Canadian buyer left notice of $89.32 in fees.
I am a US based seller and sold an item for $400USD with $25 flat shipping in the US. The buyer was based in Canada and used eBay's international shipping program. I've never used that service before and I usually turn off all international shipping options simply because I don't like shipping internationally.
I shipped the item and it arrived in Canada today. The buyer was left with a notice saying they owed $89.32 in fees.
Could this be right? I know Canada has I believe a 5% import tax, even converting to Canadian dollars that should only be around $26.56 CAD.
What's going on? Is it extra shipping charges?
10 comments
stainlessenginecovers
·3 years agoThat 5% is Federal and does NOT include the various Providences' rates (Quebec is over 10%; Manitoba 8% or so etc.)
First; against the Canadian Value of an item. A $400 US would cost $528 and be taxed for that amount.
$528
x 5% Fed ($$26.40)
$528
x 10% Quebec ($52.80
So, it could easily be $79 or so....
davewculp
OP3 years agoI do believe it was going to Quebec.
davewculp
OP3 years agoAlso, I'm not sure if eBay puts the value of the item plus shipping, which was actually $50, not $25. In other words the buyer paid me $450.
In that case,
$450 USD is about 597.52 CAD
597.52 x 15% = 89.62 which is almost the exact amount the notice is for.
stainlessenginecovers
·3 years agothere you go; mystery solved.
wastingtime101
·3 years agoeBay International Shipping is currently set up without pre-charging duties/customs. Supposedly they're working on making it possible for the buyer to choose at checkout whether they want to pay upfront or later when the package gets to their country.
It's not an additional shipping charge. It's most likely a customs fee, possibly even a broker fee depending what carrier was used.
Either way, if the buyer has questions about the amount they need to bring it up with the carrier or whomever sent the notice.
If the buyer wants their package they will have to pay fees owed.
davewculp
OP3 years agoThat's kind of what I'm thinking, but it just seems to fees are way too high - I believe Canadian import taxes are only 5% which should've only been around $26.56 Canadian.
wastingtime101
·3 years ago5% is the GST (Global Sales Tax). That would have been paid upfront at time of purchase.
These charges are likely duty and/or broker fees.
There's a duty and taxes estimator on this page:
https://www.cbsa-asfc.gc.ca/import/postal-postale/dtytx-drttx-eng.html
Unavailable member
·3 years agoIt all depends on the item and the country of origin. It doesn’t matter that you are in the US, it matters where the item was made.
not that you are selling sugar, but that is one example of a product from the US that has a much higher import duty.
davewculp
OP3 years agoIt was 2 Lego EV3 robotics kits.
aspme
·3 years agoCanadian Buyers who purchase goods in the US are Keenly aware of the Exchange rates, GST, VAT etc. etc. so, while a $89 Tax/ fee seems way out of reality to us... They are quite Use to it!