Any way for Canadian's to aviod US taxes when using US PO box

[4386jim]

Hi,

Due to the high cost of shipping (or no available shipping) to Canada I often ship to a US address. I then drive to the US and pick up my packages. I recently found out about the changes to US tax law and was wondering if there is some way to obtain an exemption to paying US (NY) tax. I pay HST when I bring the items across the border. I don't think I should have to pay twice. And before any one suggests eBay's international shipping, paying eBay's inflated delivery and brokerage fees is not acceptable either.  If the purchase prices is less than $100 eBay's brokerage fees usually end up costing more than the item.

It would be so much nicer if eBay could apply the tax based on billing address rather than shipping address.

[ypdc_dennis]

---

@4386jim wrote:

It would be so much nicer if eBay could apply the tax based on billing address rather than shipping address.

---

eBay follows the tax rules.

If you want to avoid state sales tax you need a post office box in a state that does not have internet sales tax.

[reallynicestamps]

New York state taxes pay for, among other things, the roads you drove on to get to your US post box.

[4386jim]

Good point.  Wouldn't want that km (that's about 1/2 a mile) of road I travel on to go into disrepair. I guess now that the cost of shipping to New York is almost as much as shipping directly to Canada I'll just ship to Canada. I'm sure the Ogdensburg UPS and the local community doesn't need my money or the money of other Canadians that will be finding it more expensive to do business in New York.

[4386jim]

No, I'll just have to buy Canadian.

[marnotom!]

But you asked how to avoid paying NY state sales tax when using a US PO box. Great that you're willing to buy Canadian, but you're not using a US PO box then.

@ypdc_dennis did answer your question as it was presented.

[ichopshop]

I'm sure all the times you get waved through at the border and don't have to pay HST on your purchases more than makes up for the sales tax you're paying in NY.

Fun Fact - You pay HST/Duties on the purchase price of items INCLUDING any sales tax applied, but not on the shipping (unless it's included in the purchase price)

Ian

[4386jim]

Actually I was told by customs that I had to pay tax on the shipping even if it was not part of the price.

It is nice when I get waved though but that typically only happens when the value is under $100 cdn.

I'm looking at paying 21% in tax. That really makes it difficult to win an auction when competing against someone that doesn't have to pay tax.

[femmefan1946]

You can have more than one address in Paypal, although I am not sure if those addresses can be in different countries.

Work out all your costs for US pickup including your time (23c a minute at ON minimum wage) and gas, not just the shipping and sales tax.

It may turn out that on some items you are better off having USPS /Canada Post deliver to your home or PO box.

You might also consider bidding on items that ship by GSP (spit spit spit) with Canadian import fees and a service charge paid on purchase and delivered.  You will pay Canadian duty and sales taxes on any item over ~$15 USD if this is used.

[4386jim]

I was using the UP address to avoid the GSP.  The GSP charge works out to more than the purchase price on anything less than $100. Looks like I won't be using eBay any longer.

[roadie16]

I also occasionally receive shipments at a US address and also pay the tax as required; and if required I also pay the Ontario tax. The only time I will do this is if it it financially beneficial to me. Just the cost of doing business. Otherwise I buy elsewhere.

[pinklad_95]

if you get a po box in Portland Oregon . there state doesn't require