PentaxForums.com - View Single Post

grc · 08-21-2008, 06:36 AM

Originally Posted by Alfisti

Here is an invoice for a lens sent by a private seller. As you can see there are charges for taxes, then an excise tax and then a "Handling Fee" from customs.

...

So m,y charges on a $213 lens were over $50, far more than the site above will lead you to believe.

Disclaimer: I'm the guy behind PhotoPrice.

Alfisti, as I explained in the reply to your e-mail to me, it looks like there's a reason you paid these fees. Off the top, $32 of your fee was tax, and you can never avoid that.

First, let me note that you are taking price calculations from a physical store and specific shipping method, and complaining that the numbers didn't work out when buying from a private seller with a different shipping method.

Second, the $8 fee by Canada Post is its brokerage or handling fee. I document this on my site, in the article on Tax, Duty, and Brokerage Fees. The reason why you don't see this fee doesn't appear in the normal product calculations is because the shipping option all the US merchants use is UPS (it's cheaper than USPS/CP and brokerage-free).

Third, it looks like you paid a 5% duty on your items. This is likely because your private seller misdeclared your goods, likely he put "photographic accessories" on the declaration form. Canadian customs duty is a bit weird like that. There is 0% duty on camera lenses, cameras, or tripods, but only if they are declared correctly! If your seller writes "photographic accessories", there's a 5% duty; if your seller writes "lenses" (no camera), there's a 2% duty. Also, since your private seller likely didn't use the harmonized customs code and just wrote it in, it's up to the customs agent to translate the text into whichever category he or she saw fit. Talk about inaccurate!

So the conclusion I'd like you to take away from this is:

When buying from a private seller or smaller store, be insistent on the wording for the customs declaration form. Give the seller the harmonized customs code and ask them to put it on the form. You can't expect a seller who rarely ships to Canada to get all the paperwork right.
The shipping method will affect the fees you pay. Canada Post charges a flat rate $8, where as UPS Ground or FedEx Ground charge exorbitant rates. Always be aware of this.

Finally, you can also get your money (atleast, the incorrectly charged duty) back. It costs one stamp and you'll get a cheque from Canada Customs in 4-6 weeks. You can read my article on the topic: photoprice.ca: Accidentally charged duty? Get a refund. (apologies for the link to my own site).

I hope this makes sense, let me know if you have any further questions.

08-21-2008, 06:36 AM	#10
grc New Member Join Date: Aug 2008 Location: Toronto Gallery Photos: 0 Posts: 1	Originally Posted by Alfisti Here is an invoice for a lens sent by a private seller. As you can see there are charges for taxes, then an excise tax and then a "Handling Fee" from customs. ... So m,y charges on a $213 lens were over $50, far more than the site above will lead you to believe. Disclaimer: I'm the guy behind PhotoPrice. Alfisti, as I explained in the reply to your e-mail to me, it looks like there's a reason you paid these fees. Off the top, $32 of your fee was tax, and you can never avoid that. First, let me note that you are taking price calculations from a physical store and specific shipping method, and complaining that the numbers didn't work out when buying from a private seller with a different shipping method. Second, the $8 fee by Canada Post is its brokerage or handling fee. I document this on my site, in the article on Tax, Duty, and Brokerage Fees. The reason why you don't see this fee doesn't appear in the normal product calculations is because the shipping option all the US merchants use is UPS (it's cheaper than USPS/CP and brokerage-free). Third, it looks like you paid a 5% duty on your items. This is likely because your private seller misdeclared your goods, likely he put "photographic accessories" on the declaration form. Canadian customs duty is a bit weird like that. There is 0% duty on camera lenses, cameras, or tripods, but only if they are declared correctly! If your seller writes "photographic accessories", there's a 5% duty; if your seller writes "lenses" (no camera), there's a 2% duty. Also, since your private seller likely didn't use the harmonized customs code and just wrote it in, it's up to the customs agent to translate the text into whichever category he or she saw fit. Talk about inaccurate! So the conclusion I'd like you to take away from this is: When buying from a private seller or smaller store, be insistent on the wording for the customs declaration form. Give the seller the harmonized customs code and ask them to put it on the form. You can't expect a seller who rarely ships to Canada to get all the paperwork right. The shipping method will affect the fees you pay. Canada Post charges a flat rate $8, where as UPS Ground or FedEx Ground charge exorbitant rates. Always be aware of this. Finally, you can also get your money (atleast, the incorrectly charged duty) back. It costs one stamp and you'll get a cheque from Canada Customs in 4-6 weeks. You can read my article on the topic: photoprice.ca: Accidentally charged duty? Get a refund. (apologies for the link to my own site). I hope this makes sense, let me know if you have any further questions.