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1. Preparing to import
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2. Classifying your goods
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3. Determining duties and taxes
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4. Shipping and reporting your goods
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5. Getting your goods released-CBSA
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6. After your goods are released
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CARM
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Additional information
Estimate duty and taxes
Take the value in the currency indicated on the invoice. Convert the value into Canadian dollars using the exchange rate from the date of direct shipment (the date the goods began their direct and continuous journey to a specific destination in Canada). To obtain the proper exchange rate, call the Border Information Service (BIS).
The following is an example of a calculation of customs duty and GST on imported goods with a value for currency conversion of US$100. The example exchange rate is US$1 = CAN$1.15. The goods are subject to 4% customs duty and 5% GST:
Example:
US$100 x 1.15 = CAN$115 (value for duty)
$115.00 (value for duty) x 4% (customs duty rate) = $4.60 (customs duty)
$115.00 (value for duty) + $4.60 (customs duty) = $119.60 (value for tax)
$119.60 x 5% (GST) = $5.98 (GST)
Total of customs duty and GST payable (in Canadian dollars) is $4.60 + $5.98 = $10.58