Whether you want to import goods into Canada for your personal reasons or for business purposes, the process of importing into Canada can be quite complex. It is therefore imperative that you know all the aspects involved in order to avoid last-minute surprises and extra costs. Although all cross border shipments must clear the customs before it enters or leaves a country, the documents required to import or export goods from and into Canada are subjected to a separate set of rules and regulations.
Here, we shall take a glance at the basic process involved in importing goods into Canada.
- Document inspection
A customs officer shall review the paperwork for your shipment for initiation of the customs clearance process. This generally includes the commercial invoice, a purchase order from the buyer, a packing list or the shipping bill, and so on. There may be several other such documents required such as the Canada customs invoice for inspection by the Canadian officials.
- Tax collection
With respect to the goods being shipped, the customs officer shall make sure that appropriate taxes are levied on the goods being imported. The customs officer shall also check the declared value of these goods and if they are in compliance with the customs laws of Canada. It is thus the responsibility of the customs officer to ensure these taxes and charges have been paid.
- The DDP
When a shipment is marked as DDP, it means that all the duties have been paid, usually by the customs broker that you hire. The customs broker calculates and processes and pays the taxes and the duties in advance for the clearance. On the other hand, shipments marked as DDU, are forwarded to an independent customs broker to collect the amount due from the recipient. The customs broker, apart from this, also collects extra fees involved such as the storage fee or the handling fees.
- Releasing the shipment
After the taxes and the duties have been paid, the shipment is released by the customs and can continue to its destination. The easiest way to have a hassle-free import experience is to be informed about the aspects involved in the whole process.
One needs to understand here that the whole process of importing your goods into Canada can be made easier by hiring a customs broker and Clearit Canadian customs clearance can provide you with several insights and skilled brokers to have a comfortable import experience.