Buying from the US? What UK VAT and customs charges you’ll actually pay

January 29, 2026

If you buy from the US and ship to the UK, the simple rule is this: you will almost always pay UK VAT, and you may also pay customs duty if the item’s value is over £135. But the item price and international shipping cost aren’t the full picture. Import charges shape the final total, and they’re essential for predicting the real cost of buying from US retailers.

This guide gives a clear, practical overview so you can confidently estimate what the customs charge from the USA to UK will be, how duty works, and what to expect when your package arrives.

UK tax and duty

Import VAT: a tax charged on almost all imported goods. VAT applies at the UK’s standard rate (usually 20%). It is calculated on the item value, shipping and any applicable customs duty.

Customs duty: a tariff that only applies when the item value exceeds £135, and the rate varies by product category.

To work out import charges, you can use any customs charges US to UK calculator or a United Kingdom VAT calculator, but we’ve provided some examples below so that you can see how the calculations really work.

VAT: what it is and when you pay it

VAT applies to almost all imports and is calculated on:

Item value
Shipping and insurance
Any duty charged

To estimate your shipping cost upfront, you can use Stackry’s USA to UK shipping calculator

In most cases, VAT is calculated at 20% of the total cost of an item. This applies whether you buy through a US retailer, marketplace, or forwarding service. You can find out more about regulations on importing goods into the UK, or sending goods to the UK from abroad via the HMRC’s website.

Customs duty: what you need to pay, and when

You only pay customs duty when:

The item value exceeds £135, and
The category of goods attracts a tariff rate.

For example, electronics often incur 0% duty, so you’ll only need to pay 20% VAT. Clothing and fashion will often have a duty of 8-12%, depending on their base material, and bags and accessories typically have duty from 3-9%. You can check specific rates via the UK Global Tariff database:

Applying tax and duties: examples

Scenario 1: Electronics (no duty)

A £300 US tablet with £30 shipping:

Duty: 0%
VAT: 20% of £330 = £66
Total added cost: £66 VAT + courier handling fee.

Scenario 2: Clothing (duty + VAT)

A £150 jacket with £20 shipping:

Duty: ~10% of £170 = £17
VAT: 20% of £187 = £37.40
Total added cost: ~£54 + handling fee.

Scenario 3: Low-value parcel (VAT only)

A £40 item with £15 shipping:

Duty: none (under £135)
VAT: 20% of £55 = £11
Total added cost: £11 + Royal Mail fee (~£8).

Shipping from the U.S. into the U.K: frequently asked questions

Q: Do size, weight or declared value matter?

A: Size and weight do not affect tax rates, but they do affect shipping costs, which then increase your VAT because VAT applies to item value + shipping.

Remember: an accurate declared value is essential: incorrect values can cause delays, revaluation or penalties.

Q: What do I need to declare when I import products from the U.S. to the U.K.?

A: If you're using Stackry's parcel forwarding service, the process of getting your bargains from U.S. stores to the U.K. is simple as 1, 2, 3:

You declare your item details (description, value) when packages arrive at your US address.
We'll provide this information to carriers and customs exactly as provided (we won't change any details).
VAT and duty will be collected when your parcel reaches the UK; this will usually be paid through a courier portal or Royal Mail/Parcelforce notice.

Some couriers will charge handling fees, these can be found on the service provider's website:

Q: Are there any items prohibited or restricted?

A: Some categories have restrictions or limits, and some are fully prohibited, including alcohol, food, aerosols, weapons, and certain supplements. The HMRC provides guidance on gifts and relief rules, and general import restrictions. For more information about Stackry's guidance on parcel forwarding from the US to the UK take a look at our guidance, or contact our experienced customer advisors.

Avoid unexpected costs: budget for tax and duties every time

To avoid unexpected costs when importing from the US, it helps to budget for VAT every time, as it applies to almost all goods entering the UK. Keep the £135 customs duty threshold in mind so you know when duty may be added, and be prepared for courier administration fees, which typically range from £8 to £15.

If you are unsure about the likely charges, consider using:

These tools provide a quick indication of what you might owe. Maintaining accurate records and declaring values truthfully will also help prevent delays during customs processing. All of these considerations follow HMRC rules and match the findings set out in your internal research documents.

Importing from the US becomes much more predictable once you understand how VAT and customs duty work. By providing clear item declarations, ensuring values are correct, and staying aware of the relevant thresholds, you can estimate the final cost of your purchase with confidence.

If you’d like help calculating charges for your next shipment, you can refer to Stackry’s other guides or use the tools available within your forwarding dashboard.

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