Import VAT Calculator UK

Calculate customs duty and import VAT on imported goods instantly. Essential tool for importers, e-commerce sellers, and businesses receiving international shipments.

IMPORT CALCULATOR

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£
Common Rates
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UK Rates
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Breakdown

Customs Duty

£

0.00

Import VAT

£

0.00

Total to Pay

£

0.00

Total Cost

£

0.00

Goods + Shipping + Duty + VAT

How Import VAT Works in the UK

Understanding post-Brexit customs charges and VAT on imported goods

Since Brexit, the United Kingdom no longer has free movement of goods with the EU. All imports from outside the UK customs territory—including from the EU—are now subject to customs duty and VAT. Here's what you need to know:

  • Import VAT applies to all goods: Whether imported goods are free of duty or not, VAT is charged on most goods entering the UK.
  • Calculated on customs value: VAT is calculated on the goods value plus shipping, insurance, and customs duty—not just the goods alone.
  • Two separate charges: Customs duty and import VAT are calculated separately. Both must be paid to clear your goods through customs.
  • Standard rate usually applies: Most imports are charged VAT at the standard rate of 20%, though 5% and 0% may apply in specific cases.

Understanding Customs Duty

What it is and how rates are determined

What is Customs Duty?

Customs duty is a tax imposed on goods imported into the UK. It's separate from VAT and is charged to protect domestic industries and generate revenue. The rate depends on the product type (HS code) and country of origin.

How Rates Are Determined

The UK uses the Global Tariff Schedule to determine duty rates. Rates vary from 0% (for some raw materials) to 25% (for certain goods). Your product's HS code (commodity code) determines its classification and applicable rate.

Step-by-Step: How Import Charges Are Calculated

A walkthrough of the calculation process

1

Calculate Customs Value

Add the declared value of goods plus all shipping and insurance costs.

Customs Value = Goods Value + Shipping + Insurance
2

Calculate Customs Duty

Multiply the customs value by the applicable duty rate for your product.

Customs Duty = Customs Value × Duty Rate
3

Calculate VATable Amount

Add the customs value and the customs duty to get the base for VAT calculation.

VATable Amount = Customs Value + Customs Duty
4

Calculate Import VAT

Multiply the VATable amount by the applicable VAT rate.

Import VAT = VATable Amount × VAT Rate
5

Total Cost

Sum all components to get your total landed cost.

Total Cost = Goods Value + Shipping + Customs Duty + Import VAT

Common Duty Rates for Popular Products

Example rates—always check the Global Tariff Schedule for your specific item

Product Category Example Products Typical Rate
Electronics Phones, laptops, chargers 0-5%
Clothing Apparel, shoes, accessories 8-17%
Food Products Snacks, beverages, spices 5-25%
Cosmetics Skincare, makeup, perfumes 0-6.5%
Furniture Tables, chairs, home goods 0-5%

Important: Duty rates vary based on product HS codes and origin country. Always check the UK Trade Tariff for precise rates applicable to your goods.

Low Value Consignment Relief

Thresholds and rules for small shipments

What is LVCR?

Low Value Consignment Relief (LVCR) applies to goods valued at £150 or less (including insurance and shipping). These items may be exempt from customs duty but are still subject to VAT in most cases.

  • Duty exemption: Goods under £150 are typically exempt from customs duty
  • VAT still applies: VAT at 20% is charged on most items, even under the relief threshold
  • Exceptions: Some products (alcohol, perfumes, tobacco) do not qualify for LVCR and are subject to both duty and VAT

Goods Qualifying for LVCR

  • Books and educational materials
  • Most clothing and textiles
  • Electronics and accessories
  • Cosmetics and toiletries
  • Most food products

Goods NOT Qualifying for LVCR

  • Alcohol and beverages
  • Perfumes and fragrances
  • Tobacco products
  • Certain medicines
  • Some hazardous materials

How to Pay Import VAT and Duty

Practical guide to clearing your goods through customs

1

Declare Your Goods

Provide accurate information on a customs declaration (SAD form or digital equivalent). Include goods description, value, and HS code.

2

Customs Assessment

HMRC calculates duty and VAT owed. You'll receive a bill (either directly or via your postal operator/customs agent).

3

Pay Charges

Pay the charges to HMRC or your postal operator. You may be able to pay online, by bank transfer, or through a payment plan for large amounts.

4

Goods Released

Once payment is received, customs clears your goods and releases them for delivery. This typically happens within 24-48 hours.

Tip: If you're a regular importer, you can apply for a Deferment Account to pay HMRC duty and VAT monthly, improving cash flow. Contact HMRC for details.

Frequently Asked Questions

Get answers to common questions about import VAT

VAT relief is not available for most business-to-business imports into the UK. However, if you're VAT-registered, you may be able to reclaim the import VAT paid on goods for business use through your VAT return.
Delays can occur due to missing documentation, incorrect declarations, or routine checks. Storage charges may apply. Work with a customs agent or use a service like Import Helper to ensure smooth clearance.
Very few exemptions exist. Humanitarian aid, diplomatic goods, and certain educational materials may qualify. Most imports are subject to the standard 20% VAT rate.
Use the UK Trade Tariff tool at trade-tariff.service.gov.uk. Enter your product description to find the correct HS code and applicable duty rate. You can also contact HMRC or a customs broker for assistance.
For small occasional imports, you may handle it directly. For regular business imports, a customs agent (broker) can simplify the process, ensure compliance, and potentially save money through optimized duty classification.

Related Tools & Resources

Explore more VAT tools and guides:

Reverse VAT Calculator UK VAT Rates Digital Services VAT Guide VAT Exempt Items VAT Calculator

Official UK tax resources:

GOV.UK – VAT on Imports GOV.UK Trade Tariff Lookup