Extra charges on parts
10-20-2004, 02:24 AM
#1
Race Car
Thread Starter
Extra charges on parts
I bought a cross-drilled rotor kit on EBay a few months ago, and once I won the auction, I was quoted shipping on the item, and I paid what I was quoted. Just today, I got an E-Mail from the seller (yet to remain unnamed), telling me that they just received a fedex bill for the fees incurred at the border, and they expect me to pay it.
Now, I already paid for both the item and the shipping. This is about 4 months later. First off, I can't imagine how FedEx can be this slow providing them with this bill, as they are always very prompt when asking for money, and second of all, I don't see how I am liable for this?
I know that when I won the auction, they informed me I would be liable for the shipping fees to get the item to me, however, once I was quoted, and I paid up, that should be the end of it, right?
Anyways, since this regards porsche parts, I thought I would ask you guys what you think I should do?
Now, I already paid for both the item and the shipping. This is about 4 months later. First off, I can't imagine how FedEx can be this slow providing them with this bill, as they are always very prompt when asking for money, and second of all, I don't see how I am liable for this?
I know that when I won the auction, they informed me I would be liable for the shipping fees to get the item to me, however, once I was quoted, and I paid up, that should be the end of it, right?
Anyways, since this regards porsche parts, I thought I would ask you guys what you think I should do?
10-20-2004, 02:32 AM
#2
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It is part of the shipping costs... If it was sent USPS you would have to pay it yourself before it was delivered but from what it seems, the seller had a FedEx account and they just charged him/her. Probably didn't catch it until the next bill.
If they seem to be a respectable seller then I would offer to pay it. If it seems like they are lying about the excess charges then the hell with em'.
If they seem to be a respectable seller then I would offer to pay it. If it seems like they are lying about the excess charges then the hell with em'.
10-20-2004, 02:38 AM
#3
Nordschleife Master
Zero10, is this the first time you have shipped anything from the states into Canada?
Anytime you bring something over the border, you have to pay DUTIES and TAXES. If you are having Purolator or USPS or Canada Post do it, they will charge you a BROKERAGE fee on top of the duty and taxes. UPS will do the same, but charges a flat rate of $90something USD MINIMUM. (so DON'T use UPS to ship cross border!!!!!!!!)
The UNUSUAL thing is, you have to pay the duty and taxes when the courier delivers the item to your door. The duty and tax is never charged to the SELLER.
Before you pay anything, ask for the fedex bill to be faxed to you, and if it's a customs/duties/tax bill, and it matches your item's value, AND you never paid any duties or tax on your item initially (only shipping) then you are 100% liable for the duties and taxes and you should pay them!!! Either pay FedEx and GET A RECIEPT, or pay the seller.
Just be sure the seller isn't trying to double charge you!!! (which I doubt is the case!)
Anytime you bring something over the border, you have to pay DUTIES and TAXES. If you are having Purolator or USPS or Canada Post do it, they will charge you a BROKERAGE fee on top of the duty and taxes. UPS will do the same, but charges a flat rate of $90something USD MINIMUM. (so DON'T use UPS to ship cross border!!!!!!!!)
The UNUSUAL thing is, you have to pay the duty and taxes when the courier delivers the item to your door. The duty and tax is never charged to the SELLER.
Before you pay anything, ask for the fedex bill to be faxed to you, and if it's a customs/duties/tax bill, and it matches your item's value, AND you never paid any duties or tax on your item initially (only shipping) then you are 100% liable for the duties and taxes and you should pay them!!! Either pay FedEx and GET A RECIEPT, or pay the seller.
Just be sure the seller isn't trying to double charge you!!! (which I doubt is the case!)
