smc2911;287156 Wrote: > As I read the review, "at present exchange rates, plus VAT" local taxes > *are* factored in and for imports to the UK, while VAT would apply US > sales tax would not. There would not be other "local taxes", so I think > that the article's point on pricing differences is well made. Having > said that, Squeezeboxes tend to suffer the same fate (although there do > seem to be more 3rd party distributors prepared to apply a much smaller > margin). It intrigues me to note that a Sonos fan is just as quick to > find excuses for regional price mark-ups on the Sonos as many on this > form are for mark-ups on the Squeezeboxes!
To legally import good from the US, you pay the cost price in the US, then you add on the local sales tax in the US, then you add on shipping to the UK. Total that. Then you add on import duty as a percentage of that total - I believe it was 10% last time I looked. Note that total. Then you add on VAT @ 17.5% Having done this to the retail price of a Sonos in California, adding on 8% sales tax, then shipping, then duty, then VAT...and converted to GBP, I found a price not massively different to the UK retail price. Last time I calculated, the break even was somewhere between 1.6-1.7$ to the £. Currently the £ is stronger, so the import price is cheaper, I think it was about £50 on a Sonos bundle. Personally, I think the £50 fully justifies the UK retailer handling and local warranty. Marketing of the product would cost more here too. This is why I felt the article totally inaccurate, it's a topic that's been well covered in many places. -- jaffacake ------------------------------------------------------------------------ jaffacake's Profile: http://forums.slimdevices.com/member.php?userid=3206 View this thread: http://forums.slimdevices.com/showthread.php?t=45734
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