Purchasing From U.S. Vendors: Taxes, Duties, Shipping, other Issues, etc.

[57]

You would need to:

- transport the item, costing time, money and perhaps damage to the TV.
- pay any applicable duty, GST, PST
- there would be no warranty.

There are many previous thread where this has been discussed.

You may be able to negotiate a better price at FS, or another store.

[jonnyfreeze]

A quick look into the Customs Tariff Document shows the following info:

-TV's manufactured in countries with Most Favoured Nation status: 5% duty
-TV's manufactured in countries covered by United States Tariff, Mexico
Tariff, Mexico-United States Tariff, Chile Tariff, Costa Rica Tariff, Canada-Israel Agreement Tariff, Least Developed Country Tariff, Commonwealth Caribbean Countries Tariff, Australia Tariff and New Zealand Tariff: No duty
-TV's manufactured in countries by the General Preferential Tariff (HD projection and flat panel TVs): 3%
-TV's manufactured in countries by the General Preferential Tariff (Non-projection cathode-ray tube TVs): Free

Interestingly enough, China is covered by the GPT, while Taiwan remains as a MFN. If you're wondering about other countries, look in the document.

Please note that I am no expert here; this is my interpretation of this (somewhat confusing) document.

[JoeFigueiredo]

so in buying a projector from a u.s. website, other than the exchange rate charged by let's say visa for buying it, what additional duties and taxes need to be paid in percent if it is shipped to ontario?

for example, 14% gst + a ??% duty, or no gst and just a ??% duty?

also, what about for buying a projector screen?

[Dr.Dave]

JoeFigueiredo, GST is payable on imports. PST is technically payable but I'm not sure if Ontario goes after individuals.

[I_Want_My_HDTV]

If it's no problem transporting it back for warranty repair, go for it. Warranty repairs are not that common on flat screens but shipping to the US can be problematic and is very expensive. You should be able to beat BB's price by a good margin though, or wait for a BB sale in the US. Just make sure you declare it in the best way to avoid paying too much duty (know where it is assembled, etc.) Most duty officers will give you a break if you give them enough info.

[JoeFigueiredo]

Originally Posted by Dr.Dave

JoeFigueiredo, GST is payable on imports. PST is technically payable but I'm not sure if Ontario goes after individuals.

what about additional fees other than taxes?

[Dr.Dave]

JoeFigueiredo, things to watch out for:

1) Shipping charges from U.S web sites are usually higher for Canada
2) Brokerage fees charged by shipper for going through customs (U.S. Postal Service --> Canada Post is usually the cheapest)
3) Duty based on type of goods and country of manufacture (not country where it was shipped from)
4) Border hassles if you have to ship it back for warranty.

[FED]

thanks for all the replies and info!

Ya the transportation wouldn't be too bad for me, I'm about 1 hour away from the US BB. I will prob shop around here first and at least i have a pretty good idea of how low i should be able to go without looking like i am out of my mind. Realistically the CDN prices should be similar to the US prices as well...yes?

[em69]

Originally Posted by FED

while the sale for the same tv in futureshop is $3199 CDN.

You could easily get it cheaper with very little negotiating. I bet you could get for $2,700. FS is always able and willing to negotiate.

[jonnyfreeze]

The application of duty on electronics in my experience seems to be variable; sometimes it will be there and sometimes it won't. GST is always applied and I think that if you ship something in, you do wind up paying PST as well. If the goods accompany you, the application of PST varies on the province. If your province has a harmonized sales tax, it will be collected. Some, like Manitoba and Sask do collect it at the border. I live in BC and I don't recall them collecting it at the border, but don't quote me on that. Technically, you're required to submit PST for any out of province purchases, but I have a feeling that not everyone does this

[elapsed]

I have a friend who is looking to purchase a 2007 Acura MDX.

Canadian MSRP: $53,730 + $7,119 tax = CAD$60,849 (Vancouver)
American MSRP: $40,665 + $3,578 tax = US$44,243 (Seattle)

If my calculations are correct, the same vehicle costs CAD$10,000 less to purchase in the States. Considering the vehicle is built in Ontario, this is absolutely ridiculous!

But that's beside the point.. What would it take to purchase the vehicle in Washington State and bring it back into Canada? Does anyone have any familiarity with the legislations, taxes, duties, etc? Would this still be cheaper than purchasing in Canada? What hassles would my friend have to go through?

(for the record, I leased a 2006 Acura TSX here in Vancouver, couldn't be bothered to go through this process)

[57]

Concerns:

1. Duty there may be some on this vehicle depending on country of origin.
2. Taxes must be paid of course in Canada and you'd probably be charged Washington St tax.
3. Warranty (you may have none)
4. Meeting Canadian specs for vehicles - Daytime running lights. Metric Speedometer, odometer. There could be more.

Those are just a few big ones off the top of my head.

It's rarely worth it.

There was a thread on this a while back - I'll go looking.

[JohnnyCanuck]

Most of the information you need is available from the Registrar of Imported Vehciles. They are the authorized agents of Transport Canada to deal with all the federal issues.

Since you're in BC, you would also have to have the vehicle inspected by a designated inspection facility to ensure that it complies with Canadian regs (eg. daytime running lights) and make all the necessary repairs/mods prior to being allowed to register the vehicle with ICBC. The requirements for registration are set out in Section 21 of the Motor Vehicle Act.

[vancouverisland]

I am interested in how this works out.

Oregon has no state sales taxes (on most goods, not sure about cars), so maybe a drive to Portland might worth saving that part too?

[57]

Previous thread found.

http://www.digitalhome.ca/forum/showthread.php?t=44799