Horizons Unlimited - The HUBB

Horizons Unlimited - The HUBB (https://www.horizonsunlimited.com/hubb/)
-   Trip Paperwork (https://www.horizonsunlimited.com/hubb/trip-paperwork/)
-   -   Importing non-EU bike into the UK? (https://www.horizonsunlimited.com/hubb/trip-paperwork/importing-non-eu-bike-into-91800)

Temporaryescapee 20 May 2017 12:37

Importing non-EU bike into the UK?
 
I suspect i know the answer to this but I've got to check....

I have (technically my brother has) a 2014 XT660z in South Africa which i used for a big trip last year. As you do, i now have a bit of a bond with that bike, which i would like to bring back to the UK.

The 'sensible' thing to do is to sell it in South Africa and buy an equivalent bike in the UK, thereby saving on hassle, shipping, VAT and duty.

However, I'd prefer to get 'my' bike back but think I'd have to pay 20% VAT and 6% duty on the market value of the vehicle, plus delivery costs. (I have raised a query with HMRC to confirm this since the formal guidance states this is payable on the 'purchase price' whereas my brother will gift the bike to me, but I'm not holding my breath).

Assuming they do use market value, if the bike is worth say £4k and shipping is say £1,500 that means paying £1,430 in VAT and duty, plus £1,500 in shipping. I am not that sentimental!

I am less clear about whether it might be possible to recover some of the VAT and duty paid in South Africa when the vehicle is permanently exported. If I could, this could offset some of the UK costs. I'll ask my brother to explore this locally and report back lest this is of help to others.

Is anyone able share any insight?

sandrodz 7 Jun 2017 06:49

I was looking into this a while back. I want to migrate to Switzerland and take my car. If I remember correctly, VAT was waived if car was in my possession for more than 6 month. In that case it counted as a private item and wouldn't be taxed.

mark manley 7 Jun 2017 07:08

There is single vehicle approval if it is not to EU standards, I have not used it but it sounds like what you are after. https://www.gov.uk/vehicle-approval/...hicle-approval
If you can prove you have owned it for more than six months before and keep it for a year afterwards I don't think VAT is payable and I shipped a bike to the UK from Cape Town for about £600 three years ago, this included delivery to my address. I used this company who are actually a movers and the container did not leave until it was full rather than on a schedule so it sat in storage for a month but they were good and reasonably priced. https://biddulphs.co.za/

backofbeyond 7 Jun 2017 08:29

I can't help with the specifics of South Africa VAT refund but when I looked at bringing my US purchased bike back to the UK a year to so ago there was no way round paying import duty +VAT on its UK market value that I could find. The import duty isn't too bad but it's the VAT that kills it as a proposition.

I did wonder about having it brought in by a VAT registered business who might then be able to claim it back and "lease" the bike to me but as I don't know anybody who is a. VAT registered and b. trustworthy enough I didn't pursue it. Most of the loopholes for doing this kind of thing seem to have been plugged and if there are any left they may be more trouble than they're worth (I seem to remember at one time you could bring things in cheaper through Ireland but when I looked it was more expensive than a straight UK import).

Tomkat 7 Jun 2017 10:20

Quote:

Originally Posted by mark manley (Post 564944)
If you can prove you have owned it for more than six months before and keep it for a year afterwards I don't think VAT is payable

Yep no tax or duty if you're changing address and bringing a bike you own back into the UK. Start from here and follow the links, all the info is there.

https://www.gov.uk/importing-vehicle...he-uk/overview

https://www.gov.uk/government/public...-the-uk-on-tor

backofbeyond 7 Jun 2017 10:52

Quote:

Originally Posted by Des Senior (Post 564956)
Yep no tax or duty if you're changing address and bringing a bike you own back into the UK. Start from here and follow the links, all the info is there.

https://www.gov.uk/importing-vehicle...he-uk/overview

https://www.gov.uk/government/public...-the-uk-on-tor

Are you sure about that? I read TE's original post to be that he's a UK citizen wanting to bring a South African registered bike to the UK. If that's the case doesn't the section 4 bit of the regs (copied below) apply? -


Why you imported it What and how you pay

1. You’re moving to the UK with your vehicle No VAT or duty if you qualify for relief

2. You’re returning an exported vehicle to the UK No VAT or duty if you qualify for relief

3. You’re visiting the EU with your vehicle No VAT or duty if it qualifies as a temporary import

4. Any other reason - if you’re not VAT-registered VAT and duty - pay customs at the UK border (your shipping company may do this for you)

5. Any other reason - if you’re VAT-registered VAT and duty - pay customs at the UK border (your shipping company may do this for you) and claim the VAT on your next VAT Return


If it was a UK bike and he rode it down to SA then it would be section 2 and no tax/VAT payable but otherwise money is likely to have to change hands.

I'm no expert on this (to say the least!) but that's how I read it last year. I suppose TE could argue that he'd left the UK (emigrated) and was now returning so it would be section 1 that applied (so no payment) but I suspect you have to do more than just go elsewhere for a while to qualify (like take out citizenship). My son has not lived in the UK for five years now but he's still UK registered as far as the tax authorities are concerned.

Tomkat 8 Jun 2017 05:10

Well I'm working on the basis that by the time I come back to UK bringing a bike I'll be able to show that I have been residing and working abroad for more than a year, with tenancy agreements and wage slips to show as evidence.


All times are GMT +1. The time now is 05:06.


vB.Sponsors