Canada - duty-free limits to increase as of June 1st




yvr76
Apr 9, 12, 6:59 pm
This is slightly off-topic, but since most of us travel abroad frequently it seemed appropriate - the latest Federal Budget has announced increases in duty-free limits. Effective June 1, 2012:

24 hours : $200 CDN (no liquor)
48 hours : $800 CDN (liquor + tobacco remain the same)

The 7 day exemption is gone (it's essentially the $800 that the 48-hours gives you).

The impetuous behind this was to harmonize with U.S. policies, but of course this applies to any absence outside of Canada (Europe, Asia etc).


mabramovich
Apr 9, 12, 7:03 pm
This is slightly off-topic, but since most of us travel abroad frequently it seemed appropriate - the latest Federal Budget has announced increases in duty-free limits. Effective June 1, 2012:

24 hours : $200 CDN (no liquor)
48 hours : $800 CDN (liquor + tobacco remain the same)

The 7 day exemption is gone (it's essentially the $800 that the 48-hours gives you).

The impetuous behind this was to harmonize with U.S. policies, but of course this applies to any absence outside of Canada (Europe, Asia etc).

This seems like such a weird thing to do. What with the strong dollar and federal deficit isn't this the worst time to do something like this? Don't we want to encourage Canadians not to cross-border shop and keep in the money in Canada (or at least collected at the border)?

yyzvoyageur
Apr 9, 12, 7:17 pm
This seems like such a weird thing to do. What with the strong dollar and federal deficit isn't this the worst time to do something like this? Don't we want to encourage Canadians not to cross-border shop and keep in the money in Canada (or at least collected at the border)?

They estimate this will reduce revenues by $13 million in 2012–13 and by $17 million in 2013–2014—a drop in the bucket really. It also means more time and effort can be dedicated to real priorities: prohibited weapons, illegal drugs, human smuggling and trafficking in persons, etc.


mendy7511
Apr 9, 12, 7:28 pm
I wish they would increase the liquor allowance, 1 lousy bottle per trip is only good for 2 or 3 tasting sessions!

Jagboi
Apr 9, 12, 7:47 pm
You can bring in more, you'd just have to pay tax on it. How much more you can bring and what tax you'd have to pay depends upon which province you're in.

Simon
Apr 9, 12, 7:50 pm
This seems like such a weird thing to do. What with the strong dollar and federal deficit isn't this the worst time to do something like this? Don't we want to encourage Canadians not to cross-border shop and keep in the money in Canada (or at least collected at the border)?

A weird thing to do is to keep the limits, period, and keep on using the border crossing as a wine policing station, as opposed to looking for people that are undesirable for admission.

Crampedin13A
Apr 9, 12, 7:56 pm
A weird thing to do is to keep the limits, period, and keep on using the border crossing as a wine policing station, as opposed to looking for people that are undesirable for admission.Couldn't agree more^

visitor
Apr 9, 12, 7:59 pm
Interesting experience last week. Returned from Europe with ~C$750 in gifts for wife and kids. Was asked if I had receipts for items. Thought about it and said 'hope so, not sure', which was true - i am very careful with travel expense receipts but not personal ones. Immediately sent to secondary where same question was asked, bag searched, nothing strange found, and it became clear that they were suspicious that I had declared exactly the limit!! Surely that's what a rational person who knows the limits will do?!

CloudsBelow
Apr 9, 12, 8:28 pm
They estimate this will reduce revenues by $13 million in 2012–13 and by $17 million in 2013–2014—a drop in the bucket really. It also means more time and effort can be dedicated to real priorities: prohibited weapons, illegal drugs, human smuggling and trafficking in persons, etc.

The numbers you reference are duty collection reduction. Belive the poster you quoted was referring to the reduction Cdn retailers are about to see . . . it will be MUCH, MUCH bigger than the duty implications.

Payback's a b! they say . . . Not sure if it was the Cdn retailers who have been gouging the Cdn consumer the last 10 years but they're about to suffer consequences . . . Either cutting into their margins when forced to lower prices to be in line with USA or deal with even more cross-bordere shopping by canadians

yvr76
Apr 9, 12, 8:39 pm
They estimate this will reduce revenues by $13 million in 2012–13 and by $17 million in 2013–2014—a drop in the bucket really. It also means more time and effort can be dedicated to real priorities: prohibited weapons, illegal drugs, human smuggling and trafficking in persons, etc.

