This article covers everything you need to know about import duties, taxes, and the overall process of shipping goods to Canada.
Chantal has been writing about logistics topics for almost two decades and has worked for major international carriers.
Importing goods involves various fees, including import duties, taxes, and other charges. These costs are essential to understand to avoid unexpected expenses and ensure a smooth import process. Canada, not being part of the European Union, has its own set of import regulations and fees. This article covers everything you need to know about import duties, taxes, and the overall process of shipping goods to Canada.
When importing goods into Canada, import duties and taxes are applied based on the value and type of goods. The Canadian government imposes these duties to generate revenue and protect local industries. The duty and tax amount depends on several factors, including the product value, trade agreements, country of manufacture, product description, end use, and the Harmonized System HS code.
For an accurate estimate of import duties and taxes, you can use the CBSA Estimate Duty and Taxes Tool. This tool helps you calculate potential charges before shipping your goods.
Canada has various sales taxes, which include:
Provincial Sales Tax (PST): A tax levied by some provinces.
Quebec Sales Tax (QST): A tax specific to Quebec.
Goods and Services Tax (GST): A federal tax applied to most goods and services.
Harmonized Sales Tax (HST): A combination of PST and GST, applied in some provinces.
These taxes can affect the total cost of your imported goods, so it's crucial to understand which taxes apply to your shipment.
When moving to Canada, you can bring personal and household goods duty-free if they have been used. Items such as books, linens, clothes, jewelry, antiques, furniture, and hobby tools are typically exempt from duties. However, you must pay duties on new or leased items, farm equipment, business-use vehicles, and goods purchased en route to Canada.
Certain items face restrictions or special considerations when imported into Canada:
Alcohol and Tobacco: Duty may be required.
Vehicles: Must meet Canadian safety and pollution standards. More details can be found on the importing vehicles into Canada page.
Jewelry: Declare all jewelry, using specific descriptions and including photographs and receipts to avoid delays.
Gifts: Gifts worth up to CDN $60 can be imported duty-free. Higher-value gifts may incur duties and taxes.
Accurate documentation: Provide detailed and accurate information on your shipment, including the air waybill, commercial invoice, and any other relevant documents.
HS codes: Use correct HS codes to help customs officials determine the applicable duties and taxes.
Landed cost calculation: Consider all potential costs, including duties, taxes, and clearance charges, to estimate the total landed cost of your shipment. This can prevent unexpected expenses and delays.
Customs officials will assess duties and taxes based on the provided documentation. Ensuring that all paperwork is complete and accurate can facilitate a smoother customs clearance process. Be prepared to pay any assessed duties and taxes before your goods are released.
For more details on import duties, taxes, or the customs clearance process, contact us via Live Chat (weekdays 08:00-17:30) on our website. Our support specialists are ready to assist you with your queries. You can also reach us by phone or email for personalized advice.
ParcelParcel import duties calculator: Estimate your import duties, VAT, and clearance costs within seconds.
Canada Border Services Agency: Official resource for duty and tax estimation.
By understanding and preparing for these import duties and taxes, you can ensure a process without stress when shipping goods to Canada.
Start today with our help and tools you do not have anything to worry about!
You can instantly check the shipping costs through our rate calculator. Enter the weight, dimensions, and destination country of your shipment, and you will see all available shipping options along with their respective delivery times. The calculator can be used to compare shipping rates for both export and import shipments.
If you need help calculating a shipping rate, watch the video below. Click on the 
button to play the video and the 
icon to view the video in fullscreen.
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Shipping costs are calculated based on dimensions (LxWxH in cm), weight (in kg), and the destination country. Both the actual weight (as shown on the scale) and the volumetric weight are considered.
The volumetric weight is the weight calculated based on the space your shipment occupies in the plane. The higher of the two weights (volumetric or actual weight) is used to calculate the shipping rate. You don't need to calculate this yourself; our calculator does it for you.
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You can use the discount code PP10 for 10% discount on the transportation costs of your first shipment. You can apply the discount code during the checkout process (instructions).
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Whether additional costs apply depends on whether your shipment stays within the European Union or is sent to/from a country outside the European Union. Below, you can see the additional costs for each situation.
Within the European Union
If, for example, you send a shipment from the Netherlands to Italy (within the EU), there will be an additional 21% VAT on the shipping costs.
Furthermore, if your shipment stays within the European Union, you won't have to deal with any import duties or customs clearance fees because your shipment doesn't go through customs. Please note that the European Union is not the same as Europe.
View here all the countries that are part of the European Union. For example, Switzerland is part of Europe but not part of the European Union.
Outside the European Union
If, for example, you send a shipment from the Netherlands to the United States, there will be no VAT (0%) applied to the displayed shipping rates.
However, there might be import duties levied by customs in the destination country if you send a shipment to/from a country outside the European Union. Typically, customs costs are charged to the recipient. This is known as Delivered At Place (DAP) in logistics terminology.
Customs is a government agency that levies import duties in certain cases to protect the local market. As a company, you can also ship using Delivered Duty Paid (DDP), which means any customs costs will be charged to you as the sender.
If you have any questions about this topic, feel free to contact us. Additionally, you can read everything about import duties, VAT, and the customs clearance process in this blog.
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A customs invoice is a form where all the goods you want to ship are specified. This invoice includes an English description of the goods, along with their corresponding value and weight.
The contents of your shipment must be specified per type of product you're sending to avoid delays at customs. A customs invoice is always prepared in quadruplicate in accordance with customs guidelines.
When is a customs invoice required?
A customs invoice is only required for shipments to/from countries outside the European Union (e.g., Netherlands - United States). If your shipment stays within the European Union (e.g., Netherlands - Italy), your shipment will not go through customs, and therefore, a customs invoice is not required.
Additionally, document shipments are not subject to customs, so if you're sending a document to a country within/outside the European Union, no customs invoice is needed.
Please note that not all goods can be shipped to every country. You can find a list of goods that cannot be sent via ParcelParcel on this page.
Do I need to create a customs invoice myself?
If you're sending a shipment to/from a country outside the European Union, it's mandatory to include a customs invoice with the shipment. We provide free support in creating a customs invoice.
You can easily generate a customs invoice through our shipping platform. The customs invoice will be automatically generated based on the content you specified during your booking.
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You can import just as easily as export via ParcelParcel.
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You can find a list of goods that cannot be shipped via ParcelParcel on this page.
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