This is made up of £250 VAT and £150 Duty Charge (plus a £15 'fee collection charge!). I get the VAT but not the Duty Charge. I did some research this morning and apparently the duty charge depends on the ‘HS’ code applied to the product. However, there isn’t one for ‘Virtual Reality’ headsets but similar(ish) items such as computers, monitors, LCD TVs HiFi Turntables and stuff like that (i.e computers and electronic entertainment) have codes that are duty zero rated.
I phoned FedEx and the lady I spoke to, who seemed on the ball with this stuff, looked into it and told me that pimax supplied the HS code (which is 9504509100) but this doesn’t come up with anything on the HMRC system. So she thinks that the FedEx ‘clearance team’ would have used a default code. She gave me the clearance team’s email address and told me to email them which I’m about to do and will update. But in the meantime if anyone else has any knowledge, experience of this would be good to hear?
Doesn’t surprise me at all, tbh. Exporting is an art of its own and from my experience, as most start ups Pimax have not gotten down to the very bottom of it and hired a dedicated person for doing this properly including 5 fold proforma invoices with the correct merchant value and harmonized tarrif codes. I won’t blame them too much but something definitely missing to make them prosper on an international market - or, in case search for local partners that do care of importig it into the various regions rather than to ship direct.
Hi lloyd, I had a similar experience. Pimax commercial customs invoices supplied with the headset use the HS code 9504509100. I have mine in hand and can swear by this. It is 0 rated for duties. FedEx did not check and also charged me in full. I paid up as not to cause delays or risk having stuff sent back.
Once paid you have the joys trying to get hold of someone in their international exports department to figure out how to get the charges amended. To save you the effort the email you need to raise your dispute with is the following:
Thanks for that - I’ve just sent my email to that address as well. The email address that FedEx customer service told me to email was gtsclearance@fedex.com in case anyone else wants to send to both addresses as well.
Tell FedEx the product should be imported into EU (which you are still part of :)) using harmonized tarrif code 85 28 52 (import suff.10 000). If in question ask Pimax to change the proforma to this.
Thanks Klaus, seem like you looked into it. I haven’t heard back from FedEx today but I’ll try and contact them tomorrow. I’m tempted to just pay though as I sense they will have a system that deals with admin complications that involves freezing the shipment. Once I have the headset I will go through the hoops with them trying to get the duty back. I’m not bothered if it takes time - I’m sure I will eventually get it if I’m entitled to (I try to look at these things as a bit of a slow burn challenge). I’ll keep you guys informed though how things pan out.
Would also be useful to hear how things go for you Soarin.
Also, if Pimax marketing are listening, this sort of thing significantly effects the perceived price of the product pushing it even more into the stratosphere where only small numbers of wealthy or foolish (starting to think I may be in that category now ) VR heads dare to tread - so would recommend getting the codes correct. @PimaxQuorra, @PimaxVR, @PimaxUSA
Could you please log a ticket at our helpdesk, and share us the ticket number once created.
We have spoke with the logistic team about this “HS" Code that brought duty charge on our headset.
But previously. we using the same HS Code and shipped the unit to EU / UK, but there’s only VAT on the items and zero duty charge.
Still crickets from their refunds department. Their billing teams says I owe them another 8 pounds though as they undercharged me on the initial invoice.
@PimaxQuorra they are using the correct HS codes, I too recieved a headset recently and the documentation was correct. FedEx simply ignores the supplied HS codes and charges in full.
Thank you for your email. I am sorry for the delayed response.
Please be advised that I have now passed this information onto our specialised Brokerage Administration Services department (BAS) who will work with Customs to have the entry reviewed. Should they need anything further they will contact you directly. Please note that an amendment can take up to 12 weeks to be processed by Customs.
If you need any further updates on your amendment after the 12 week period the BAS department can be contacted on 02476 702692.
Thanks for this Soarin. Just one thing though, who is this email/letter from - is it from FedEx, so the Brokerage Administration Service is a department within FedEx?
My 8KX is still in transit and hasn’t landed in the UK yet so wondering whether to pay up or wait!
Sorry for being late for the party, the £415 charge seems too high, my 8KX shipment was charged only £304.86 by Fedex. I received it on 2nd or 3rd of September.
If you need I can try to dig out the shipping label. I received an SMS notification from Fedex and paid it online via the link they gave me.
the problem is that only the first 6 digits apply for ex- and impoert and while the rest of the HS code you use applies to Chinese regulations, do not apply to EU (or whatever region is the point of import) So, customs will always pick the “worst case” scenario.
the code 95 04 50 you have been using actually determines a game console/game device and depending on the suffix MAY be prone to import duties as it also covers playning cards and even slot machines. Also, a VR headset is not a game console/ device per se but rather a display. Headworn, but a display and also only fiunctional with a computer, plus, contrary to a “gaming device” can be used for other applications (e.g. virtual desktop) as well.
This is refelected in the tarriff code 85 28 52 and what ever export suffix you need to apply, there is no import suffix that would make such device subjected to duties. So, I can only strongly advise to evaluate this for a improved customer experience and making Pimax more competitive on the international market. FWIW, I will copy and paste this in our lates communication, so it is part of the ticket system.
Hi Asonkin65. Would be good to know the breakdown between VAT and Duty and the HS code that was used. As mentioned on my first post (I’m the OP), my bill consists of approx £250 VAT and £150 Duty.
That is truly strange, as if you look up 9504501000 with gov.uk, the max charge on gaming products should be 2.7%, while your sum suggests 10% - so they have definitely gone far and beyond reasonable and justifyable. I would be curious to learn their reasoning for that.
With that being said, I’d cough it up and then start a dispute.
I thought that and mentioned it to the lady I spoke to and her only idea was that it might be a special rate used when they suspect someone is trying to import something from China to avoid paying import duties somehow (something along those lines anyway)!!! She said she would email me the invoice but hasn’t done so yet.
I’ve set up the ticket - ticket number 8477. It’s good you are looking into it. Can I suggest perhaps a free Eye Tracking model for those affected (half joke!!!)
Ah, even with proper paperwork supplied? So that’s what’s left of “in dubio pro reo” these days, huh? “Ye’re criminals, ye’re all criminals, ye yello faced scum!” What an utterly disgusting (and even more so illegal and easily defeatble) approach! If that happens with mine (have it send to my companies address) I promise to file an official complaint.
“Ye’re criminals, ye’re all criminals, ye yello faced scum!” What an utterly disgusting (and even more so illegal and easily defeatble) approach! If that happens with mine (have it send to my companies address) I promise to file an official complaint.