Why doesn't Customs Canada understand their own rules?

[dmdsoftware2]

I'm really getting fed up with Customs Canada.

Everybody knows about the $20 CDN and under are tax and duty free.

But for gifts it is $60 CDN and under are tax and duty free. Only the amount > $60 CDN is taxable and applicable to Duty.

So, if I receive an item valued at $65 CDN and it is marked as a gift, I should only be billed the taxes on $5 + the typical $5/8 handling fee.

Says so right in the rules....

http://www.canadapost.ca/tools/pg/manual/PGcustoms-e.asp#1382755

3.2.3

Gifts

Gifts from friends and relatives, valued at $60CDN or less, are duty and tax exempt. In cases where the gift is valued at more than $60CDN, the CBSA will assess duties and taxes on the excess amount. Items being sent as goods ordered from a commercial business and addressed to a consumer in Canada are not eligible as gifts.


But why is it every time I receive an item clearly marked as a gift with value > $60 CDN do they charge me taxes on the full amount :?: Seriously, Customs Canada, get with the program! Every time! I know I can dispute it, and I have every single time, but come on... I have to waste my time and money (stamps) to mail off the form then wait weeks/months for them to mail me a cheque inwhich I then have to in convince myself to go cash. Is it too much to expect them to know their own rules and regulations and get the item billed correctly.

Does anyone else have this problem?

[CSK'sMom]

You can thank all the folks that buy from Ebay and ask the seller to undervalue and mark it as a gift. ;) The other thing with Customs is that it's up to you to prove the value. Customs isn't stupid, contrary to popular belief. We get gifts mailed from family in the US all the time and have never been hit. But that's because gifts are generally wrapped and include a birthday card, Christmas card, etc. Legitimate gifts are just that, trying to get things through the loophole in the system and get taxed as it rightly should be IMHO...

[dmdsoftware2]

You can thank all the folks that buy from Ebay and ask the seller to undervalue and mark it as a gift. ;) The other thing with Customs is that it's up to you to prove the value. Customs isn't stupid, contrary to popular belief. We get gifts mailed from family in the US all the time and have never been hit. But that's because gifts are generally wrapped and include a birthday card, Christmas card, etc. Legitimate gifts are just that, trying to get things through the loophole in the system and get taxed as it rightly should be IMHO...

The item was gift wrapped. Regardless, they didn't open said item, so they wouldn't see whether or not it was gift wrapped.

Item was marked $107 CDN and Gift checked off and they charged the full amount on taxes. There was no indication on the package to indicate it did not come from a friend or family member.

[Ebola]

I'm really getting fed up with Customs Canada.

Everybody knows about the $20 CDN and under are tax and duty free.

But for gifts it is $60 CDN and under are tax and duty free. Only the amount > $60 CDN is taxable and applicable to Duty.

So, if I receive an item valued at $65 CDN and it is marked as a gift, I should only be billed the taxes on $5 + the typical $5/8 handling fee.

Says so right in the rules....

http://www.canadapost.ca/tools/pg/manual/PGcustoms-e.asp#1382755


But why is it every time I receive an item clearly marked as a gift with value > $60 CDN do they charge me taxes on the full amount :?: Seriously, Customs Canada, get with the program! Every time! I know I can dispute it, and I have every single time, but come on... I have to waste my time and money (stamps) to mail off the form then wait weeks/months for them to mail me a cheque inwhich I then have to in convince myself to go cash. Is it too much to expect them to know their own rules and regulations and get the item billed correctly.

Does anyone else have this problem?

#1. I don't know how Canada Customs is hassling you.. seeing as it is the CBSA. Canada Customs doesn't exist anymore.

#2. If you order a gift from a retailer, gift exemption does not apply. If you recieve a gift from someone who is not your friend or relative, the gift exemption does not apply.
If the gift includes tobacco, alcohol, clearly the exemption doesn't apply.

#3. The gift exemption only applies to foreigners sending things into Canada.

It's up to you to prove it's a gift.

Edit: I just read your second post.

And I'm not convinced that you aren't the one who is ripping off Canada, not the other way around.

[Narci]

#1. I don't know how Canada Customs is hassling you.. seeing as it is the CBSA. Canada Customs doesn't exist anymore.

#2. If you order a gift from a retailer, gift exemption does not apply. If you recieve a gift from someone who is not your friend or relative, the gift exemption does not apply.
If the gift includes tobacco, alcohol, clearly the exemption doesn't apply.

#3. The gift exemption only applies to foreigners sending things into Canada.

It's up to you to prove it's a gift.

Edit: I just read your second post.

And I'm not convinced that you aren't the one who is ripping off Canada, not the other way around.


That's where people get caught.

'Oh this package is from ABC Company marked as gift to a resedential address'. That's an immediate flag to fully tax the item.

But you said there was no indication of family or anything on the outside of the box..how was it declared as $10 then?

[woof]

If the customs officer doesn't believe that it is a gift he can hit you the full taxes and duty. And let's face it a package coming from a company to you is probably going to get hit as has been mentioned as opposed to something coming from another home address. Also if the description of the goods doesn't fit the "gift" description then that can also happen. eg "used waffle iron". Or the appearance of the words "eBay" anywhere on the paperwork or packaging. A lot of factors can affect the Customs officer's decision on whether to accept the "gift" designation. Of course it doesn't help when people brag about how they're using "gift" to try and sneak all their purchases through. A lot of people read these boards.

[Neovingian]

That's where people get caught.

'Oh this package is from ABC Company marked as gift to a resedential address'. That's an immediate flag to fully tax the item.

But you said there was no indication of family or anything on the outside of the box..how was it declared as $10 then?

This is rather silly?...Can you clarify, your saying any item sent from a random ADC company, to a residential addrss isn't a gift and should be taxed? I've ordered gifts and had packages snet from friends & family in the US all were from onlin retailers sent to a residential address....guess what I have never been taxes in these instances. Who are you to say that if it comes from a company it must not be a gift? Why do online retailers give you the option of including a card and or giftwrapping?

[Ebola]

This is rather silly?...Can you clarify, your saying any item sent from a random ADC company, to a residential addrss isn't a gift and should be taxed? I've ordered gifts and had packages snet from friends & family in the US all were from onlin retailers sent to a residential address....guess what I have never been taxes in these instances. Who are you to say that if it comes from a company it must not be a gift? Why do online retailers give you the option of including a card and or giftwrapping?

It's the fact it comes from a commercial retailer. Not the fact you dressed it up pretty and got a card with it.

And it IS subject to tax, because YOU bought it, a Canadian resident. When you cross the border,you can't claim the items you bought as gifts, even if they are, because it only applied to foreigners importing.

[hagbard]

See, the new religion is alive and well.

[LonesomeDove]

The chances for you being dinged for the handling fee/gst/pst is pretty good if the return address is a commercial address. For private addresses, it is still a hit or miss affair because even if it is over $20, they don't alway charge these fees. I have lots of stuff go through valued at $25, $30, $40, even $200, if it a private sender. Sometimes they do not bother with the low values like $22, $27, $30, etc. They do not have the resources to check everything.

[dmdsoftware2]

The chances for you being dinged for the handling fee/gst/pst is pretty good if the return address is a commercial address. For private addresses, it is still a hit or miss affair because even if it is over $20, they don't alway charge these fees. I have lots of stuff go through valued at $25, $30, $40, even $200, if it a private sender. Sometimes they do not bother with the low values like $22, $27, $30, etc. They do not have the resources to check everything.

Just to clarify, it's a person and the sender's address is residential address. It's just a case of they didn't bother looking to see if was a gift or not and just calculated it as it weren't a gift.