Are there special requirements for Canadian customers?
A Goods and Service Tax (GST) applies to all goods imported into Canada and is assessed at 6% on the duty paid value of the goods. The GST is a tax on final consumption and only the final non-commercial consumer ends up paying it. All businesses registered for GST may claim back all GST they paid which relates to a commercial activity. Depending on the size of the shipment and the chosen shipping method, we, the seller, may be required to pay GST when importing goods into Canada. This is mostly the case for larger shipments that weight more than 10 kg. In those cases, we work with UPS Supply Chain Solutions as a shipping company and import broker and the GST will be added to the selling price of the goods. There is however, a “Flow through credit” of the GST, which may be claimed back by the Canadian customer provided they are GST registrants. It would require that we give the Canadian customer a copy of the customs entry to prove the GST paid.