High import charge from the US??

pan_pz_bcd1kka
Community Member

An item that's US$23 will cost me another US$7.92 as an import charge?

As far as I know, https://www.cbsa-asfc.gc.ca/import/postal-postale/dtytx-drttx-eng.html has stated that where I live (ON) they can charge 13% HST. But what ebay checkout showed me was a fee of around 30%, way more than the HST, can anyone explain to me what it is?

Message 1 of 16
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High import charge from the US??

There is a handling/processing fee in there somewhere.

 

A non-GSP example: If you had the item sent directly to you via USPS/CanadaPost -- if you got charged for the item it would be 13% of the converted value plus $9.95 processing fee at time of delivery.

 

-..-

Message 2 of 16
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High import charge from the US??

Found out recently there is now a new "service" in play. UPS Mail Innovations. In speaking to them directly when an item reaches Canada it is handed over to Canadapost and processed through it's system. According to the UPS site the clarification available is a bit muddy. These situations have not been improved for clarity with generic terms like Priority International Shipping or Economy International Shipping. Like they say, "The best surprise is no surprise." As of surprises, they have become the norm and not the exception. Buyers need to know what is going on at the front end. Not the back, to stop all these NAD situations and surprise fees on delivery.

 

UPS Worldwide Economy packages shipped using the DDU Option will be delivered through the UPS Mail Innovations network, including contracted service providers. Duties, taxes, and customs clearance fees applicable to such packages are collected from the consignee upon delivery.Jun 7, 2019 

 

 

PDF attached.

 

https://www.ups.com/assets/resources/media/en_US/UPS_Worldwide_Economy_Terms_and_Conditions.pdf

 

When my item arrives will advise how things unfolded.

 

-Lotz

Message 3 of 16
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High import charge from the US??

Before GSP the most hated service was UPS. There is a 5000+ complaint thread archived somewhere.

The biggest complaint was that their "customs brokerage" fee started at $25, no matter how little duty was applicable.

 

It sounds as if we should start warning buyers about buying from US sellers using UPS, since they will be using Canada Post to actually deliver, but charging the same high fees.

 

Side note-- The profit making company uses the publicly run /socialist/ not for profit postal service as a sub-contractor because Canada Post can do the job cheaper than UPS can themselfves.  And Canada Post does make a profit.

Message 4 of 16
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High import charge from the US??

$23US is 23x1.25= $29.15 Cdn

13% sales tax on $29.15= $3.78

Plus $6.25 Cdn service fee= $10.03

Was the item duty-free?

 

 

 

 

Message 5 of 16
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High import charge from the US??

@reallynicestamps 

 

The main problem in these situations is you don't truly find out how it was shipped until after it was shipped. When tracing was advised, I followed up, determined it was UPS connected. I've had similar situations with items coming from Toronto with generic services. Phone their posted phone number and leave a message because no one picks up and then they never respond. Tracking is vague if at all.  Items that get left on ones front step are just an invitation for anyone going by to help themselves. This becomes time wasted when it's something you require for a specific reason when it poofs. UPS's mantra for residential deliveries has always been  drop off on front step and their work is done. Ringing the doorbell is at additional costs.

 

-Lotz

 

PS. This is why posting assorted shipping options is essential along with the actual physical location of the item you are planning on bidding on.

Message 6 of 16
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High import charge from the US??

It's my impression that if the seller is using USPS for shipping, or wants the Seller Protection of GSP, she will say so.

If the seller is not precise in her shipping method, it's well worth sending a question.

It is probably even worthwhile mentioning that you are asking because "some couriers, including UPS, charge huge ($25+)  brokerage fees which they do not explain to the sender, putting her is an awkward position".

 

Since the brokerage fee question comes up with all couriers, including GSP/Pitney Bowes, it's worth gently guiding our US colleagues to an equally secure for them, but cheaper for us, service, like USPS First Class International Parcel, which is tracked.

Message 7 of 16
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High import charge from the US??

mcrlmn
Community Member

I'm surprised you got off that cheap.

Don't forget your charge card vendor's exchange transaction fees.

Charge card vendors rates are typically the highest.

