Buyer's Premium: A charge made by the auctioneer to the buyer as a percentage of the hammer price. This fee is usually subject to VAT.
Purchase price: The hammer price and buyer's premium plus VAT on the premium.
The buyer should establish the rate of buyer's premium and other add-on costs such as VAT and factor them into prices prior to bidding. Auctioneers may also charge fees such as a minimum lot fee.