[fr4c]

I just dropped off a package to be sent to Canada, as I recently sold someone an amp. I used Air Parcel Post, as that was recommended. Are there any brokerage fees that the receiver in Canada has to pay, or any other fees?

 

[sjwong]

It all depends how it was declared. I believe that all items marked as a gift with a value less than $80 are tax and duty free, as well as 'other' items with a value less than $20. If the value is more than this, there will be a $5 Canada Post 'handling fee' (USPS only, other carriers REALLY rip you off) and then 14% tax on the value. I've never had problems with electronics coming in to me undeclared...a lot of fairly large companies even do this sometimes. Air Parcel Post is definitely the way to go, and be thankful that you get to deal with USPS instead of Canada Post for rates and service alone!

 

[Xert]

Just to clarify, the "gift" value is $60, and the tax is still 15% until July 1.

But yes, USPS Air is definitely the way to go.

 

[fr4c]

so if I marked the value of the gift as $400, due to the fact that I insured it for $400, am I paying the 14-15% tax on top of that?

 

[Jam_Master_J]

Quote:

Originally Posted by fr4c so if I marked the value of the gift as $400, due to the fact that I insured it for $400, am I paying the 14-15% tax on top of that?

You won't be, but the person recieving it may. I've always had things sent to me declared as cheap gifts.

 

[Xert]

You won't pay anything, since it's payed by the receiver to Canada Post. But yes, they will pay 15% on the $400, plus a small handling fee (~$5).

 

[fr4c]

if I used, lets say, Global Express (EMS), would that eliminate the 15% that the buyer has to pay?

 

[Xert]

Nope, the only thing you can do is value it below the point at which taxes are applied: $20CAN for most goods, and $60CAN for most gifts.

 

[fr4c]

okay thanks a lot for the responses guys, especially Xert

 

[JaGWiRE]

Xert, thanks, this item will be coming to me, I should be able to deal with 15%. Now, another question.

I am sending him an PSP that I will mark as $400-500, and I will be using Federal express 2 day shippign (which is costing me roughly $70), becasue the guy said it is inclusive and stuff and the brokerage fees from fed ex don't mess with the reciever. Will he also get taxed from the boarder? Does it matter if I mark it as a gift, because I will be insuring it for so much already?

 

[JaGWiRE]

Generally I wouldn't bump a thread in the members lounge, but I am really curious if FR4C is going to have to pay for my package as well.

Oh, and does Federal express from Canada into the US means it ships on Saturday as well?

 

[NotoriousBIG_PJ]

Start a thread that Americans will read.

Biggie.

 

[Xert]

No problem boys, I'm glad to see two guys that I've already done business with get together.

As to your question, as a Canadian I'll answer it here, especially since that other thread seems to have gotten off into a discussion of the ethics of how a package is marked. Oddly enough, I believe that for importing into the US the tax-free limit is higher for non-gifts ($200) than it is for gifts ($100) - both of which are far more reasonable than our silly low Canadian values. Since I've obviously never imported into the US, take what I say here with a grain of salt.