Message 8 of 16
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High import charge from the US??

@pan_pz_bcd1kka

 

Update:

 

Item via UPS Innovations shipped on Oct 29th arrived today Nov 4. (New York to Calgary.)Based on available tracking the item went from UPS Innovations standard service to USPS Tracked to Canadapost Xpresspost. Tracking was accurate up to handing over to Canadapost but no followup tracking was available.

 

Item value was approx. 19.00 USD and shipping 9.99 USD. There were omissions on customs label but it did not delay the parcel. Also, there were NO taxes/customs processing fees  charged. Overall an excellent buying  experience avoiding GSP with economical postage and speedy delivery. I realize additional fees on imports can be a lottery. So basically at the whim of your inspector.

 

Now if there was a way that US sellers could note they were using this particular service that would be an awesome improvement to what we currently have.

 

-Lotz

 

@reallynicestamps 

PS. As of late I am finding many US sellers are annoyingly vague as to how stuff is shipped. Emailing those sellers to get answers has become a process. Either they have canned answers that don't truly answer your question or they are blocking you from emailing them.

Message 9 of 16
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High import charge from the US??

Fascinating.

The seller paid for UPS to deliver the tracked package.

And like good capitalists, they sub-contracted to the publicly owned, cheaper public system which gives better coverage.

And didn't pay for tracking.

Message 10 of 16
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High import charge from the US??

@femmefan1946 

 

It's a division of UPS with special rates. Brief explanation of the service attached. All I can say is quick economical delivery and no customs. Yayy!! Actually email tracking arrived showing delivery arrived later that afternoon with the original tracking number.

 

https://www.upsmailinnovations.com/pdfs/UPS%20Mail%20Innovations%20Canadian%20Border%20Program.pdf

 

-Lotz

Message 11 of 16
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High import charge from the US??

oleksandgrytsenk0
Community Member
Hi! I bought old discontinued snickers for $299usd from usa to Canada Ontario, FedEx ask me to pay and i paid $148 cad. !!! Its like %50 of price. Why not $1500? Where i can wave that bill or ask why? This is my second pair and before I didn’t pay anything and shiper was not FedEx, always i have to pay with FedEx.
Message 12 of 16
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High import charge from the US??

$148 does sound very high. When an item is sent through USPS and then Canada Post, customs Canada may or may not charge for taxes and fees. When a courier such as Fedex  transports an item across a border, they are legally required to charge taxes and any applicable duty fees. They also charge a brokerage fee which I think is a percentage of the price.  They should have itemized the charges for you...can you list them?

 

This thread is a couple of years old so they will probably close it. If you want to ask any more questions or give information, you can start a new thread.

Message 13 of 16
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High import charge from the US??


@oleksandgrytsenk0 wrote:

Hi! I bought old discontinued snickers . . .

I hope it was a pair of discontinued sneakers that you purchased and not Snickers.  Stale Snickers bars are pretty nasty.  🤪

 

Customs clearance charges for ground shipments from FedEx, UPS and the like can get pretty steep pretty quickly.  As @pjcdn2005 points out, there should be documentation stating what you were charged for and for how much.  FedEx doesn't seem to post this information online, but UPS Canada does, and right off the bat you'd be looking at C$61.90 for Entry Preparation Charges on top of whatever you'd owe in taxes and duties.  Then you'd be looking at whatever would apply in the "Additional Charges" section:

https://www.ups.com/ca/en/shipping/zones-and-rates/customs-clearance.page

To be honest, I've been worried about stuff like this happening with the eBay Authentication Program.  Didn't another buyer post a while back about the Program using a carrier that really stiffed them with customs-related charges?

Message 14 of 16
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High import charge from the US??

ZOMBIE THREAD FROM 2019

The problem with zombie threads is that the information and advice may be out of date and no longer valid.

For example, there were huge changes in duty-free and tax-free allowances with the signing of the new NAFTA agreement in 2020.

 

Message 15 of 16
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High import charge from the US??

Hi everyone,

Due to the age of this thread, it has been closed to further replies. Please feel free to start a new thread if you wish to continue to discuss this topic.

Thank you for understanding.

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