Exactly. In fact a Senate Panel recommended back in 2007 that the limit be increased to $2000.

http://www.todaystrucking.com/news.cfm?intDocID=17699&CFID=934&CFTOKEN=

Part of the problem now is that any future increase will have to be done in step with the States if the goal is to keep everything harmonized.

Braindrain
Apr 10, 12, 12:37 am
Immediately sent to secondary where same question was asked, bag searched, nothing strange found, and it became clear that they were suspicious that I had declared exactly the limit!! Surely that's what a rational person who knows the limits will do?!

Actually, most sane people will declare just over the limit. Better to pay a few bucks than have the hassle of secondary and the possibility of being black-listed for something you totally forgot.

Amounts claimed at exactly the limit or just under rings alarm bells.

visitor
Apr 10, 12, 1:17 am
Actually, most sane people will declare just over the limit. Better to pay a few bucks than have the hassle of secondary and the possibility of being black-listed for something you totally forgot.

Amounts claimed at exactly the limit or just under rings alarm bells.

Clearly that is the logic that escapes me!

PhotoJim
Apr 10, 12, 3:40 pm
Actually, most sane people will declare just over the limit. Better to pay a few bucks than have the hassle of secondary and the possibility of being black-listed for something you totally forgot.

Sane people will declare the real number, no matter what it is. :)

I tally it all up and make a sheet showing the breakdown, and hand it to the officer with my passport (if I'm not using NEXUS anyway). I'm sure I'll get an exception one day, but so far they've always believed it. I have the stack of receipts in my hand, visible.

As often as not, even if I'm significantly over my exemption, I'm let through without paying, unless I'm way over my alcohol exemption.

CloudsBelow
Apr 10, 12, 6:58 pm
Actually, most sane people will declare just over the limit. Better to pay a few bucks than have the hassle of secondary and the possibility of being black-listed for something you totally forgot.

Amounts claimed at exactly the limit or just under rings alarm bells.

I'll be testing this theory in about 2 hours. Boarding my flight home from Chicago in a few minutes. Was away 4 days . . . have about $416 in receipts ;)[cough] . . . I'm going with $400 on the declaration

emma69
Apr 11, 12, 6:16 am
Out of interest, what is the forums' view on purchased but worn clothes? Eg, someone flies to Europe for a week, discovers it is really rather cold, so buys a coat to wear, which they then bring back? Declare (as a purchase) or not (as it is now a personal item?) reasons for the ambiguity, I had to ship the contents of someones hotel room back to the states, and was told any worn clothes I didn't have to declare a value, unworn I did (he'd been living in the hotel for months on work and had various items) No idea if this answer was accurate either if course!

PhotoJim
Apr 11, 12, 10:34 am
Out of interest, what is the forums' view on purchased but worn clothes?

I'd declare - and if in doubt, ask. Certainly, wearing something once or twice wouldn't exempt it from being declarable.

My instinct is that if you were gone a long time and bought something early on, using up a significant amount of its lifespan, it would be reduced in value or exempted from taxes and duty.

The safe way to deal with it is not to game the system - just disclose:

"Anything to declare?"
"Yes, here is a list of everything I've bought. On the bottom is $400 worth of clothing, but I bought those items 3 months ago and have worn them extensively during my trip overseas. I wasn't sure if they should be declared at full value or not."

Now you're safe - they'll do what they need to do, and you've made the disclosure.

YOW_Flyer
Apr 11, 12, 11:00 am
The rule is ANYTHING and EVERYTHING you acquired outside of Canada on your trip needs to be declared, whether used, worn, etc. there are exceptions for returning residents who left Canada as a resident and are seeking to re-establish in Canada. That simply is the law around imports.

When in doubt, I just declare. Rather spend a few minutes on one trip, than being blacklisted and go to secondary for years to come. That's my take.

PhotoJim
Apr 11, 12, 2:22 pm
The rule is ANYTHING and EVERYTHING you acquired outside of Canada on your trip needs to be declared, whether used, worn, etc.

Yes. And to the correct dollar amount. No fudging.

If in doubt, declare and explain. The border agent will make a decision based on the information you provide (and most will appreciate your honesty).

