Rest Of World Tax Free (1 Viewer)

[Tony Neville]

Guys

Further to a thread about the British Sherman yesterday.

Just wanted to clear up (and not to try and take off of any US dealers) that if you guys order from the UK you get the list price minus 17.5% as you do not pay european VAT.

As i said not want to take customers aways from some good friends and dealers in the states. But if you see some discontinued items that we may have but nobody else, then please ask. As we can most probably get it to you for the same price as you would pay from a dealer in the States.

Pete great forum the best in fact.

Tony Neville
K&C UK

 

[UK_BOD]

Hi,

Question for you Tony.

You state that US buyers don't have to pay VAT on their order's from you, which is correct, but you then say that you can give them the discontinued product for the same price as they pay in the US.

Take SF05 which is £74.95 in the UK and $85.00 in the US.

£74.95 - 17.5% is £61.83 now at present exchange rate which is about 1.75 gives you in US doller's $108.21 which is about $23 higher than the US price. Are the good old Brit's getting diddled.

Rgds

Andy

 

[Monty]

Andy

If you call having to pay £13 on the SF05 more because of the UK VAT then YEP SIR RE BOB we are getting diddled.

Lets not forget that all above board companies in EUROPE now pay VAT.

I have tried the alternative of ordering from the states and been stung twice once on a lost shipment and the second time the post man handing me the tax request by custom and excise. Also shipping would get it back up to the same price.

It depends what your after.

I think Tony Blair, neh! Gordon Brown should ask why we have to pay VAT on K&C!!!!!....................come on Blair i am sure you would collect K&C.

Monty

 

[jazzeum]

Tony,

Is there a way to find out what retired items you have that you would be selling other than through Live Bid or is that the way you want to go?

 

[UK_BOD]

Hi Monty,

I totally agree with you, the £13 we would pay on VAT is a real downer, if only Blair and co were collectors we may get an exemption.

However, as I stated in the example above after VAT the cost of SF05 would be £61.83 in the UK, which is $108.21 at current exchange rates (1:1.75ish). The US market pays $85, the difference being $23. The UK customer therefore pays $23 more for SF05 than the Americans after VAT has been taken away.

A quick check of exchange rates over the last 2 years give rates of High 1.96,(cost $121.19) Low 1.70 (cost $105.11) and an average of 1.82.(cost $112.53). The figures in brackets is the equivalent price in US$. Therefore to say that the high price in the UK reflects uncertainty in the exchange market is wrong. We pay more than the Americans do, period.

VAT has already been taken away from all these figures add 17.5% for the real figure.

The lowest exchange rate in the last 6 years was Aug 01 when it was 1.36 which gives a figure of $84.1. Therefore this has been the only month in the last 6 years when the American paid more for a figure than we did. (There again we had VAT on top of this - so they didn't).

Monty, why should we order from the States, we should be getting a better deal in the UK.

My question remains, why do we pay more for figures (mostly 30%+) than our American brothers after VAT has been taken away?

Also, on the subject of the Americans receiving the vehicle (or figures) at the same price as from dealers from the US. Does this mean that we won't pay postage in the UK, so as to also benefit from the fact that we would get those prices the Americans would pay ( plus 17.5% of course)?


Best Wishes

Andy

 

[Tony Neville]

Andy

sorry everyone, this post was not ment to turn into a currency lesson for others.

Just to clear a few things about UK pricing. Apart from the VAT (not our fault) nobody is being diddled. If you order from the states with the way the £ is against the $ then you can be in for a deal. But these guys then have to get it across the pond!!!

The SF05 example you use is a good one but the maths is a bit scew!!!

That item is for sale rest of the world at £63.79. It would be 20% of the cost to send it to the states making it £72.72. As you can see not much in it to the door. K&C UK get in there bank £72.72 from an American sale.

I think we have to remember that if your a Brit and order from the states the rate is good, todays bank tourist rate (not Credit card rate, business trans rate) is £1 = $1.75 (forget the bits) making it maybe worthwhile to order from the states. However if your an American you only get 57pence to the $1US. Making £72.72 @ .57p $127 for the SF05. Therfore an American would not want to get it from us, sorry US people. But the $85 they then have to put shipping on and dependant where it is they still MAY get a better deal from the UK. If you wanted to convert that back to UK you would get £72.57.

Monty is right maybe the odd bit from the states and you get a deal. But i in the past (and sorry guys it was StarWars figures) have ordered a lot of items from the states and i too have had both experineces.

When i mentioned about doing a deal on shipping, there was a bit of tounge in cheek anybody willing to spend enough will get a deal on the shipping. If you want to place an order with Mike that is worthwhile Andy we could do something on the shipping in the UK.