10-20-2004, 02:45 AM
#4
Nordschleife Master
Let me put it this way:
So lets say you want to buy an AIR splitter. It's $250USD and $50 USD shipping. So you pay AIR $300 to have it shipped. BUT, since it is crossing the border, YOU are liable for the XX% duty and 7.5% GST on top of the item. Now someone has to pay that amount the MOMENT it goes thru the border. Since you are not at the border when it goes thru, the SHIPPING COMPANY (FedEx/USPS/CP/UPS) pays it at that time. Now when the item arrives at your door, the shipping company wants thier money back!!!! Usually, they will NOT give you the package until you pay up. For some reason, FedEx delivered the package to you, and then charged the seller for duties and taxe, instead of the buyer!
So lets say you want to buy an AIR splitter. It's $250USD and $50 USD shipping. So you pay AIR $300 to have it shipped. BUT, since it is crossing the border, YOU are liable for the XX% duty and 7.5% GST on top of the item. Now someone has to pay that amount the MOMENT it goes thru the border. Since you are not at the border when it goes thru, the SHIPPING COMPANY (FedEx/USPS/CP/UPS) pays it at that time. Now when the item arrives at your door, the shipping company wants thier money back!!!! Usually, they will NOT give you the package until you pay up. For some reason, FedEx delivered the package to you, and then charged the seller for duties and taxe, instead of the buyer!
10-20-2004, 04:06 AM
#5
Rennlist Member
If it's any consolation, I just got a 65 Euro brokerage fee slapped on a $200 purchase for having it shipped to me by DHL which already cost me $85 to ship from the U.S. to Spain.
This is the LAST TIME I'm EVER letting a vendor use a courier to send me parts!
This is the LAST TIME I'm EVER letting a vendor use a courier to send me parts!
10-20-2004, 11:07 AM
#6
Nordschleife Master
I'll throw in my 2 cents since I have shipped quite a few light and battery cable packages all over the world.
If a commercial carrier is used the shipper will get a basic bill for transport. Any duty or sales/VAT type taxes are the receiver's problem and the shipper usually has no clue what they would be unless he does a lot of research.
Then there is the brokerage fee to clear the item through Customs. This is an absolute ripoff unless your item is worthless or very, very expensive. I've got the FedEx brokerage fee schedule to Canada if anyone wants to see how bad it is. This fee is normally paid by the receiver and the shipper has no clue what it is unless he looks it up. But sometimes the final delivery guy will leave the package at the door and not collect all the fees. If the receiver doesn't send in a check for the brokerage fees the delivery service will backcharge the shipper. That is probably what happened to you. And FedEx is a nightmare when it comes to accounting so having it take 4 months to filter through is typical. I think the FedEx employment screen for the accounting department is to only hire people with IQs lower than their age.
The way to get around the brokerage issue on small shipments is to look at USPS. There the price is what it is other than duty and sales tax. But most vendors don't want to use USPS as they are not set up for it.
Bottom line is you owe the brokerage fee but the vendor should have let you know that it was coming and it would be large.
If a commercial carrier is used the shipper will get a basic bill for transport. Any duty or sales/VAT type taxes are the receiver's problem and the shipper usually has no clue what they would be unless he does a lot of research.
Then there is the brokerage fee to clear the item through Customs. This is an absolute ripoff unless your item is worthless or very, very expensive. I've got the FedEx brokerage fee schedule to Canada if anyone wants to see how bad it is. This fee is normally paid by the receiver and the shipper has no clue what it is unless he looks it up. But sometimes the final delivery guy will leave the package at the door and not collect all the fees. If the receiver doesn't send in a check for the brokerage fees the delivery service will backcharge the shipper. That is probably what happened to you. And FedEx is a nightmare when it comes to accounting so having it take 4 months to filter through is typical. I think the FedEx employment screen for the accounting department is to only hire people with IQs lower than their age.
The way to get around the brokerage issue on small shipments is to look at USPS. There the price is what it is other than duty and sales tax. But most vendors don't want to use USPS as they are not set up for it.
Bottom line is you owe the brokerage fee but the vendor should have let you know that it was coming and it would be large.
