Consigner asking for VAT above agreed fees, is that right?

Roxana

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Feb 27, 2007
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So I had a bag sold through consigment, the shop is located in another country, but still within the EU. The conditions on the form (and on his site) were that he charges 35% of the sold price (which included all selling fees) + another 5 for handling fee.

So now he sold the bag and he wanted to give me less than what is the amount that is left when the above mentioned is deducted. So I corrected him and asked if he maybe made a mistake. He then answers the amount he mentioned is because he has to charge me VAT.
I don't understand this. It was NOWHERE in the conditions and why would he charge me VAT for selling through him anyway?

Is he allowed to do this without any mention of this beforehand?
 

Roxana

♥'s dogs & bags
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Feb 27, 2007
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why did he pay the VAT and now asks you for it. I thought the buyer paid the VAT

Yeah, that's what I asked myself, I really don't get it, to me it sounds like a way to just keep more money for himself.


Kittie: They are located in GB. I did use them before, but at that time I didn't know exactly what the fees were. He had 25 % then + the seller fees, which had more room for him to just throw it on the 'fees' I guess, I did wonder why it was so much, but didn't think it through then.
Now he changed to 35% incl. all fees, so now it was more clear to me (and I thought I had figured it all out and have it black on white) and then he pulls this...
 

Kittie LaRoche

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Aug 24, 2006
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Hm, I'm not really familiar with UK tax laws. Sorry.

Here in Germany you have to pay VAT for goods and services as well, but that is always included in the price quoted. I think it's the same in the UK, right? You pay what is on the priceshield and not the price plus tax (like in the US). So if he didn't specify that VAT would be added, I would say it was ok for you to assume that the VAT was included in the quoted fees.
 

pippaWA

Member
Jan 30, 2009
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So I had a bag sold through consigment, the shop is located in another country, but still within the EU. The conditions on the form (and on his site) were that he charges 35% of the sold price (which included all selling fees) + another 5 for handling fee.

So now he sold the bag and he wanted to give me less than what is the amount that is left when the above mentioned is deducted. So I corrected him and asked if he maybe made a mistake. He then answers the amount he mentioned is because he has to charge me VAT.
I don't understand this. It was NOWHERE in the conditions and why would he charge me VAT for selling through him anyway?

Is he allowed to do this without any mention of this beforehand?

The questions you need to ask are these:

1. Why do you have to pay VAT when you are not the buyer? The buyer pays VAT. If he bought the bags from you outright then he would have had to pay VAT. But then he would have paid for the bags straightaway not waited until they got sold to someone else.

2. Why was not any of this disclosed beforehand?

p-WA
 

joseph9291

Member
Jan 5, 2010
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Hm, I'm not really familiar with UK tax laws. Sorry.

Here in Germany you have to pay VAT for goods and services as well, but that is always included in the price quoted. I think it's the same in the UK, right? You pay what is on the priceshield and not the price plus tax (like in the US). So if he didn't specify that VAT would be added, I would say it was ok for you to assume that the VAT was included in the quoted fees.

Hi Kitty
Yes you are right, If you purchase something from a shop in the UK the VAT is already included in the price. There are a few occasions when it is not ie if you are purchasing building materials in large quantities, but at the time of purchase or agreement to purchase the sellor will tell you exaclty what the VAT will be and the final amount that is due
I have never known of a situation when the VAT is added on at the end of the transaction without it being made clear from the outset
So I would say to the OP that they are trying to pull a fast one
 

elfgirl

Collector of Shiny
Nov 21, 2009
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Is it possible that he sold the bag to someone outside the UK/EU? If so, he may have not charged them VAT and then discovered that he still has to pay it--and now he's decided he'll just get you to pay for it if he can so he doesn't have to take it out of his profit.
 
Apr 15, 2007
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Hi Kitty
Yes you are right, If you purchase something from a shop in the UK the VAT is already included in the price. There are a few occasions when it is not ie if you are purchasing building materials in large quantities, but at the time of purchase or agreement to purchase the sellor will tell you exaclty what the VAT will be and the final amount that is due
I have never known of a situation when the VAT is added on at the end of the transaction without it being made clear from the outset
So I would say to the OP that they are trying to pull a fast one


call him on the VAT.. it is my understanding that the VAT is included
in the price.. and for the "buyer to pay".. if this is not correct, let him advise you otherwise... and you would appreciate your $'s..
 

Roxana

♥'s dogs & bags
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Feb 27, 2007
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Thanks for the responses everyone!

Yes, my question was also, why do I have to pay VAT? A buyer pays this normally and in Europe that is even included in the price (as Kittie said). I thought I was missing something here and really needed your feedback on this, glad to hear you all think this is as weird as it sounds.

I still have no response from him, so I'll just wait till this afternoon again and if nothing I'll send him another email with request for his clarification.
This is so the last time I'm gonna sell my stuff through him. Too bad he has two more items from me he has to list, but I'm really glad they are not of a huge value.... I hate it when you can't just rely on these sorts of things to be handled the right way.
 

Roxana

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Feb 27, 2007
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So I got a response which is the following:

" Hi xxxx, yes I’m afraid the VAT is still relevant even though you are not in the UK, the VAT is charged on the service and this is the case for all European transactions. However as you have not seen that I will remove it for this transaction. "

edit: Oh I guess he is willing to remove it for me based on his last sentence(which I didn't get at first). Well, that looks promising.
 
Apr 15, 2007
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well, he might have got caught with his pants down in a matter of speaking..

get your $'s and just be done with him.. he is not a very honest person and if you

didn't think to ask the vat question, he probably would have kept the extra for him

shameful,isn't it?????
 

Roxana

♥'s dogs & bags
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Feb 27, 2007
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^Yes it is, I was just talking about the bf yesterday about how nowadays it seems like you get scr**ed over everything you do, wether you buy something you seem to run into a dishonost seller, when you sell something people are nagging and trying to rip you off and I guess selling through someone else isn't easier either... *sigh*
 
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