The prices around the world on K&C are roughly the same (give or take a couple of quid) but by no means 30%+++

Also you need to check your VAT, its £63.79 not £61.83. But i am very impressed with the Currency history Do you work with currency?

Sorry if i have confused anybody as i say the K&C product is a very balanced priced item around the world. Everybody has to allow for their different State or country tax's.

Brad LIVEBID is the way that Mike is going (get him a couple pints of Bitter in NY in MArch see what you can do)

All the best

Tony Neville
K&C UK

 

[Eazy]

Head Hurts. Maths. Numbers . Aaaaaaaaaaaaargh

 

[jazzeum]

Tony,

After reading your post, I can honestly say I have no idea what you just said.

 

[UK_BOD]

Hi,

Thanks Tony for your reply, but....

I take it we pay 17.5% VAT on your K&C products. Therefore

£74.95 /100 = 0.7495 x 82.5 (100-17.5) = £61.83. However your figure comes from a VAT of about 15%.

So am I wrong?????

The guys from the States cannot get the item at a similar price to their normal dealers.

I still stand by the figures I gave in my currency conversion. With the exchange rate as it is there is a major imbalance with US$ prices. I believe that prices are higher here in the UK (after VAT) than elsewhere and that although I am not forced to buy at these prices, it is my hobby and I collect K&C because they are the best around.

I consider this topic closed, unless you can tell me where you believe my maths is a bit skew. Apologies for the headache's. I work with numbers all the time.

One last point

When has £63.79 + 20% been £72.72

Best Wishes Everyone

Andy

 

[Pierre]

The rest of the world is not tax free everywhere. In Québec, the total amount of taxes is 15.56%.

Pierre.

 

[CannonFodder1971]

Hi,

Thanks Tony for your reply, but....

I take it we pay 17.5% VAT on your K&C products. Therefore

£74.95 /100 = 0.7495 x 82.5 (100-17.5) = £61.83. However your figure comes from a VAT of about 15%.

So am I wrong?????


Andy

Hi Andy, The £74.95 is actually 117.5% of the price inclusive of the VAT. So divide by 117.5 and multiply by 100 to get the original price before VAT was added. I believe that works out as £63.79 as Tony said.

I'm based in Ireland, and I think that under the "4th Directive" I can claim to pay the rate of VAT applicable here in Ireland, as it is a consumer tax of sorts on goods and services. Alas VAT here is 21%. So I'll stick with the UK rate and allow Her Majesty's govt's coffers that few extra shillings each year.

 

[Steven Chong]

While I do not work with currency, I am aware of the differences in exchange rates since many of my foreign clients think in terms of Hong Kong dollars and other Asian currencies. I also have to constantly figure out if my son is getting a bargain buying a toy in Hong Kong i.e. is it cheaper to wait to buy the same toy in the U.S.

First, for this discussion, lets mutually agree on exchange rates, prices and other terms:

£1 = US$1.75
US$1 = £0.57
SF05 (Royal Marine Commandos) is listed on the K&C website and U.S. dealers for US$85 and by K&C U.K. for £74.95 including VAT (value added tax)
Postage will be 20% of purchase price.

According to Tony, VAT adds 17.5% to basic cost of set, so 17.5% of £74.95 is £13.12; the cost of SF05 without VAT is £74.95 - £13.12 = £61.83, so Andy (UK_BOD) has correct numbers in his post using Tony's percentage of 17.5% to calculate the VAT.

A U.S. person buying SF05 from K&C UK would pay £61.83. £61.83 x 1.75 = US$108.20 or US$23.20 (US$108.20 - US$85) more than from a U.S. Dealer.

With 20% shipping cost or £12.36, the total cost would be £74.20. £74.20 x 1.75 = US$129.84, leading to Tony's comment that a U.S. person would not want to get it from K&C U.K.

An U.K. person buying SF05 from an U.S. dealer would pay US$85. US$85 x 0.57 = £48.45. With 20% shipping cost or US$17, the total cost including shipping from the U.S. dealer would be US$102 or £58.14 (US$102 x 0.57). Now, assuming all U.K. postmen are like Monty's, the U.K. person gets a tax form with his package and pays 17.5% of £48.45 (assuming VAT is not added to shipping costs) or an additional £8.48, so his final cost is £66.62 with VAT and shipping.

Now, ignoring shipping costs and taxes, if the U.K. price for SF05 without VAT is £61.83 and the U.S. price in £ is £48.45, I see Andy's point. However, Tony is correct the difference is smaller when you add in VAT and shipping. An U.K. person buying SF05 from K&C U.K. would pay £74.95, which from Tony's posts appear to include local shipping, so K&C U.K. only costs £8.33 or US$14.58 more than a U.S. dealer with shipping and VAT.

