Many articles are conveyed to India every day from the UK by various means chosen by patrons; more often than not, under unaccompanied excess baggage, courier delivery, or in the form of general cargo.
Unlike other regular commodities, sending electronics to India often seems a complicated venture, for its duties, taxes, and the varied procedures and documents it requires. And, a pain in the neck while claiming VAT on the electronic goods purchased in the UK for tourists.
Transfer of Residency Duties Exemption on Electronic goods
India, a country with no minimum threshold when it comes to duties and taxes; hence they are inevitable mainly on the electronic goods. However, under unaccompanied excess baggage category, these unavoidable expenses can be exempted to a certain extend by Transfer of Residency claim from the UK to India. For it, NRIs has a liberty to claim a dutiable electronic item of a kind as duty free.
For instance, a passenger returning to India after its stay in the UK for more than 2 years without staying in India not more than 6 months and carrying two laptops in excess baggage can avail first laptop as duty free, and for the second he has to pay the duties as per the relegations.
Claiming VAT in the UK on Electronics
In origin (United Kingdom), a common dilemma raises its head to travelers when they look to claim VAT on electronic goods purchased in the United Kingdom while leaving the country.
Usually, there is a customary wave among the tourists and passengers returning to India that VAT is claimable on electronic goods (or any merchandise brought in the UK) using the services like Unaccompanied baggage, Courier or Cargo mode.
But the matter of fact is that the VAT is only retrieved by means of ‘Merchandise in Baggage’ (MIB). It’s a simple process where passengers need to complete an electronic export declaration, or exceptionally a document C88/ESS.
Simply you need to take a print of this or the EAD (Export Accompanying Document), also have the EAD stamped as evidence of export; consequently, you can zero-amount the goods for VAT.
As this formality is only completed when you’re checking in for travelling at the Airport, so be prepared with documents for formalities with the officer, and also leave sufficient hours to yourself for completion of the process.