In a nutshell, the problem is tax and the escalating affect it has on overall price because of a standard profit margin.
Cost of guitar in USA. EG Small Dealer cost including shipping: £1920
Add import VAT at 20% excluding Duty + customs handling charges: £2304
Add 20% Markup: £2765
Or is they are VAT registered, which they will be they won't have to pay the VAT on the import, just the Duty, but they will charge 20% Vat on the final price including margins which equate to the same.
Cost of guitar in USA. EG Small Dealer cost including shipping: £1920
Add import VAT at 20% excluding Duty + customs handling charges: £2304
Add 20% Markup: £2765
Or is they are VAT registered, which they will be they won't have to pay the VAT on the import, just the Duty, but they will charge 20% Vat on the final price including margins which equate to the same.
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