Of course, the difference does get worse if K&C U.K. adds a shipping cost to U.K. residents.

 

[CannonFodder1971]

According to Tony, VAT adds 17.5% to basic cost of set, so 17.5% of £74.95 is £13.12; the cost of SF05 without VAT is £74.95 - £13.12 = £61.83, so Andy (UK_BOD) has correct numbers in his post using Tony's percentage of 17.5% to calculate the VAT.

QUOTE]

Steven, The VAT is included in the £74.95, and thus it is the principal amount plus 17.5% VAT on top of that principal, i.e. £63.79 + 17.5% (£11.16), which amounts to £74.95,

I too spend a bit of time juggling currencies, and before the advent of the euro I regularly had to work out francs, marks, drachmas, lira etc when buying from around Europe.

 

[Steven Chong]

The rest of the world is not tax free everywhere. In Québec, the total amount of taxes is 15.56%.
Pierre.

One of the great things about the U.S. is there is no national sales tax i.e. no tax if you buy from a dealer outside your state. Of course, many will argue this is just one of the many reasons why the U.S. federal and state governments have budget deficits and financial problems.

 

[Steven Chong]

Steven, The VAT is included in the £74.95, and thus it is the principal amount plus 17.5% VAT on top of that principal, i.e. £63.79 + 17.5% (£11.16), which amounts to £74.95,
I too spend a bit of time juggling currencies, and before the advent of the euro I regularly had to work out francs, marks, drachmas, lira etc when buying from around Europe.

Thank you for the clarification. Using £63.79 as the price without VAT actually makes it more expensive for a U.S. person buying from K&C U.K. £63.79 x 1.75 = US$111.63 or US$26.63 (US$111.63 - US$85) more than from a U.S. Dealer.

 

[Eazy]

Here in Britain when you get charged import duty you also get charged an £8 administration fee. Plus the import duty is charged on the entire price including shipping.

 

[UK_BOD]

Hi,

I'll make accountants out of all of you.

I'm not by the way.

Andy

 

[Steven Chong]

Here in Britain when you get charged import duty you also get charged an £8 administration fee. Plus the import duty is charged on the entire price including shipping.

Correcting the example in my post, an U.K. person buying SF05 from an U.S. dealer would pay US$85. US$85 x 0.57 = £48.45. With 20% shipping cost or US$17, the total cost including shipping from the U.S. dealer would be US$102 or £58.14 (US$102 x 0.57). Paying 17.5% of £58.14 + £8 administrative fee adds £18.18, so his final cost is £76.31 with VAT, admin. fees, and shipping. Now, does K&C U.K. charge shipping and if yes, how much?

 

[Pierre]

Fortunately I quit smoking 5 years ago so I can collect now. It would be impossible to do both. Too much taxes

Pierre.

 

[Tony Neville]

As the person who started this thread and now wish i had my Jim Beam with me at work!!!! i thought i would be the one to try and close it.

The point i was trying to get across regardless of what calculators we use or way we work out the VAT. That yes most things are cheaper in US including the VAT but with the cost of shipping in and out of the UK the costs we charge are primarily to cover the overheads we pay on this lovely island.

I took (most probably to close to heart) the qoute 'are the good old Brits getting diddled' As the main dealer of K&C in UK and supply to a lot if not most in Europe, i am sure you all can appreciate that this quote would seam a very close to home quote.

Mike & Sue (Mum & Dad) have worked very hard over the last 11 years establishing K&C UK and their relationship with Andy. In 2004 and 2005 myself and my brother put our careers on hold to join them to help them with the Beast of K&C UK they had developed. I can assure you as i sit here no body is getting diddled. The price to america is only less the VAT. So we do not do a deal for anybody outside the UK.

My quote for shipping was maybe a little bit of a school boy error. We do have a lot of US and other members customers from around the world, but as you can imagine we concentrate more on Europe. OUr US and rest of world customers always make sure they order a shipment that will be worth while including shipping.

Long and short of it all it is out there to get and with the WWW it is up to us all on how we get it, and what price we pay. i can assure you that the K&C product is of similar price throughout the world if you take into account state or country tax's.

Andy appreciate yoru feedback and as i said respect to somebody that can get the information to hand that you do.

By the way i get my brother Bob Neville who is always backwarda and forwards to get my PSP and PS2 games for my kids and handbags for my wife, we definatly getting diddled on that one

over and out

Tony