CloudsBelow
Apr 12, 12, 7:49 am
Yes. And to the correct dollar amount. No fudging.

If in doubt, declare and explain. The border agent will make a decision based on the information you provide (and most will appreciate your honesty).

As a guy who's travelled US/Canada about 40* / year for years now, I think some posters here are being a little over dramatic.

The border agent will make a decision based on HOW you answer questions more that WHAT your answers are.

If you are direct, look them in the eye, sure of yourself . . . You will get thru 99% of the time.

CloudsBelow
Apr 12, 12, 7:51 am
Guess I'm maybe late to this realization but there has to be a link to the increaded duty free limits and the pending cuts to CBSA. More duty room = less requirement CBSA resources.

A step in the right direction I say! Well done.

PhotoJim
Apr 12, 12, 9:13 am
If you are direct, look them in the eye, sure of yourself . . . You will get thru 99% of the time.

Yes. And the easiest way to be direct, look them in the eye and be sure of yourself is to be honest.

sharkshooter
Apr 12, 12, 10:14 am
Sane people will declare the real number, no matter what it is. :)

I tally it all up and make a sheet showing the breakdown, and hand it to the officer with my passport (if I'm not using NEXUS anyway). I'm sure I'll get an exception one day, but so far they've always believed it. I have the stack of receipts in my hand, visible.

As often as not, even if I'm significantly over my exemption, I'm let through without paying, unless I'm way over my alcohol exemption.

I also prepare a detailed list, split out by family member when on vacation, and converted to Canadian dollars at a reasonable exchange rate.

Whether new or used, expensive or cheap, everything must be declared.

abaron
Apr 12, 12, 11:59 am
I wish they would increase the alcohol limits too!

However over a few trips I've found that if you declare reality they are unlikely to actually charge you extra, especially when coming back from a European holiday.

As for goods... I've never been anywhere near over, but I'll have to keep in mind to keep receipts for goods purchased; I've never been good at that.

PhotoJim
Apr 12, 12, 3:16 pm
I also prepare a detailed list, split out by family member when on vacation, and converted to Canadian dollars at a reasonable exchange rate.

We do this too. It's just my wife and me (no kids) so we add it all together but we sort it by categories (I use the Nexus TDC categories as a guide). They seem good with this.

Lately I've just been declaring in $US since the exchange rate is so near parity, but if it wanders more than a per cent or so I calculate it in $Cdn.

Jagboi
Apr 12, 12, 3:30 pm
If in doubt, declare and explain. The border agent will make a decision based on the information you provide (and most will appreciate your honesty).

I always have a list of what I bought and the receipts in my hand. Sometimes I have been significantly over and they have waved me through. If I'm going to buy something "controversial", like cheese when I go to England, I look up the tariff codes and rules before I go and print them out. It shows the customs people I have made an effort to know what the rules are and to comply with them.

I had one agent get so engrossed about the 200g of cheddar I bought that she totally forgot to ask what the total I spent was ( which was about 2x the duty free allowance). I had filled out the declaration card with the proper amount and declared it, so I did my part.

Braindrain
Apr 12, 12, 10:10 pm
However over a few trips I've found that if you declare reality they are unlikely to actually charge you extra, especially when coming back from a European holiday.

Not sure what a European holiday has to do with anything.

From my experience, if I'm just a bit over (few hundred $), CBSA generally doesn't charge me. However, if I'm a few $K over, I'm usually charged.

However, the one time where I was over by my highest amount (about $5K over the limit for 2 ppl), they said "Merry Christmas" (and it was June), and waved me through. I actually wanted to pay duties so I could get that green "goods declaration card" but my wife kept saying "shut up, shut up".

emma69
Apr 13, 12, 5:54 am
Yup, I generally do my very best to be honest, declare etc, even when I bought back Parmesan from Europe I too had looked up the rules and printed them out - agent told me he'd never had someone know that rule before!

My biggest problem is gifts - some things I can guesstimate (like the jacket my mother got me) but other things, like a custom made silver bracelet (made as a one of a kind for me by a friend) how do you even start? I guessed at a number, but it could have been way way off. Another friend gave me a designer watch - I went with a price on eBay for that estimate.

Altaflyer
Apr 17, 12, 2:24 am
Always declare. You do not want the hassle of being "in the system".



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