Yes on the shipment and how the fee is figured? Does the import duty officer have a Speedmaster chart to figure the value?
This is a general interest question and educational for me.

 

Since I like what if questions.

So if I am sending my long lost Uncle Anthony in Italy a watch from his brother here in the states and insure it for $5000, Uncle Anthony may have to pay VAT taxes on the watch?

 

That is a good question.
I was assuming you were selling someone a watch over there.
Now if there is no money exchange, I'm not quite sure how that works. Maybe someone else could chime in.
I think in that case, they would stop the shipment, send a note to your uncle and he would have to show up at the customs office where they would determine a value and he'd still have to pay the import VAT accordingly.
Again, that's me assuming, since I've never been through that exact scenario.
But I've ordered car parts from the US before and then got a bill to pay VAT upon delivery.

I think in your "what if" scenario above you'd be better off to fly to Italy and hand off the watch in person.
Even though technically you'd still have to declare it at the airport...
Isn't it a great world we live in???

 

Just the ever benevolent government getting its cut of the sale.

Thanks for the info and your experience.

 

I know it sounds ignorant or like some of us are trying to dodge taxes but tHe logistics of VAT is foreign to most Americans- like myself.

The sending something of value as a gift and getting taxed is something I don’t understand. The uncle scenario above is something plausible as my brother had given me our father’s Breitling to have serviced while he was in the states, then was spending 6 months in Germany. I was tempted to send it to him, and insure the package of course- but was hesitant because of not knowing the rules so just told him to wait until he got back. What would have happened if I sent him HIS watch and it got hung up in customs?

 

He will have to pay the VAT otherwise it gets sent back. There is no mercy for most import offices. Some 'gift marked' parcels will go unnoticed, but even these can also be held back and only released upon VAT payment.