Quote:
Originally Posted by Matster
Hey Motion, Fellow NB'r here born and raised in Sussex now living in Ontario.
Your post is a little confusing so may be I can clarify this a bit.
Goods that are manufactured in North America that comply with the North American Free Trade Agreement (NAFTA) rules of origin do indeed enter Canada duty free. Duty and brokerage fees are 2 different things, duty is collected by the broker and handed onto the Federal Government based on the value of the goods and Brokerage fees are charged by the carrier/broker for their services. Brokerage fees can be determined by any number of things and are negotiated rates between the broker and their customer. In your case it would appear you are paying brokerage fees based on the weight of the shipment.
Technically in order to receive the duty free benefits under the NAFTA, the importer must be in possession of a properly complete Certificate of Origin from the manufacturer. A simple statement on the commercial invoice "made in the U.S." is not sufficient but is often used on LVS (low value shipments) under $1,600.00 CAD. The NAFTA certificate can be a "one time" which would apply to one shipment and would identify the PO #, commercial invoice number or some other reference number specific to that one shipment. For large commercial importers that import a lot of product from one supplier throughout the year, they can request that the manufacturer complete a blanket certificate, this would itemized all products imported and can be issued for a period not exceeding 12 months.
The most common misconception is that "its made in the U.S. or Mexico" it therefore should be duty free. There is a set of origin rules as thick as an encyclopedia that lay out the rules on how and what must take place in order to qualify for NAFTA.
|
Thanks for correction.For a reason or another I was thinking "brokerage" when I should have wrote "duties".
But what matster wrote is correct.
You have a nice ride over there matster,keep up the good work.