De Minimis
Value threshold below which imports are exempt from duty/tax.
Definition
De minimis (Latin for 'about minimal things') is a threshold value below which imported goods are exempt from some or all customs duties and taxes. The threshold varies dramatically by country: US ($800), UK (£135 for VAT, no duty exemption for non-gifts), EU (€150 for duty, no VAT exemption), Australia (A$1,000). The de minimis concept aims to reduce administrative burden for low-value shipments where collection costs exceed revenue. Note: thresholds change frequently and some countries have eliminated them entirely.
Why It Matters
De minimis thresholds can make small purchases duty-free, affecting e-commerce pricing and shipping strategies. However, these thresholds are under pressure globally—many countries are lowering or eliminating them. Never rely on de minimis without verifying current rules, as enforcement has tightened significantly.
Example
Ordering a $50 item to the US: It falls under the $800 de minimis threshold, so no duty or federal taxes apply. The same $50 item to the UK would be duty-free (under £135) but VAT (20%) would apply at import.
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Related Terms
Frequently Asked Questions
Has the US de minimis threshold changed?
As of early 2025, there have been changes to the $800 threshold, particularly for shipments from certain countries. Rules are evolving—check current CBP guidance before relying on de minimis exemptions.
Do all items qualify for de minimis?
No. Some categories (alcohol, tobacco, certain textiles) may be excluded. Trade remedies (antidumping duties) often apply regardless of value. Check specific product rules for your destination.
Related Resources
What is Landed Cost?
Complete guide to import duty and tax
ToolLanded Cost Calculator
Estimate import duty, tax, and total cost
DefinitionImport Duty
Tax charged by customs on imported goods.
DefinitionVAT (Value Added Tax)
Consumption tax charged on imports in many countries.
DefinitionCustoms Value
The value used by customs to calculate import duties.