What Our
Clients Say
"I have been delighted to work with 121 Direct Mail for a number of years. They have been an excellent company to work with and have always bent over backwards to accommodate our mailings, often at extremely short notice! I am sure we will continue to work with 121 for many years to come."
JENNY BARRETT
UK Postal Service and VAT
121 Direct mail considers The Government's announcment that VAT at the standard rate will apply to certain Royal Mail postal services from 31st January 2011.
The Government has announced that VAT at the standard rate will apply to certain postal services from 31st January 2011.
The majority of Royal Mail’s customers will not be affected by this change. Most services will remain exempt from VAT, in particular, First and Second Class stamped and franked mail and standard parcels. You won’t pay VAT when you buy stamps.
The full list of products liable to VAT from 31st January 2011, which also provides further information about prices, is available at www.royalmail.com/vat
Royal Mail will write to account customers directly affected by these changes.
Prices
Royal Mail is not increasing the prices of any UK services on 31st January 2011; and will only apply VAT to existing prices for the services affected.
Further advice
Many businesses can recover their VAT, but some cannot. For professional advice we suggest customers contact their Finance department, Accountant or Tax Advisor. Royal Mail cannot provide tax advice.
International contract mail
From 31st January 2011 international contract services to EU countries will be liable to VAT. You won’t see the names of all these services in the lists on the website at www.royalmail.com/vat because Royal Mail is currently improving and simplifying its international contract range. More details will be available in December.
Franked mail
Franking customers will not be able to buy affected products using a standard franking machine from 31st January 2011. They will still be available on a “smart” franking machine which can handle VAT. Customers can speak to their franking supplier to find out more.
Online postage
Customers will not be able to buy affected services on SmartStamp® and Online Postage for a while. They can still buy them at Post Office® branches and on account.
These are some of the services Royal Mail will charge VAT on:
Express and Tracked services
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· Special Delivery 9.00a.m. Stamp, Franking and Account
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· Special Delivery Next Day Account
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· Royal Mail Tracked and Tracked Next Day
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· Royal Mail Sameday
International Services (VAT will only be added to EU destinations)
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· International Contract Services
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· International Airsure
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· International Admail and Admail Packets
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· International Redirections
Advertising, Catalogues and Magazine Services
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· Big Book
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· Royal Mail Heavyweight
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· mailmedia
Unaddressed Mail
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· Door to Door
Receiving and Managing Mail Services
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· Keepsafe
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· Timed Delivery
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· Early Extraction
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· Early Collect
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· Selectapost
Other Services
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· Business Mail Secure
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· Admail
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· Local Collect
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· Callers Services
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· Rural Deliveries
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· Rural Carriage of Goods
Contract Services
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· Presorted Delivery
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· Mailroom Management
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· Mailroom Consulting Services
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· Royal Mail Relay
These are some of the services that remain exempt from VAT
UK Services
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· First and Second Class (Stamped, Franked and PPI)
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· Special Delivery Next Day (Stamped and Franked)
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· Standard Parcels
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· Recorded Signed For
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· Cleanmail, Cleanmail Plus and Cleanmail Advance
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· Mailsort (70, 120, 700 and 1400)
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· Walksort
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· Presstream
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· Sustainable Mail
International Services
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· International Airmail
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· International Surface Mail
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· All HM Forces Mail