Thread by @uk_domain_names

Got some bad news for you. After Brexit, in the event of no deal, the Government is going to rejig the system so that VAT is payable on parcels of any value from overseas (including EU) unless they contain goods from categories that are zero rated for VAT.
gov.uk/government/pub…

So VAT will be payable on anything £0-£135, and both VAT and import duties will be payable on stuff over £135. Now, the sender is supposed to register with HMRC and pay the VAT on <£135 stuff, but...
A) How many businesses will bother
B) They will pass the cost on to the consumer

Alternatively, they can leave off the VAT and it will be up to the recipient to pay it, just like you have to do for stuff worth >£15 now from countries outside the EU. That will mean it will be held by Royal Mail, ParcelForce etc. and you'll get a little card in the letterbox.

You'll have to pay the VAT (and possibly duty, depending on the consignment value) plus a handling fee. It's £8 for Royal Mail, and a similar amount for other carriers.

You can expect a lot more scrutiny of parcels coming in too, because HMRC will know that VAT is payable on *everything* not just stuff >£15. (Unless it's in a VAT zero rated category, like childrens' clothes). So no more undervaluing stuff with a wink and a nod.

Net effect? If you buy a £10 item from the EU, it will cost you £12 in future, or £20 if you get stung for the handling fee too because the sender didn't take care of the VAT their end. And if you're used to getting cheap stuff from China and ROW without VAT, that ends too.

And if you bought something worth £200 from the EU, e.g. a mobile phone from Amazon France, then after Brexit you would pay £240 (with VAT) plus some additional duties levied at various levels depending on the category of product. And maybe a handling fee. (all vs £200 now.)

I looked at this in more detail in my book, and tried to work out who might benefit from the new rule, and who stands to lose out. (It's in no way an exact science because, until it's in place, it's impossible to tell how many overseas sellers will register and how many won't.)

That's just one of many topics in "Slaying Brexit Unicorns". It busts two dozen Brexit myths, looks at the reality of no deal and trade on WTO terms, and includes over 250 examples of Brexit damage (job losses, business moves etc.)
amazon.co.uk/dp/B07Z1FTRQW/…