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Importing into the United Kingdom

How a parcel to the UK is taxed in 2026: VAT at checkout up to £135, duty and VAT above it, the end of the £135 duty relief by October 2028, Northern Ireland.

Updated · 8 official sources

A parcel sold to a consumer in Great Britain with a value of £135 or less pays no customs duty, and the seller or online marketplace charges UK VAT at checkout instead of the buyer paying at the door. Above £135, import VAT and customs duty are charged at the border. The government has decided to end the £135 duty relief, with new arrangements due by October 2028 at the latest.

Rules as of 30 October 2026.

What does a parcel to the UK pay?#

A parcel to a consumer in Great Britain pays UK VAT at any value, collected at the point of sale up to £135 and at the border above it, and customs duty only when its value is over £135 or it contains excise goods. The standard VAT rate is 20%, with a reduced rate of 5% and a zero rate for some goods, such as most food and children's clothes.

Consignment VAT Customs duty
£135 or less, sold to a consumer Charged by the seller, or the marketplace, at the point of sale None, unless it contains excise goods
Over £135 Import VAT paid at the border by the importer At the UK tariff rate for the commodity code and origin
Gift between individuals worth £39 or less None None, unless excise goods
Excise goods (alcohol, tobacco, vapes) Import VAT at the border Duty and excise duty at any value

Import VAT in the United Kingdom

Country Tax Standard rate Since Official source
United Kingdom VAT 20% gov.uk

border.bot live data from each country's official publications, updated 2026-10-11

Low-value thresholds for the United Kingdom

Country Duty-free up to Tax-free up to Currency Value counted Official source
United Kingdom 135 GBP customs value gov.uk

border.bot live data from each country's official publications, updated 2026-10-11

The UK has its own tariff, which Guernsey, Jersey and the Isle of Man also apply. The UK import rules page has the details, and the landed cost calculator adds duty and VAT for a UK address.

How is the £135 limit measured?#

The £135 limit is measured on the intrinsic value of the whole consignment: the price the goods were sold for, adding up every item sent together, without transport and insurance unless those are included in the price and not shown separately. Other identifiable taxes and charges are left out too, and the limit applies per consignment, not per item.

Excise goods and gifts are outside the £135 rules altogether. If the value turns out to be over £135, normal import VAT and duty apply and VAT you already charged has to be adjusted. Rules for registering, invoicing and marketplaces are in the UK VAT guide.

What is changing with the £135 duty relief?#

At the Autumn Budget 2025 the government announced it would remove the customs duty relief for goods valued at £135 or less. After consulting from 26 November 2025 to 6 March 2026, it published its decisions on 13 July 2026, and it has brought delivery forward by six months to October 2028 at the latest.

Under the decisions, sellers, and online marketplaces where they facilitate the sale, will be responsible for duty on these low-value imports and will pay it to HMRC quarterly. The full UK tariff will apply, since the government decided against a simplified rate schedule, so every product needs its commodity code. Sellers and marketplaces will give HMRC item-level data. Those with no UK presence are expected to need a UK fiscal representative jointly liable for their debts. The government also intends an additional fee on low-value imports, with details to follow, and will keep the £39 relief for gifts between individuals.

Draft primary legislation was published with the response, and secondary legislation and guidance are still to come, so dates and details may still move. How VAT will be collected under the new system is still being considered. HMRC also consulted until 18 August 2026 on extending marketplace VAT liability to sales by UK-based sellers.

How is Northern Ireland different?#

Northern Ireland follows some EU rules for goods under the Windsor Framework, so a parcel sent there from outside the UK and EU is treated differently from one sent to Great Britain. VAT on consignments of £135 or less is still accounted for by the seller, but customs duty follows EU rules for goods considered at risk of entering the EU.

For a non-business recipient, at-risk goods worth £135 or less are charged €3 per item, converted to sterling, the same flat duty the EU applies, and goods over £135 pay the EU rate. Businesses pay duty on at-risk goods unless they claim a waiver or relief. Safety and security data for goods arriving in Northern Ireland goes into the EU's ICS2 system, since HMRC closed its older ICS NI system to entry summary declarations after 31 December 2025; the ICS2 guide covers the data needed.

What does a seller need for the UK?#

A seller outside the UK that sells consignments of £135 or less directly to UK consumers through its own store must register for UK VAT, because businesses with no UK establishment have no registration threshold. Sales made through an online marketplace are handled by the marketplace, which charges and pays the VAT instead.

Every product also needs a UK commodity code, which matters more as the duty relief ends. The HS code classifier returns UK codes, and the commercial invoice generator produces the invoice that travels with the parcel. Digital products follow separate rules, covered in the UK digital services VAT guide.

UK guides#

  • UK VAT on goods sold to UK customers: How UK VAT works for overseas sellers: VAT at checkout up to £135, HMRC registration, when a marketplace is responsible, sales above £135 and Northern Ireland.
  • UK VAT on digital services: How UK VAT applies to digital services sold to UK consumers: what counts, registering from the first sale, proving where buyers live, platforms and businesses.

Common questions#

Is there customs duty on parcels under £135 to the UK?#

No, not for goods sent to Great Britain, unless they are excise goods. The government has decided to remove this relief, with new arrangements due by October 2028 at the latest, after which sellers and marketplaces will pay duty on these goods quarterly.

Who pays VAT on a parcel under £135 to the UK?#

The seller charges UK VAT at the point of sale and pays it to HMRC, or the online marketplace does when the sale goes through one. The buyer doesn't pay VAT again on delivery.

When does the UK £135 duty relief end?#

The government has committed to new arrangements by October 2028 at the latest, six months earlier than its first deadline of March 2029. The exact start date will be set in legislation that is still being prepared.

Sources#