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Amazon has warned its Ireland-based customers about potential post-Brexit charge purchases starting next month.
The online retailer sent an email to customers on Tuesday to point out changes for those who use its Amazon.co.uk site but have addresses in EU countries.
It’s an early indicator of the uncertainty facing post-Brexit trade between Britain and the EU as negotiations to strike some sort of deal stumble in London.
“We wanted to inform you that as of January 1, 2021, when the Brexit transition period ends, you will see some changes when you shop on Amazon.co.uk and select a delivery address in the EU,” he told those with an account. from Amazon. .
Although uncertain, the changes you mention are related to value added tax (VAT), or a regional equivalent, which is paid in the country of delivery. Packages may also be subject to customs duties, taxes and import fees, he said, adding that such changes “may result in a price change at the checkout.”
Dermott Jewell, a policy advisor to the Consumers Association of Ireland (CAI), said the move comes as a bit of a surprise.
“We’ve been pointing that out for a while – [EU delivery addresses will] become what is known as third countries; it’s like buying in the United States or China, ”he said.
According to Mr. Jewell, if a package is worth more than € 22 including packaging, VAT will be charged and if it exceeds € 150, tariffs will be applied at a rate of 12%. Amazon did not comment on how the charges could be applied specifically to its Irish customers.
While the exact nature of the charges for online purchases between Ireland and the UK remains a point of some confusion, the potential problem has been pointed out after the UK referendum.
“It has to apply because it is an income rule, it would always apply,” Jewell said.
However, he said the email appears to show an effort by the company to “soften the blow” by honoring existing consumer rights in the EU that will also be called into question by the UK’s exit.
Amazon said it would continue to accept eligible returns and that when they occur as a result of an error, such as defective, damaged or incorrect items, it will bear the cost.
Otherwise, the costs incurred for returns, including transportation and any import or customs fees, would be the customer’s, he said.
A possible alternative is to use the retail giant’s German website (.de). Last year, with exactly this Brexit scenario in mind, the MoneyGuideIreland.com website noted that it is possible to view that site in English. However, at least then, the German site did not offer free shipping to Ireland.
Last year, then-Minister of European Affairs Helen McEntee warned of a possible reorganization of existing online shopping rules.
She said products bought online could attract VAT and import duties, depending on their value, if the UK leaves the EU without a deal.
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