Argo Customs Brokers is dedicated to maintaining clear communication with their customers and those who wish to keep themselves informed about important importing and exporting regulations. As such, we present pertinent points from documents issued by the Canada Border Services Agency.
Any item mailed to Canada may be subject to the Goods and Services Tax (GST) and/or duty. Unless specifically exempted, you must pay the 5% GST on items you import into Canada by mail. The CBSA calculates any duties owed based on the value of the goods in Canadian funds. The duty rates vary according to the type of goods you are importing and the country from which they came or in which they were made. Depending on the goods or their value, some other taxes may apply, such as excise duty or excise tax on luxury items.
ARGO Customs Brokers recently implemented an updated and easy to use duty and tax calculator. It is a very useful tool to estimate how much you’d pay to the CBSA for your goods.
Some goods could be subject to Special Import Measures Act (SIMA) duty, so along with using the duty and tax calculator, it’s good to check with ARGO Brokers to determine if any SIMA duty is involved.
| Duty is a tariff payable on an item imported to Canada. Rates of duty are established by the Department of Finance Canada and can vary significantly from one trade agreement to another ~ CBSA |
Key Takeaways
- All international mail coming into Canada is subject to review by the Canada Border Services Agency (CBSA). The CBSA determines whether the goods may enter Canada and if any duty and/or taxes apply.
- Duty is a tariff payable on an item imported to Canada. Rates of duty are established by the Department of Finance Canada and can vary significantly from one trade agreement to another.
- Most imported goods are also subject to the federal Goods and Services Tax (GST) and Provincial Sales Tax (PST) or, in certain provinces and territories, the Harmonized Sales Tax (HST).
- The amount of duty or taxes you may owe on an item also depends upon the following:
- the item’s value in Canadian dollars;
- whether or not the item is a gift; and
- any exemptions specified in related legislation.
Associated Links
- Importing by mail or courier: Determining duty and taxes owed
- Memorandum D8-2-2, Postal Imports Remission Order
- ARGO Custom Brokers duty and tax calculator
- Special Import Measures Act (SIMA)
Argo Customs Brokers Is Available to Assist
If you or your company are affected by these new regulations, ARGO Customs Brokers would be happy to speak with you about how they may apply. The team at Argo Customs Brokers is always available to answer questions and can help you understand the effect that these regulations may have on your plans. All inquiries are welcome.