July 2021 EU e-Commerce VAT Package goes into effect

ATTENTION EU CUSTOMERS! THIS APPLIES TO YOU!

DHL SHIPPING, NEW VAT E-COMMERCE RULES, AND HOW DANGEROUS THINGS WILL HELP SHARE THE COST

NEW VAT LAW NOW IN EFFECT

New VAT e-commerce rules abolish the 22 EUR de minimus provision as of 1 July 2021. Because of this, from 1 July 2021, all commercial goods imported into the European Union (EU) from a country or territory outside of the EU will be subject to VAT irrespective of their value.

This means Dangerous Things is now obligated to collect VAT for products shipped to customers within the EU. However, since VAT rates are different for each country within the EU, and these rates are expected to periodically change, we have elected to have DHL, the freight forwarder Dangerous Things uses to export goods to the EU, to collect this VAT due on orders as well as the normal duties they would typically collect (if applicable) on the shipment.

This means any applicable VAT will be collected AS WELL AS any applicable import duty on your parcel will NOT BE CHARGED AT THE TIME OF SALE. The VAT will be assessed on total order value and any additional duties will be assessed on shipments whose value is greater than 150 EUR, and these combined fees WILL BE CHARGED TO YOU BY DHL BEFORE YOUR PARCEL IS CLEARED FOR DELIVERY

AGAIN…

DHL WILL PAY YOUR VAT AND ANY APPLICABLE DUTIES IN ADVANCE FOR YOUR SHIPMENT, THEN COLLECT THOSE FEES FROM YOU BEFORE CLEARING YOUR SHIPMENT FOR DELIVERY

This approach is actually a good thing, because DHL accelerates the customs clearance process by paying applicable VAT, duties, and other regulatory charges in advance, on behalf of you. Of course, DHL also assesses a nominal fee for this advanced payment. This fee is based on the credit advanced or guaranteed to EU regulatory authorities and is subject to a standard minimum of approximately 14.60 EUR or 2.55% of the amount of duties and taxes if higher.

DHL will notify you by email of VAT and any duties that are due in advance of delivering your shipment.

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