On 28 April 2025, the UK’s HMRC announced plans to review the January 2021 marketplace liabilities for import consignments not exceeding £135. These rules made the UK facilitating marketplace liable for charging and remitting VAT of their 3rd partyer sellers to UK consumers.
Building on significant compliance improvements
HMRC believes VAT compliance on sales of goods from overseas sellers improved significantly following the reforms. However, some compliance challenges remain, and the government will therefore explore, including through engagement with stakeholders, the merits and value of further reform to these rules.
See more in our UK VAT guide.
The above review process is part of the annual Spring tax update review, which proposes a wide range of tax compliance requirements and reporting.