so. My question was purely hypothetical. I have been doing some general customs digging, and definitely if a valuable item (A Rolex definitely qualifies) is brought into a country with the intent to sell it, taxes are due. After this, if I do travel to the UK I will most likely not have a Rolex in my person or possession.

You'll have no worries whatsoever unless you bring it in with the intent to sell. Having the box and papers would probably be the giveaway in that case.

You would only be flagged for subsequent attention if you broke the law in the first place. It is probably harder to enter America as a UK citizen than it is to enter the UK as an American