Import / Export Exemptions?

[red120]

Is there any way to get an exemption for custom duties? For example, in my situation, I am bringing the products into Canada for storage, but then mostly exporting to outside of Canada over online e-tailing.

I have an import/export account of course, but it doesn't seem there's a lot that I can do with it for this.

Any help is appreciated.

[wheel]

First make sure you're using the right terms. If you're importing from the US, then it's unlikely there's actually 'duties'. It's called free trade :).

If in fact that's the case, what you're really being charged with probably is:
- GST
- PST (maybe)
- brokerage fees charged by your shipper

And if that's the case then you're the GST and PST are a moot point. You can get around the PST with a PST exemption certificate. And you'll get a refund of the GST. That makes the only thing you're really getting charged is brokerage fees - and that's not the gov't, that's the shipping company you're using.

The ways to manage brokerage fees are to either clear the stuff across the border yourself, or negotiate with your shipping company.

And if all my assumptions are wrong and you are actually paying 'duty', then I doubt that you can get around paying the duty - or at the very least it's going to get very complicated. But that I don't know for certain.

[nabeel]

wheel is correct. However, if it is duty you are paying, you can apply for a refund after the items have been exported. You would, of course, need proof of export.

If you are importing quantity and exporting onesies and twosies, the paperwork could get pretty cumbersome, so it might make sense to set up a good system with your accountant and/or customs broker to do this on a regular basis.

[red120]

Yeah, all of my shipments from US are just GST+customs handling, which I suppose the former is done at the end of the year (?) and the latter is just an expense. Not sure how to apply for the GST credit, but I would worry about that later.

The problem is for my shipments from Japan and Denmark, both which I don't think Canada has any kind of reciprocity of free trade with. Because the duties are quite high for these products, I wanted to try to get around this.

Nabeel, you mentioned that I can apply for a refund post-sale, can you link me to any of the document on the government website for this?

And regarding if I destroy the item for a write-off, etc if it doesn't sell after x amount of time, can I still get a refund for duties?

Cheers :)

[nabeel]

Nabeel, you mentioned that I can apply for a refund post-sale, can you link me to any of the document on the government website for this?Google turned this up: http://www.cra-arc.gc.ca/E/pbg/ef/n15/n15-06e.pdf