Taxes etc. goods from Canada question (m)

[LaRee]

Does anyone know how it works if I buy a lens from someone in Canada to be shipped to me in California? Do I have to pay taxes or duties etc. on the lens? This is confusing to me and I thought maybe someone here would have the answer. The lens is about $600.00, so taxes etc. could amount to some $$ if charged.

[innershell]

I think (just like shipping from US to Canada), you have to pay for applicable merchandise taxes for your state (if California has any).

[Canada_Rockies]

Originally Posted by innershell

I think (just like shipping from US to Canada), you have to pay for applicable merchandise taxes for your state (if California has any).

Up here, if the goods come by USPS > Canada Post, and the value is less than $100, they ignore it as not worth the paperwork to collect the $5% GST (Canadian for VAT). I believe that there is a reciprocal agreement on lenses that they are not a commodity that carries a dutiable value. You only pay the taxes in the Prov/State where you live. It works coming into Canada, anyway. Lenses do not carry duty. I bought my 16-50 from B&H, and paid the taxes on the way in, but no duty.

[LaRee]

Thank you both for your replies. I appreciate it. So the consensus seems to be I would have to at minimum pay my California state tax. (That is 7.75%). On a $600.00 lens that is $46.50 in state tax. B&H doesn't charge any tax when sending goods to California. Adorama doesn't either. Only companies that have a physical location in California charge state tax at their site. At the end of the year I claim all the goods I've bought on my state tax return and pay the tax then...yes I do. Just like any good American would. Now, with that disclaimer out of the way...the deal on a lens has to be even better than good to make buying from Canada worth it. Weird because I'm pretty sure that the e-bay place I got my DA35 was in Canada and they didn't charge me state tax on it that I recall. I'll have to look up the invoice to be sure.

[little laker]

If it's a private sale most people just say it's a gift. Cutting down on the paperwork.
Although I've heard that some places will still ding you the taxes when it's over a certain price.

[flyer]

When you buy goods in Canada AND the seller charges taxes (provincial and/or federal), you can claim the taxes when the goods leave Canada PERMANENTLY (meaning you don't take the goods out on vacation and come back with it two weeks later). You can inquire at Canada Custom and Duties for the proper form to claim the taxes that where charged, if any was.

[Canada_Rockies]

Originally Posted by LaRee

Thank you both for your replies. I appreciate it. So the consensus seems to be I would have to at minimum pay my California state tax. (That is 7.75%). On a $600.00 lens that is $46.50 in state tax. B&H doesn't charge any tax when sending goods to California. Adorama doesn't either. Only companies that have a physical location in California charge state tax at their site. At the end of the year I claim all the goods I've bought on my state tax return and pay the tax then...yes I do. Just like any good American would. Now, with that disclaimer out of the way...the deal on a lens has to be even better than good to make buying from Canada worth it. Weird because I'm pretty sure that the e-bay place I got my DA35 was in Canada and they didn't charge me state tax on it that I recall. I'll have to look up the invoice to be sure.

Please note: no vendor in Canada that I have ever heard of is licensed to collect California state taxes, or even US duty. You might be charged the taxes when the item is received, depending on the relationship between the government of your state and the delivery system used. Any other requirements to pay tax will be driven solely by your conscience.

[JCSullivan]

Photo lenses are NOT dutable period.

As for sales taxes - since you are not purchasing in California there should be NO taxes UNLESS you have a separate federal tax regulation.

Since you're purchasing in Canada there shouldn't be any reason this entity should ask for taxes.

Do not ship other than Canada Post of you WILL be charged courier fees i.e. FedEx, UPS, DHL, etc.

[LaRee]

Originally Posted by Canada_Rockies

Please note: no vendor in Canada that I have ever heard of is licensed to collect California state taxes, or even US duty. You might be charged the taxes when the item is received, depending on the relationship between the government of your state and the delivery system used. Any other requirements to pay tax will be driven solely by your conscience.

Originally Posted by JCSullivan

Photo lenses are NOT dutable period.

As for sales taxes - since you are not purchasing in California there should be NO taxes UNLESS you have a separate federal tax regulation.

