Announcements

📌 25% Tariff on all US Goods destined for Canada now applies | 📌 New West Coast Expansion Facility Now Open!
📢 Read the full release notes here!

USMCA: The New De Minimus On Your Imports (Hint: Less Duties

On July 1st, 2020, the new USMCA came into full effect.

The biggest impact to our services and customers is the change in the de minimus threshold for personal imports into Canada from the US. Now, the threshold for duty free and tax free will be separated.

Under the old NAFTA, the previous threshold was:

  • No Duty on imports below $20 CAD regardless of country of origin
  • No Duty on imports made in North America, however, GST/HST was applicable
  • GST/HST applied on imports* above $20 CAD

Thresholds under the new USMCA:

  • No Duty on imports below $150 CAD regardless of country of origin
  • No Duty on imports made in North America
  • No Tax on imports below $40 CAD regardless of country of origin
  • GST/HST applies on imports above $40 CAD

What does this mean for you?

Pay less government surcharges on most imports totalling less than $150 CAD. Changes have already been made to our system to automatically calculate this.

Examples:

A shirt purchased for $50 USD*

  • Previous NAFTA: Duties and Taxes for Ontario customers would be approximately $22.50 CAD**
  • New USMCA: Duties and Taxes for Ontario customers would be approximately $8.78 CAD
  • Savings of $13.72 CAD!

Headphones purchased for $25 USD*

  • Previous NAFTA: Duties and Taxes for Ontario customers would be approximately $4.39 CAD**
  • New USMCA: No Duty and Taxes
  • Savings of $4.39 CAD!

To avoid delays, fines, confiscation, and suspensions, all declared values must be of fair market retail value or supported by a legitimate invoice from the vendor.

* USD values are converted into CAD.
** Import Tax is applied to both purchase value in CAD and applicable Duty.

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