10-20-2004, 11:14 AM
#7
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Now here is a question for anyone who knows. I haven't bothered to look it up yet but under NAFTA arn't all products produced in the USA and sent to Canada duty free? I know it doesn't account for the brokerage fees but what about the duties?
The reason I ask is because I send about 6 packages a week to Canada via the USPS and if I can get my customers out of the Duty by putting "Made in USA" on the packages it would be awesome. (everything I sell is indeed made in the USA)
The reason I ask is because I send about 6 packages a week to Canada via the USPS and if I can get my customers out of the Duty by putting "Made in USA" on the packages it would be awesome. (everything I sell is indeed made in the USA)
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10-20-2004, 11:23 AM
#8
Race Car
Thread Starter
Okie dokie, I mis-explained.
I am aware of the duty and brokerage fees. I have shipped about 15 things up from the states.
My problem is simply that we already agreed on the shipping costs, and I already paid up.
Given that it is 4 months after the fact, I'm not sure that I should be paying this.
To be quite honest, I don't even think it was shipped FedEx. However, I am going to request a copy of the bill. It is from a seller than has gotten negative attention here and there on this board, which is why, at this point, I have not posted the name.
I've had several items show up with a bill for the brokerage fees, and strangely enough, this item did not. There was somebody home to accept the delivery, although it was not me. I will be digging through my records tonight to check the shipping method.
I believe USA produced items are indeed duty free, providing they fall into certain categories, some things, regardless of the country of origin are dutied. The problem is, the guys at Canada Customs don't know! I've called several times, and gotten completely different answers. And, on top of that, I've gotten several different shipments with different results. Even if your parts are not subject to duty, people may still get charged it.
In all fairness, I've never once paid duty on an item coming from the U.S., perhaps I've been lucky. Although, I always pay GST, and brokerage fees. That's 5-14% that I've saved each time =) (the write-up describing the duty rates is so vague, most of my parts fall into several categories, and hence, several different rates).
I am aware of the duty and brokerage fees. I have shipped about 15 things up from the states.
My problem is simply that we already agreed on the shipping costs, and I already paid up.
Given that it is 4 months after the fact, I'm not sure that I should be paying this.
To be quite honest, I don't even think it was shipped FedEx. However, I am going to request a copy of the bill. It is from a seller than has gotten negative attention here and there on this board, which is why, at this point, I have not posted the name.
I've had several items show up with a bill for the brokerage fees, and strangely enough, this item did not. There was somebody home to accept the delivery, although it was not me. I will be digging through my records tonight to check the shipping method.
I believe USA produced items are indeed duty free, providing they fall into certain categories, some things, regardless of the country of origin are dutied. The problem is, the guys at Canada Customs don't know! I've called several times, and gotten completely different answers. And, on top of that, I've gotten several different shipments with different results. Even if your parts are not subject to duty, people may still get charged it.
In all fairness, I've never once paid duty on an item coming from the U.S., perhaps I've been lucky. Although, I always pay GST, and brokerage fees. That's 5-14% that I've saved each time =) (the write-up describing the duty rates is so vague, most of my parts fall into several categories, and hence, several different rates).
10-20-2004, 11:30 AM
#9
Nordschleife Master
It should be duty free in most cases. But it isn't as clean as that in all cases as something has changed since NAFTA was passed. Call up Customs and find out where your products fall into.
My stuff is sort of a nightmare as some components are made all over the world. Lenses in Belgium, bulbs Germany, voltage regulator components - who knows. Even the copper wire may not be totally USA. While it was put together in USA who knows where the copper strand coil or even the raw copper originally came from.
My stuff is sort of a nightmare as some components are made all over the world. Lenses in Belgium, bulbs Germany, voltage regulator components - who knows. Even the copper wire may not be totally USA. While it was put together in USA who knows where the copper strand coil or even the raw copper originally came from.