I asked about getting a 45 pressed and there was a bit of discussion

I would really appreciate some advice about tax and customs now. If I get the record manufactured in Europe and pay sales tax there, what happens when product is shipped to UK? Am I likely to get stung for VAT too? And what about customs charges?

Thanks in advance

Paul

I asked about getting a 45 pressed and there was a bit of discussion

I would really appreciate some advice about tax and customs now. If I get the record manufactured in Europe and pay sales tax there, what happens when product is shipped to UK? Am I likely to get stung for VAT too? And what about customs charges?

Thanks in advance

Paul

Hello Paul,

You really should use a UK broker who has relationships with various plants and can control these things for you. That way you can have records manufactured in the EU but invoiced in the UK. Of course you'll pay VAT as everyone does.

At the moment, several EU plants are slightly cheaper (and some are better) than UK plants. Turnaround time is the same or even faster.

The problem with pressing in the US at the moment is the unfavourable exchange rate, high shipping costs and your liability to pay US sales tax, import duty and VAT. The turnaround time is also a few weeks longer.

And, no matter where you press, you're obliged to pay mechanical royalties in the UK too.

I hope this helps.

Paul Mooney

Hello Paul,

You really should use a UK broker who has relationships with various plants and can control these things for you. That way you can have records manufactured in the EU but invoiced in the UK. Of course you'll pay VAT as everyone does.

At the moment, several EU plants are slightly cheaper (and some are better) than UK plants. Turnaround time is the same or even faster.

The problem with pressing in the US at the moment is the unfavourable exchange rate, high shipping costs and your liability to pay US sales tax, import duty and VAT. The turnaround time is also a few weeks longer.

And, no matter where you press, you're obliged to pay mechanical royalties in the UK too.

I hope this helps.

Paul Mooney

Thanks Paul, that's very helpful.

Not sure if I made myself clear, but I wanted advice on paying sales tax or VAT twice. One of the UK companies I contacted has already quoted me a price for mastering over here and then getting the 45 pressed in Europe. Just wanted to be able to compare prices in order to help make the decision.

As you rightly suggest it gets complicated when you're trying to negotiate an one off deal by yourself so it looks like a broker such as the company I mentioned is the way to go. To be honest I've never even contemplated getting the record pressed in the States. Don't understand what the advantage is in getting them done that far away.

As for Royalties, that will be incorporated into costings and I understand we do that through MCPS. Only one side will be liable so that shouldn't impact too much.

Thanks again for the advice,

Paul (Godz)

You certainly won't pay VAT twice if everything is organised properly.

Some brokers are a bit expensive at the moment, in my opinion, and one or two are unreliable.

I have accounts with UK, EU and US cutting rooms, pressing plants and CD replicators. All pre-mastering and print origination is done in-house.

I've handled mastering, printing and manufacturing for many labels including Selecta, Shotgun, Soulscape, Hit & Run, Soul Intention, Grapevine, Soul Junction, Bee Cool, Ardent, Zing etc. plus a few pop and rock indies.

I've done well over 100 singles and more than 60 CD albums with no problems so far.

Feel free to give me a call if you need any help.

Paul Mooney

You certainly won't pay VAT twice if everything is organised properly.

Some brokers are a bit expensive at the moment, in my opinion, and one or two are unreliable.

I have accounts with UK, EU and US cutting rooms, pressing plants and CD replicators. All pre-mastering and print origination is done in-house.

I've handled mastering, printing and manufacturing for many labels including Selecta, Shotgun, Soulscape, Hit & Run, Soul Intention, Grapevine, Soul Junction, Bee Cool, Ardent, Zing etc. plus a few pop and rock indies.

I've done well over 100 singles and more than 60 CD albums with no problems so far.

Feel free to give me a call if you need any help.

Paul Mooney

Thanks Paul,

I'll give you a shout to discuss details in the morning.

Cheers

Paul

I forgot to add that you should ask the broker which cutting room and plant they will use. Some places are to be avoided.

My favourite plants at the moment are Portalspace in the UK, Archer in the US and several factories in the EU - including one in the Czech Republic which uses old EMI presses, as do Portalspace.

They all press good 45s, as long as the pre-mastering and cutting is good of course.

Paul

if you are vat registered you will recieve your goods from the EU vat free and pay the vat when you sell them

if not vat registered you will pay in the country of manufacture (in EU) at their rate and thats it

customs charges are only if you dont pick them up from them on the day they pass them. they charge you storage. avoid this by having them shipped to your door

hope this helps

Paul - invaluable, as usual. It's good to see others interested in pressing vinyl too.