Border Agency Scam

[dipmicro]

Had a parcel from Hong-Kong with value around $10. CBSA removed original CN22 and placed CBSA Postal Form over it's remains with value $25.

I understand that CBSA has authority to increase the customs value if they "know" that item has higher value than claim. However, the classification number is incorrect - a generic one covering "everything else in chapter", while there is perfectly fitting classification code in the chapter, so person at CBSA had no idea what was inside and could not possibly make informed decision about the item value in Canada. They simply jacked-up value to the lowest level for collecting processing fee.

This would be all fine if they left original CN22, did proper classification and in the message wrote "revaluated" instead of "opened", they do have authority to revaluate. But removing postal form + wrong code - smells like arbitrary value increase and covering the tracks.

[pierrelebel]

If I may be candid, the real problem is not the $7 to $10 you had to pay in taxes and brokerage fee. That's peanuts.

The problem is that your name and address may have beed "red marked" to check for future misdescriptions or undervaluations of postal importations. 😞

[jakeeangel]

Canada Customs is not as stupid as some like to think they are. They know full well that shipments from China and Hong Kong are notoriously undervalued so they opened it to assess it.

The classification number isn't that relevant to anyone but them for their records. Tax is still the same amount. Was there that big of a difference in the percentage of duty between the two codes used? I'm thinking not. So what then does it matter?

Oh and they don't have to 'know' it has a higher value, they just have to believe that it does. Inspecting packages is part of their job.

[dipmicro]

If I may be candid, the real problem is not the $7 to $10 you had to pay in taxes and brokerage fee. That's peanuts.

The problem is that your name and address may have beed "red marked" to check for future misdescriptions or undervaluations of postal importations. 😞

There would be no reason for that. I am pretty friendly, they ask to pay, I pay.

Canada Customs is not as stupid as some like to think they are. They know full well that shipments from China and Hong Kong are notoriously undervalued so they opened it to assess it.

I agree. However, for making "assement" one needs to know what they are assessing. The code is same chapter (85), but it's a generic code covering "everything else" far far away.

Anyway, I don't mean to argue here, there is no point, just pointed out to questionable practice by the agency, that's all. I have no time nor will to do anything about it but if any lurkers out there planning an action I will be more than happy to provide testimony.

[dipmicro]

Btw. I am not biased against CBSA, I find their commercial dept. pretty decent, businesslike. I wish their "personal" staff was like that.

I have reason to believe the practice I described above is targetted at private people (this was private purchase unlike most of my other ones from China) and it's definitely not kosher. Tampering with original shipping documentation is the most suspicious.

[jakeeangel]

It's no different from people trying to get tax free entry of purchased items by having the seller delcare them as a gift. They have to open the package, check the contents and change the paperwork accordingly.

They are allowed to do that stuff whether it's private or commercial goods coming in.

[surplusdealdude]

Did they actually open the parcel?

[montrealmaps]

Did they actually open the parcel?

Yes, they do. It happened to me in the past. I paid the tax for "no value" item 😉 They taxed a 17th century engraving - they KNEW EXACTLY how much it's worth on the market 😉

[fatdane]

Most of the time I have no problem with material that is being sent to me. One shipment of stamps, however, from the Estonian Post Office, was opened by one of the "brighter" members of the Customs staff who looked at the invoice, and unsure of of how to convert Estonian Krone to $C called the Estonian currency US dollars and charged me the Gouge and Screw Tax on a US$ value. I disputed the assessment ( which became an input tax credit anyways) and was eventually told by customs that they did make a mistake - and to deduct the amount owing from my next GST return.

[surplusdealdude]

Yes, they do. It happened to me in the past. I paid the tax for "no value" item 😉 They taxed a 17th century engraving - they KNEW EXACTLY how much it's worth on the market 😉

Then I think you're pooched on this one.

Customs agents have wide powers - they can pick a price out of the air and nobody's going to challenge them.

fatdane's brought up a good point - if you're buying these for resale and you have a GST number, you just deduct the GST as an ITC.

Probably simpler to do it that way.

[dipmicro]

Customs agents have wide powers - they can pick a price out of the air and nobody's going to challenge them.

That is the main problem. Too much power, no accountability.

My biggest concern is that we ship some Canadian orders from US. Always making sure the declared value is under C$20 and promising customers they would not have to pay duties. Now I am unsure.

Little off topic:

There is too many rules to regulate us and there is too few to regulate the government agencies. Some cheerleaders will say they are the government, they can do whatever they want. Makes me sick when I read cases like Julia Davis vs. Department of Homeland Security, where DHS refused to comply with the valid court order. Agency contracted to uphold the law is now arrogantly publicly violating it.

[jakeeangel]

That is the main problem. Too much power, no accountability.

Now THAT I agree with! I understand what they're allowed to do. It doesn't mean I like it.

[surplusdealdude]

Makes me sick when I read cases like Julia Davis vs. Department of Homeland Security, where DHS refused to comply with the valid court order. Agency contracted to uphold the law is now arrogantly publicly violating it.

Or Harper (once again) deciding to ignore the law that Parliament passed that political parties can't use the franking privilege to send ads to people outside their MP's local area.

It's called Royal Privilege and we could all do without it.

[recped]

CBSA removed original CN22

How do you know the form didn't come off in transit?

[dipmicro]

CBSA removed original CN22

How do you know the form didn't come off in transit?

You are right, I don't. Good point.

[montrealmaps]

Here a short story - maybe it can work for you, too 😉
Several months ago I bough a $50 book. The seller wrote on the declaration "value 50.0". Of course, I was taxed for "500". I refused to accept the package. On week later Canada Post tried to deliver the book to me again - with the same tax. I refused again - I asked them to send the book back to the seller. And now - attention!!! 5 days later the package was delivered to me again. But this time the tax bill was REMOVED from the package. So I got it for free. 😉

[surplusdealdude]

So, persistence pays off is the message.;-)

[ameroindustries]

This is nothing .

Each month i bring a container to canada they hold it for 10-25 days

If its a 20 foot cointainer it cost me 100.00 per day

if its a few pallets it cost me 50.00 per day


I just paid another 600.00 last month 1200.00

They never find anything (Nor will they cause there is nothing to find other than paintball goods)

Yet i get charged no matter what For " Storage fee paid directly to the government "

B>S

[surplusdealdude]

But you can be proud that you're helping the government pay down the deficit.:-p

[dipmicro]

This is nothing .

Each month i bring a container to canada they hold it for 10-25 days

If its a 20 foot cointainer it cost me 100.00 per day

if its a few pallets it cost me 50.00 per day


I just paid another 600.00 last month 1200.00

They never find anything (Nor will they cause there is nothing to find other than paintball goods)

Yet i get charged no matter what For " Storage fee paid directly to the government "

B>S

I guess you just have get on with it. Canada ranks #8 in the World Bank's list of "Ease of Doing Business". In my opinion, CBSA and CP are two single institutions that cause why Canada is not #4 or #5.

#2 to start the business
#4 to close the business
#38 trading across border

I would welcome if starting and closing was #38 and trading across border was #2 or #4. CBSA pulled my DHL parcel a week ago and have been sitting on it since. It took 2 days to get from Shenzen, CN to Hamilton, ON, then 5+ days to move from one shelf to another in same warehouse.

I had to submit all kinds of documentation and they were puzzled my payment does not correspond with the invoice. Hello, have you heard of NET30 terms and supplier accounts ?