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Hey so I'm looking to buy a MJT guitar body, neck and hardware. Its all disassembled, made in the USA and can be considered parts rather than a guitar. Its worth is 875 USD. Will I be charged tax on it even if it is claimed as parts or as a warranty repair item? I know that Its possible to avoid duties but the tax charge will put me over budget. Shipping is through USDS.
 

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Yes you will be charged HST on the declared value,parts or complete.
Declared value is what it is.
I doubt they would even consider shipping brand new parts under a warranty claim.
 

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When it hits customs and they see the 1200 or thereabouts CDN value they are going to ding it with 8 bucks plus tax on the CDN value. Especially because it will be a rather large box. Small stuff slips through all the time but with big stuff it's more likely to get dinged. Even if it is sent as a gift. A gift is only safe under 20 bucks. I doubt you could convince a reputable company to commit fraud and say it is a warranty return.
 

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If it was a warranty repair you would have the paperwork for when it was shipped south. What are you going to do when they ask you for it to justify your claim of not paying taxes?
 

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There are no duties on items bought in the states. I have done it many times and I don't even get asked. Just pay the tax. If you ever try to pull a fast one and you get caught, expect to be treated like a criminal every time you cross the border in the future.
 
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There are no duties on items bought in the states. I have done it many times and I don't even get asked. Just pay the tax. If you ever try to pull a fast one and you get caught, expect to be treated like a criminal every time you cross the border in the future.
I think you meant "made in the states". Duties are on country of origin, not where it was purchased.
 

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I think you meant "made in the states". Duties are on country of origin, not where it was purchased.
The common mistake made by the brokers/carriers is to charge duty on the country the shipment originated as opposed to the country of origin. I have a case opened with FeDex whereby they charged me duty for a US made instrument coming from the UK. Even though the dealer clearly stated "made in the USA". It's hit and miss but most times, the mistake is made if the shipment originated outside of North America.

On a side note, If you purchase a Korean made instrument from a US dealer, duty of 6% will(should) be charged.
 

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If it's being shipped via post offie there is an off chance that it may avoid any taxes. I had a guitar i bought once from the US for around $700 and i didn't have to pay anything. I think that was maybe just sheer luck and i wouldn't count on it.
 

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I think you meant "made in the states". Duties are on country of origin, not where it was purchased.
No, I meant bought in the USA. I have bought several guitars made in Korea and China that I bought in the USA and the customs officials don't even ask. If it was a commercial order with lots of items and it was a large dollar value, they may look at it differently but for one or two items they don't bother and likely don't care.
 

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The common mistake made by the brokers/carriers is to charge duty on the country the shipment originated as opposed to the country of origin. I have a case opened with FeDex whereby they charged me duty for a US made instrument coming from the UK. Even though the dealer clearly stated "made in the USA". It's hit and miss but most times, the mistake is made if the shipment originated outside of North America.

On a side note, If you purchase a Korean made instrument from a US dealer, duty of 6% will(should) be charged.
But I have yet to see it done.
 

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btw, everytime i have crossed the border with instruments


Most likely due to customs brokers using the country the shipment originated as opposed to the country of origin.
It also is due to the time and effort it takes to open packages to inspect each item. They simply don't have the time, resources and often the inclination to do so.
 

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Of the thousands of packages I have received from the US and abroad over the last 10 years, maybe one was actually opened and inspected.
 

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Hey so I'm looking to buy a MJT guitar body, neck and hardware. Its all disassembled, made in the USA and can be considered parts rather than a guitar. Its worth is 875 USD. Will I be charged tax on it even if it is claimed as parts or as a warranty repair item? I know that Its possible to avoid duties but the tax charge will put me over budget. Shipping is through USDS.
Paying taxes is a burden we all bear in order to fund public services. Suck it up and pay your share.

This message brought to you by a curmodgenly old fart drinking his first coffee of the day.
 

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It's just part of the expense that you have to factor in, just as you would with the exchange rate. If you get lucky and don't get dinged the sales tax, great, but you should expect to have to pay the tax and the brokerage fees (which can vary drastically from carrier to carrier).
 

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The common mistake made by the brokers/carriers is to charge duty on the country the shipment originated as opposed to the country of origin. I have a case opened with FeDex whereby they charged me duty for a US made instrument coming from the UK. Even though the dealer clearly stated "made in the USA". It's hit and miss but most times, the mistake is made if the shipment originated outside of North America.

On a side note, If you purchase a Korean made instrument from a US dealer, duty of 6% will(should) be charged.
A quick Google Search will produce a NAFTA form that should be included when shipping North American made products across the boarder. There's still the potential to pay taxes, but you won't be hit for duties.
 
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It also is due to the time and effort it takes to open packages to inspect each item. They simply don't have the time, resources and often the inclination to do so.
The taxation process is done based on the information stated on the waybill. The country of origin is on the waybill and there is no need for them to open a package unless fraud or security matters are of concern.

On a side note, the few times I've crossed the border with instruments, the agents knew of gear or played guitar. I went to an amp show in Michigan with a friend and we brought some amps. The US agent gave us a really hard time (while we remained silent and calm) and finally said, "ok, you can proceed....is that a '64 Fender Deluxe" (he was very close).

On the way back, the Canadian agent was easier and then blurted out "is that a Shiva" (close again it was a Bogner Metropolis). : - )
 

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No, I meant bought in the USA. I have bought several guitars made in Korea and China that I bought in the USA and the customs officials don't even ask. If it was a commercial order with lots of items and it was a large dollar value, they may look at it differently but for one or two items they don't bother and likely don't care.
You've simply been been lucky then that they have quickly passed them through because they should have had duties assessed based on country of origin, assuming the sender labelled it correctly. It's a numbers game and sometimes you get a break and sometimes you don't. I would never count on something coming through tax/duty free.
 

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If you ever try to pull a fast one and you get caught, expect to be treated like a criminal every time you cross the border in the future.
This (not treated like a criminal per say but you can be searched every time if you make a knotty list). Its not worth it.
Pay the duties. USPS has never charged me any brokerage fees, UPS Ground does, UPS Air does not but its included.
 
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