I have a question/need advice from the forum who has experience buying clothes & shipped from the UK.
I recently ordered some items on-line with House of Fraser to be shipped to me in the United States. Before purchasing the items, I reviewed there Terms & Condition page and noted that the terms regarding VAT states "All prices shown include the applicable VAT rate. If your order has been delivered outside the EEC, please note that VAT has not been charged." (http://www.houseoffraser.co.uk/Terms+Conditions/M116_EDITORIAL_CONTENT_LEGAL_INFORMATION,default,pg.html)
I interpreted this that the purchase price would be adjusted once it has been determined the items will be shipped outside of the Uk & EEC. I was still charged VAT.
When I raised the issue House of Fraser, they informed me yes you are indeed outside of the EEC and no we will not to be paying VAT for your items but we are still charging you for it and keeping the money (profit).
Does this seem like normal business practice and did I incorrectly interpret the terms? I have purchased from many different UK stores over the years and this is the first time a store charged me VAT and kept the VAT as profit. I know this normal when I'm actually in the UK buying but not when I ordered outside and have it shipped outside.
Has anyone else experienced this? I'm pretty miffed especially when they told me they were going to charge me for VAT and not even send it to the tax man. There are essentially making 20% profit above retail on international clients. I guess it's good for them if they can get away with it but no way am I buying form them again.
Thanks for your input.
Edited by Devoti - 6/2/13 at 4:18pm