An Post to maintain parcel services to US despite new tax

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An Post has said it will maintain parcel services to the US, despite the imposition of new taxes from the US government on parcels entering the country.

The company said a long-standing tax-free ‘de minimus’ allowance from the US for parcel contents of less than $800 in value being posted from Europe is due to end on August 29.

The only exceptions to this new ruling are traditional letters, documents, and parcels containing gifts valued at less than $100 (€85).

Parcel deliveries are the preferred option for many small businesses selling into the US.

The move follows a directive from the US government, and now parcels originating in Europe that contain goods must have taxes paid on those goods before they can enter the US and be delivered there.

According to An Post, while a large number of parcels being posted from Ireland to the US are gifts with stated values lower than $100, “this ‘de minimus’ cessation by the US administration will disrupt some Irish trade into the US”.

In a statement the company said the change “risks causing confusion, delay and inconvenience for sending and receiving customers”.

“Rather than simply suspend all parcel services to the US, as some other European postal carriers are planning, An Post is actively seeking a solution for Irish companies selling into the US through the postal service so that we can support them and the Irish economy by keeping trade routes open,” it said.

“This will involve the receiving US customers having to pay the required duties locally before delivery can be completed. We want to assure Irish customers that we are working on their behalf and will advise them of the new arrangements for their US parcels in the coming days,” An Post said.

“An Post is also directly contacting Irish business customers who sell goods into the US through the postal service,” it added.

A number of postal services in other European countries have temporarily restricted parcel deliveries to the US as a result of the change.

The new US rules only affect mail items containing goods and will not impact regular letters or documents being sent.

An Post said “traditional letters and cards to the US will be carried as normal, as will clearly marked personal gifts up to a value of $100 (€85), provided all the necessary customs documentation has been completed at the post office”.

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