In general, if the declared value of a package is below the tariff threshold for the destination country, the package is usually exempt from taxes. However, misdeclaring the package value can lead to legal issues. If your package is taxed, you will need to pay the applicable taxes and assist in clearing customs. Fortunately, the likelihood of being taxed is low—only 0.3% of packages have been taxed to date.
Tariff Threshold Reference Table
| Country | Threshold |
|---|---|
| United States | 800 USD |
| Canada | 20 CAD |
| United Kingdom | No exemption |
| Australia | 1,000 AUD |
| EU | 0 EUR |
| Russia | 10,000 RUB |
| Japan | 10,000 JPY |
| Singapore | 300 USD |
| New Zealand | 300 USD |
| Switzerland | 100 CHF |
| South Korea | 150 USD |
Notes:
- In Switzerland, the customs tax threshold is 100 CHF, and the VAT threshold is 65 CHF.
- Canadian and European customs conduct strict inspections. Packages sent via express services like DHL and UPS have a higher likelihood of being taxed.
Canadian Provincial Tax Rates
| Province | GST (%) | PST (%) | HST (%) |
|---|---|---|---|
| Alberta | 5 | – | – |
| British Columbia | 5 | 7 | – |
| Manitoba | 5 | 8 | – |
| New Brunswick | – | – | 13 |
| Newfoundland & Labrador | – | – | 13 |
| Northwest Territories | 5 | – | – |
| Nova Scotia | – | – | 15 |
| Nunavut | 5 | – | – |
| Ontario | – | – | 13 |
| Prince Edward Island | – | – | 14 |
| Quebec | 5 | 9.98 | – |
| Saskatchewan | 5 | 5 | – |
| Yukon Territory | 5 | – | – |
How to Reduce the Risk of Taxation
To minimize the likelihood of your package being taxed, consider the following suggestions:
- Package Weight:
- Packages over 10 kg are often classified as commercial, increasing the likelihood of taxation. Confirm your package weight before shipping.
- For DHL shipments, account for both item volume and weight, as charges are based on both factors.
- Split Large Packages:
- Packages exceeding 30 kg must be split into separate shipments. Aim to keep individual parcels under 10 kg when possible.
- Avoid Large Quantities of a Single Item:
- Shipping multiple units of the same item in one parcel may be deemed commercial. Distribute items across separate parcels.
- No Guarantee Against Taxation:
- While these tips reduce risks, taxation is ultimately at the discretion of customs authorities.
Special Considerations:
- Items like food are subject to stricter customs policies. Exercise caution when sending these items internationally.
Disclaimer:
The above information is for reference only, based on publicly available data. It should not be considered official guidance.
