So is the VAT same as custom duty? I am in the US, if I order from them will I be charged with 21% custom duty when I receive it? What is the custom duty rate in the US if you buy things like watches from a European website? Just curious.
VAT is "Value Added Tax" which is the European equivalent of a sales tax. VAT has nothing to do with customs duties. Within the European Union, EU countries will collect VAT on anything being sold and sent to a customer in another EU country. Unlike the USA where sales taxes are added to the total at time of sale, the advertised prices shown includes the VAT. That's been standard practice in Europe for decades. If you ever order anything from Amazon UK, Germany or France, you'll encounter this. Same applies to the Japanese storefronts found on Global Rakuten and sites like Amazon Japan. Their VAT is also included in the price. If it's being shipped to a customer in the US (or Canada), the VAT is subtracted.
Typically you wouldn't get hit with any Customs Duty for a watch under $400 declared value. I have yet to get assessed duty on anything I've ordered from overseas, which includes numerous watches in the $400-$500 purchase price range. One way to get into trouble with U.S. Customs though is to have the shipper declare it as something else, or to grossly under-value it, or to declare it a "gift" when it's actually a purchase. They do not take kindly to lying on a customs declaration, which will be a special label affixed to the box it's shipped in alongside the address label. That can result in the contents being seized, and at that point you're in Customs Hell as they can refuse to send it to anyone, you (the recipient) or the shipper. The customs declaration will state the exact box contents, whether or not it's a gift, and its value. Again, I've never had any problems or customs duties assessed. Even if there were duties, provided there are no precious gems (movement jewels and sapphire crystals are NOT precious gems) or precious metals such as gold, silver, or platinum, it would be nowhere near 21%, but less than half that. In the event you are ever assessed customs duties, you are responsible for it.
John
