Consignments of goods with a value of £135 or less that are outside:

• the UK and sold through an online marketplace to customers in Great Britain (England, Scotland and Wales) will have UK supply VAT charged at the point of sale
• the UK and EU and sold through an online marketplace to customers in Northern Ireland will have import VAT charged

The £135 limit applies to the value of a total consignment that is imported, not the separate value of individual items that are in a consignment.

To charge and account for VAT the online marketplace will need to:

• know the precise nature of the goods to find out the correct rate of VAT to charge
• register for VAT — online marketplaces that are already registered for VAT do not need to re-register
• keep records of the goods sold, and make sure they get accurate information to apply the correct VAT treatment to the goods

What does this mean for the non-UK seller?

Ultimately, what it means is that if you are already selling to UK customers online or through a marketplace you should be VAT registered, and filing quarterly returns.