This article explains why we charge taxes for orders delivering to some locations around the world. It's a little complicated and boring, but we'll do our best to explain why in laymen's terms.
NOTE: Taxes are not included in the sale price of products listed on our website, but are charged at time of checkout based on purchaser's shipping address.
USA: State Sales Tax
Peak Design is required to collect taxes for orders shipping to the states of California, Washington, Texas, Illinois, New Jersey & New York due to US Tax Laws regarding online sales and our business presence in these states
UK & EU: VAT (Value Added Tax)
We charge a 21% VAT (Value Added Tax) on all orders shipped to the European Union from our warehouse in Tilburg, Netherlands and a 20% VAT (Value Added Tax) on all orders shipped to the UK from our UK warehouse.
WHY DOES PEAK DESIGN CHARGE VAT?
For the convenience of our customers, Peak Design warehouses our products in several locations across the globe. This vastly improves our shipping times and shipping rates for customers outside of the US.
One of our warehouse locations is in the Netherlands (Tilburg to be exact). Any order made on peakdesign.com with a shipping address in or near the European Union (with the exception of the UK) is shipped from this NL warehouse. E.U. law requires Peak Design charge VAT (Value Added Tax) on orders that are shipped anywhere in the European Union. Because Peak Design has a physical location in the Netherlands, we charge the 21% VAT rate. Because our sales to other E.U. countries are below a certain monthly threshold, we do not charge separate VAT rates for other countries because we do not have to pay VAT in those countries.
Another of warehouse locations is in the United Kingdom (London area). Any order made on peakdesign.com with a shipping address in the UK shipped from this UK warehouse. Because Peak Design has a physical location in the UK, we charge the 20% U.K. VAT rate on these orders.
WHO DOES PEAK DESIGN CHARGE VAT TO?
Anybody who buys products from peakdesign.com with a shipping address in the European Union will be charged 21% VAT on their order and those with a shipping address in the United Kingdom will be charged a 20% VAT on their order.
WHAT IS PEAK DESIGN'S VAT NUMBER?
Our UK VAT# is 259961941
Our NL VAT# is 825875006
WHAT IF I HAVE A VAT NUMBER?
Some people have EU VAT numbers - it likely means you are a business. And in that case, you are not meant to pay VAT on purchases from other businesses with VAT numbers.
Unfortunately, we do not have a website sophisticated enough to apply VAT conditionally to whether or not a customer presents a valid VAT number. Hence, even if you have a VAT number, you will be charged VAT on peakdesign.com.
When your order is completed you will receive a receipt that shows the amount of VAT you were charged. You can use this receipt to claim a VAT refund online here.
If you wish to avoid VAT charges you can always purchase our products from a local dealer.
Australia: GST (Value Added Tax)
We charge a 10% GST (Goods and Services Tax) on all orders shipped to Australia.
WHY DOES PEAK DESIGN CHARGE GST?
Due to Australian Tax Laws, we are required to charge GST on any sales that are connected with and/or shipped to Australia.
WHO DOES PEAK DESIGN CHARGE GST TO?
Anybody who buys products from peakdesign.com with a shipping address in Australia will be charged 10% GST on their order at checkout.
WHAT IS PEAK DESIGN'S GST/ABN (Australian Business NUMBER?
Our ABN# is 12 597 918 297
WHAT IF I AM REGISTERED FOR GST ?
Some people are registered for GST - it likely means you are a business. And in that case, you are not meant to pay GST on purchases from other businesses registered for GST.
Unfortunately, we do not have a website sophisticated enough to apply GST conditionally to whether or not a customer is registered for GST. Hence, even if you are registered for GST you will be charged GST on peakdesign.com.
When your order is completed you will receive a receipt that shows the amount of GST you were charged. You can use this receipt to claim a GST credit online here.
Canada: GST or HST
Peak Design is a registered e-commerce business in Canada and is responsible for collecting and remitting applicable GST (goods and services tax) or HST (harmonized sales tax) to the Canadian Revenue Agency.
The applicable tax rate is based on the rate set by each province for which product is shipped to and is added to the total product price including shipping rates.
CUSTOMS or DUTIES
We do our best to eliminate/minimize duties by shipping from one of our international warehouses. Peak Design is not responsible for any customs, duties or import fees associated with receiving your Peak Design order.