Royal Mail has reminded customers that parcels from abroad may carry unexpected customs charges, even for gifts. A grey 'Fee to Pay' card can arrive through the letterbox when customs fees must be settled before delivery.
The card shows the amount owed and how to pay it, but there is also a deadline. Customs items are generally held for 21 days before being returned to the sender if charges remain unpaid, so recipients should act promptly rather than leaving the card unopened.
Customs rules and allowances
Under HM Revenue and Customs guidance, qualifying gifts worth £39 or less are exempt from import VAT, while gifts above £39 may be charged VAT. Customs Duty can also apply when a qualifying gift is worth more than £135, though the amount depends on the goods and their origin.
The £39 allowance applies to genuine gifts between private individuals, not to purchases from overseas shops marked as presents. For most goods at the standard VAT rate, import VAT is usually 20 per cent, but the rate can vary by item. Royal Mail also applies a customs handling fee when it pays the charges to HMRC on the recipient's behalf.
How to pay and avoid returns
Anyone receiving a 'Fee to Pay' card should follow the payment instructions and check the deadline printed on it. The online payment window may differ from the full holding period, so recipients should not assume they have the entire 21 days if paying online.
Royal Mail's website allows customers to pay the fee and arrange delivery using the card or letter details. People unsure about a charge should check official guidance before paying, especially if a message or link looks suspicious. The key advice is simple: do not ignore a customs payment notice if you are expecting a parcel from abroad, as paying within the deadline can prevent the item being returned overseas.
