Hello. I am located in Ontario Canada, and whenever I order smoking related items from smokingpipes, and other american online retailers, I am always prepared to get hit with massive duty charges by canada customs officials. It doesn't happen all the time, but it happens a lot, especially when I order from smokingpipes.com. I pay the annoying duty charges, but there is no intention to profit from what I buy from these retailers.
But, when it comes to purchasing supplies for pipemaking, I intend to eventually sell pipes that I will produce, obviously with the hope of making a profit.
Do you guys have problems with customs from your country, charging duty/tariff type taxes on for example: A bag of briar blocks purchased directly from the cutters, or a substantial amount of rod or stem blanks from the wholesalers in Europe???
I noticed that Mimmo is willing to ship to canada, a minimum of 10 blocks for $300 (USD) w/ shipping and handling included. I'm wondering what Canada Customs would make of such a package. Would canada customs ever slap heavy duty taxes on the package, and basically obliterate any chance of making a profit off those blocks???
I'm particularly curious to hear from canadian pipemakers regarding this issue, but I am also very much interested in hearing from all the pipemakers on how your country's customs office treats these bulk briar and stock purchases.
Thank you.
Customs duty/tariff charges when purchasing from suppliers
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KurtHuhn
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Re: Customs duty/tariff charges when purchasing from suppliers
I have never been able to ship anything to Canada without the receiver having to pay customs charges - even on gifts I send to my sister and her family (QC).
Here in the US, I have never had to pay import fees, duties, tariffs, or taxes on anything I order from overseas.
Here in the US, I have never had to pay import fees, duties, tariffs, or taxes on anything I order from overseas.
Re: Customs duty/tariff charges when purchasing from suppliers
There are different tax structures for different types of goods, and duty as well after a certain price point.
So anything you bring in from smokingpipes, they are going to look at hard, because they want to hit you for tobacco taxes if you are importing. It says "smokingpipes" right on the goddam box.
You are subject to federal and provincial taxes on tobacco, GST, probably PST, and a CBSA "handling fee". Over 400 bucks and duty also applies.
If you are only bringing in pipes, the tobacco taxes don't apply.
If you are bringing in wood, you have a new set of hurdles to cross, which is that the border guys don't like random boxes of wood showing up with some strange home-brewed declaration of phytosanitary condition. I've had blocks opened and cleared, and I've had blocks impounded and returned to vendor.
Generally, Mimmo is a good bet because he scrapes the bark off the blocks, and the bark is a big deal. With wood declared as "blanks for turning" we are allowed a little bark, something like 80cm square per piece, by the rules. But basically it's discretionary for the CBSA/CFIA guys as to what looks clean enough to them. As I say, Mimmo's stuff comes in fine, I've had boxes opened and taped back up by CBSA. But you pay GST etc, it will cost you between 30 and 100 bucks to get through customs - that is NOT on the vendor, that's on you.
The safety valve is a proper phytosanitary certificate signed by a NPPO representative in the vending country. Most mills have a sort of bullshit "declaration", a letter they send. This is not a phyto certificate. One mill that offers this is in Spain: Briarblocks.cat It costs another 40 euroes but ensures that the wood comes through.
Your best and easiest bet is to order from Vermont Freehand for now, they don't look hard at hobby supplies coming up from the USA, not like they do at a box of dirty wet barky wood coming from Greece etc. Once you have more experience, you can hunt up direct-line supplies and make choices about where you cut costs, what your risk factors are etc (Do you order a box of ten pieces every month or do you order a box of 120 pieces once a year, etc).
As to your profit margins, look, pipes aren't a big money thing, if you are looking at this because it's fun and you love it and it might put a hundred bucks in your pocket here and there, then that's great, and don't worry about the taxes, live with it. If you are thinking that you have a business model and the taxes on a 300 dollar box of wood are crippling, you don't have a business model. I spent 130 bucks on sandpaper the other day. If you are "in business" and have a GST number etc and are making money off pipes as your income, all the tax stuff, all the shipping costs, it's all a write off. If you are declaring income. If you aren't declaring income, then eat the taxes, stay quiet, and make pipes for some extra cash. The big advantage you have as a Canadian is that our dollar is weak as a parvo puppy, so if you sell to the USA or Europe, you win with the exchange rate.
So anything you bring in from smokingpipes, they are going to look at hard, because they want to hit you for tobacco taxes if you are importing. It says "smokingpipes" right on the goddam box.
You are subject to federal and provincial taxes on tobacco, GST, probably PST, and a CBSA "handling fee". Over 400 bucks and duty also applies.
If you are only bringing in pipes, the tobacco taxes don't apply.
If you are bringing in wood, you have a new set of hurdles to cross, which is that the border guys don't like random boxes of wood showing up with some strange home-brewed declaration of phytosanitary condition. I've had blocks opened and cleared, and I've had blocks impounded and returned to vendor.
Generally, Mimmo is a good bet because he scrapes the bark off the blocks, and the bark is a big deal. With wood declared as "blanks for turning" we are allowed a little bark, something like 80cm square per piece, by the rules. But basically it's discretionary for the CBSA/CFIA guys as to what looks clean enough to them. As I say, Mimmo's stuff comes in fine, I've had boxes opened and taped back up by CBSA. But you pay GST etc, it will cost you between 30 and 100 bucks to get through customs - that is NOT on the vendor, that's on you.
The safety valve is a proper phytosanitary certificate signed by a NPPO representative in the vending country. Most mills have a sort of bullshit "declaration", a letter they send. This is not a phyto certificate. One mill that offers this is in Spain: Briarblocks.cat It costs another 40 euroes but ensures that the wood comes through.
Your best and easiest bet is to order from Vermont Freehand for now, they don't look hard at hobby supplies coming up from the USA, not like they do at a box of dirty wet barky wood coming from Greece etc. Once you have more experience, you can hunt up direct-line supplies and make choices about where you cut costs, what your risk factors are etc (Do you order a box of ten pieces every month or do you order a box of 120 pieces once a year, etc).
As to your profit margins, look, pipes aren't a big money thing, if you are looking at this because it's fun and you love it and it might put a hundred bucks in your pocket here and there, then that's great, and don't worry about the taxes, live with it. If you are thinking that you have a business model and the taxes on a 300 dollar box of wood are crippling, you don't have a business model. I spent 130 bucks on sandpaper the other day. If you are "in business" and have a GST number etc and are making money off pipes as your income, all the tax stuff, all the shipping costs, it's all a write off. If you are declaring income. If you aren't declaring income, then eat the taxes, stay quiet, and make pipes for some extra cash. The big advantage you have as a Canadian is that our dollar is weak as a parvo puppy, so if you sell to the USA or Europe, you win with the exchange rate.
ALL YOUR PIPE ARE BELONG TO US!