There was also a customs handling charge, which added about 14 quid on my Martin guitar.

In all - I paid just about £190 to get my Martin 12 stringer here.
The actual guitar cost 820 dollars (about £420)and the shipping cost was another 120 dollars (about £65)- worth every penny as it turned out.

The firm I bought it from insured the guitar for slightly more than the purchase price - 900 dollars (about £455)- and that's what the customs based their VAT and Duty charges. The total customs charges came to £131, which included import duty, VAT and a handling charge. The VAT part was £91, which I've worked out is more like 20% of £460. I've given up trying to contact HM Customs about the extra amount; it's not worth the telephone calls.

At less than £600 it was still a cheap guitar, but it's very easy to see how you can get caught out.