GST and shipping to Canada (personal use)

Discussion in 'After Hours Lounge (Off Topic)' started by Jay H, Jul 1, 2013.

  1. Jay H

    Jay H Producer

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    I'm confused. I shipped a bike for my use to ride in a upcoming tour to Banff, Alberta via FedEx. I live in Massachusetts. Apparently, Canadian customs charged GST on the person the package was delivered too that FedEx forced to pay otherwise they wouldn
    t deliver the package.. Is this correct, should the person have been charged the GST on a bike that will eventually make it's way back to the USA? I basically shipped the bike versus taking it with me on an airline...

    All the websites I have googled seem to imply buying goods from the USA is subject to GST.. I couldn't find anthing that matched my situation.

    The lady at the FedEx counter wrote "for personal use" on the bill...And I called FedEx and they sent me some form that they said would work or something...

    Jay
     
  2. Edwin-S

    Edwin-S Producer

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    Was the GST on the value of the bike or on the value of the shipping? GST is applicable to the shipping.
     
  3. Edwin-S

    Edwin-S Producer

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    I do not believe they should have been paying GST on the bike, since it is not a purchase. If they did get charged GST for the bike then they should get a hold of Canada Customs and Excise and ask why they were charged GST on a non-purchase.
     
  4. Jay H

    Jay H Producer

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    I really don't know exactly what the tax was based on. I did have a declared value but I think part of the fee which was just under $100 was also a "brokerage fee" which is what I learned from google so I can't really reverse engineer the thing until I find out what is GST and what is a fee.

    Its even more complicated than that as I am the one that shipped the bike and I payed for the shipping fee. which was even a bigger surprise to the recipient when FedEx asked THEM for money!!!

    Jay
     

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