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Ochre Stores - EU import VAT changes and actions
Ochre Stores - EU import VAT changes and actions

Pricing changes and tax for import VAT post Brexit.

Written by Dan Minchom
Updated over a week ago

Shipments into Europe from Non-EU Countries, in some cases, be subject to import VAT. This will be charged by the shipping companies directly to the recipient. The changes that have taken place have impact on future sales as well as some existing orders, so we have several steps we will be taking.

Pricing Changes

In order to ensure that your sales are competitive into Europe we advise reducing pricing to reflect that VAT is no longer eligible on these sales. Several options are proposed.

  1. Reducing Euro pricing by 20% (an average EU vat amount).

  2. Reducing Euro pricing by 20% and rounding up to the nearest 0.99 or 1.00.

It is also possible to leave pricing as it stands and receive the additional margin on sales within Europe.

Ochre is able to assist with mass adjustment of the product pricing on your stores. Email with details of changes you would like to make.

We intend to apply similar reductions on the shipping prices, but will not action this immediately as we expect that shipping prices will increase in the next few weeks.

Tax rebates for Pre-Brexit Shipments

All EU customers who have purchased orders prior to 1st January, but will ship after (including 2021 preorders) will be provided with a rebate on their VAT. This will ensure that they are not incurring both import VAT and VAT paid on the store.

Customers will be notified of this in the next few days.

EU Fulfilment options

We are starting trials with a EU fulfillment provider in the next few weeks. If this is successful we will be able to offer inter-EU shipping which will not incur Import VAT.

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