Thread: Goods from Europe - Value Added Taxes

I'd like to know, too. I bought some goods from Germany and the seller said that if I didn't pay the VAT, then he would have to.

Online purchases from Germany should be exempt from GST (MwSt - or Mehrwert-Steuer - literally "More Value Tax"). MwSt is 19% on most items.

However, it is probably a long and complicated process for German companies to prove to the tax office that the purchase doesn't attract MwSt.

In general, products exported overseas (i.e. outside EU) don't attract VAT/MwST or similar taxes.
Within EU, if the buyer has a valid VAT number (or similar), products can be purchased without paying VAT/MwSt/Moms or whatever it is called. If the product is exported outside the EU, the tax will be deducted on purchase and does not have to be paid. If a non-EU citizen is purchasing goods in an EU-country, tax will be refunded when exiting EU (certain regulations prevail).
If ordering from abroad, e.g. online, the seller needs to give proof of selling abroad and does not have to pay the VAT/MwSt or whatever. If it comes to the worst, he will get a refund from the tax office. It's a paperwork exercise but any trader worth its salt should know the correct procedure. I know by own experience that dealing with the tax office can be a pain in the ****, though.

Ok - thanks - so when purchasing from Australia I should not have had to pay MwSt which I was charged at 20% on both the purchases and shipping.

It came to 113€ ($160). I guess I will just have to chalk that up to a lesson learnt and something to ask about in future purchases.

Thanks

Garry

He probably thought he was sending to Austria...

Originally Posted by garrycol

Ok - thanks - so when purchasing from Australia I should not have had to pay MwSt which I was charged at 20% on both the purchases and shipping.

It came to 113€ ($160). I guess I will just have to chalk that up to a lesson learnt and something to ask about in future purchases.

Thanks

Garry

You *may* need to pay MwSt on the shipping. I am not sure if the rules extend that far.

German taxes and customs are horribly complex and very strict. Once I had to go to the local Zoll Amt and pay import duty and MwSt on presents from relatives in Australia, because the declared value was higher than the allowable limit (something like E30).

However if the seller won't remove MwSt then shop somewhere else...

Originally Posted by isuzurover

You *may* need to pay MwSt on the shipping. I am not sure if the rules extend that far.

German taxes and customs are horribly complex and very strict. Once I had to go to the local Zoll Amt and pay import duty and MwSt on presents from relatives in Australia, because the declared value was higher than the allowable limit (something like E30).

However if the seller won't remove MwSt then shop somewhere else...

No, shipping does not attract MwSt for goods exported outside EU. I do agree that the German taxation system is a pain in the back, to say the least.
As for the import duty and tax, it is the same all over EU. I had to pay all this for the AULRO spare wheel cover, because the declared value just passed said limit