Since you're purchasing in Canada there shouldn't be any reason this entity should ask for taxes.

Do not ship other than Canada Post of you WILL be charged courier fees i.e. FedEx, UPS, DHL, etc.

Thank you both for your replies. They make sense and are what I've experienced in the past. Just a bit confused as when I asked the seller he wasn't sure how it worked.

[mickeyobe]

A last word?

Anything coming from the US into Canada by courier is charged our federal and provincial taxes GST & PST amounting to 14% and customs brokerage fees even though there is no duty on photo equipment.
I understand the courier companies have their own brokerage houses.
That is why many Canadians purchasing from the US specify USPS and NOT a courier.

Canada Post usually ignores the GST/PST and there is, quite correctly, no brokerage fee.

Mickey

[JCSullivan]

Mickey, LaRee is in the US so in this case it's the other way round.

[Helen Oster]

Originally Posted by mickeyobe

A last word?

Anything coming from the US into Canada by courier is charged our federal and provincial taxes GSP & PST amounting to 14% and customs brokerage fees even though there is no duty on photo equipment.
I understand the courier companies have their own brokerage houses.
That is why many Canadians purchasing from the US specify USPS and NOT a courier.

Canada Post usually ignores the GST/PST and there is, quite correctly, no brokerage fee.

Mickey

The question of shipping options to Canada comes up regularly, so I put together the following info - hope it helps.
When shopping with Adorama for shipping to Canada, you can choose from: FedEx International Economy, FedEx International Priority and UPS Express
With UPS Express, there should be no additional brokerage charges for customs clearance, as these are included in the shipping fee. The same holds true for FedEx International Economy and FedEx International Priority. I understand that back in February 2008, there was a class action lawsuit filed in Ontario against UPS for hidden fees.
Sales taxes and duty (if applicable - most photo items are duty free because of NAFTA), are additional and (unless you have an account with FedEx or UPS), are payable upon delivery. Duty may have been paid on the item entering the USA from the originating country if there was no FTA in place. But in any case, photographic equipment items between the US & Canada are duty-free.
However, if your purchase requires a tariff (eg paper products, storage media) this would typically be less than 0.5%. You can download the Customs Act on line to find out how your purchases would be classified and from that, estimate the tariff.
Many customers have reported that USPS online package tracking is not very good, and if a package is mislaid in transit that the customer must wait 45 days before submitting a lost parcel claim.
Conversely, experience has shown us that UPS's online package tracking is excellent and if a package is mislaid, that they are much more responsive. Our Canadian customers tell us that UPS is fast and reliable, and that packages are handled efficiently when they arrive into Canada.

Helen Oster
Adorama Camera Customer Service Ambassador
helen.oster@adoramacamera.com

[mickeyobe]

Helen Oster,

I am not disputing the information you have provided in your letter. But I must bear in mind that you are writing as the sender in the USA not the recipient in Canada.

However, my past experiences with both UPS and FedEx have been very unpleasant. They tried to extract mony from me to which they were not entitled and, subsequently, caused me considerable aggravation as did their collection agencies.
They never did get the money they demanded and the collection agencies gave up after 2 years of being ignored.

Regardless of their presently claimed saintly status I cannot trust them. I always insist that the vendors send by USPS and that I will refuse any courier deliveries.

I have made over 200 purchases from the USA and USPS have never lost a parcel. I also find their service to be reasonably fast. I have never tried to track a parcel as I am patient and certain that the parcel will always arrive.

It is based upon those experiences that I will never deal with couriers again.

Mickey

[Blue]

I have NEVER paid duty or sales tax on new or used merchandise from Canada. The only sales tax we ever pay on items ordered on the internet is when the company is based in Florida or has retail outlets in Florida. When I lived in California, it was the same way, but they may have changed since I moved to Florida in 2004. My last purchase from Canada was a k20d and was delivered by UPS about a month ago.

Edit: To keep down confusion, I was referring to the OP!

[mickeyobe]

Blue,

We are talking of items coming into Canada from the USA. That is from south to north.

Mickey