post #1 of 1
Thread Starter 
I tried posting this in the thread "For Canadians thinking about shipping options...please read " but was unable to do so...

If you are shipping a notebook computer to Canada, then you will need to pay duties and taxes.

Since the Sager computers are made/orginating in the USA, then because of NAFTA, there is no duties charged on them. Therefore all you need to pay for is the GST and the PST (unless your province does not have a PST ie. Alberta). Also, you would not be required to pay the PST if the computer is for business use (ie. company computer).

You will also need to pay for brokerage fees. This amount varies from shipping company to shipping company. Basically, the shipping company is importing your computer into Canada on your behalf and therefore charges you for this extra service. The brokerage fee is like a shipping/handling fee since there is more paperwork involved when shipping goods internationally.

I've read in a post that having a friend in the US ship you your computer to Canada and classifying it as a gift will exclude you from paying the taxes. That statement is only true if the gift is valued at $60 (i'm not to sure on this but I know there is a limt) or less. If your "gift" is more worth more than the limit, then Canada Customs will charge you the duties and taxes. If you are not charged these taxes, then you are simply lucky.

I've read suggestions about going to the US and driving across the border to and not declaring the laptop (pretending it is old/discarding of boxes/etc.) to avoid paying taxes... this is extremely risky. If they find out through inspection of your computer that it is in fact new, then they can seize your laptop (due to its high value) for not declaring it. In order to get you computer back, you will be required to pay the duties and taxes (which you would have been required to pay) PLUS penalties (I think its 25% - 40% or maybe more depending on what steps you took to smuggle the computer).

Another thing, if you have successfully evaded paying duties and taxes, don't think that your in the clear. If you plan on travelling internationally with the laptop, you are taking a risk everytime you return to Canada. If it is discovered that the computer was illegally imported into Canada, you may be required to pay the duties and taxes PLUS the penalties at that time. So always travel with your receipts to show that you have paid taxes and duties if you travel internationally with the computer.

Lastly, there was a post about someone wanting to upgrade their old laptop to a newer model. If you meant that you were going to trade your old computer for a new one in the US and then brink back the new one into Canada, unfortunately, you will need to pay duties and taxes for the full value of the new notebook since it will be imported into Canada for the first time. Your old notebook was used as "money" to pay for you new laptop and therefore does not decrease the value of the new laptop you are importing.

I know all of this because I work for a shipping company and have been asked these questions so many times already.

Hopefully this information is helpful for some of you...