Customs Fees

  1. A nice buyer from Brazil bought a pair of shoes from me a few weeks ago on eBay, they didn't fit her well so she asked me to exchange them for another size. I normally don't do this but I felt sorry for her since I knew that she wouldn't be able to get her size in Brazil so I agreed to the exchange.

    I sent her the new shoes via USPS and I insured it for full value, and marked the Customs paperwork with full value and also marked it as a gift. Now she has emailed me to say that she is going to get charged 100% customs fees since I marked the full value. But my understanding is that if the item is marked as a gift, the recipient would not be charged any taxes?

    I know that this topic has been discussed before but I can't seem to find a clear answer anywhere.
  2. How much was the item? Items marked as gift have a higher level at which they incur tax
  3. I marked the value as $600.
  4. In Canada from my experience it does not matter whether you mark an item as a gift - I always get charged tax! Infact, the one time I was not charged taxes and dutywas when NM shipped me my Manolos - I was certain I'd get dinged with them (high value and merchandise) - but I didn't!

    With customs you never know - like gambling; you win some and you loose some.
  5. She'll almost certainly get charged then
  6. :nogood: Nope...if an item exceeds a certain value (it changes by country to country),it will be charged custom fees,no matter if it is signed as gift or used :flowers:
  7. Thanks for the comments.
    Now she is emailing me telling me that she is going to refuse the package because she cannot afford to pay another $600 in customs fees. And that I have to refund her the money. WTF?!! Can she even do this?
  8. Yes she can refuse it but I think she's exaggerating about the customs charges
  9. Yes, she will likely be charged customs fee, but it will not be equal to the value of the item.
  10. Maybe she isn't exaggerating....just found this online

    Brazil Import Tax Basics:
    - If you want to send shipments to Brazil by door-to-door courier, Brazilian law only allows goods to enter if the goods have no commercial value, or are destined for private use only, and have a value of under USD 3,000.
    - Within those limits a courier such as FedEx will be able to issue clearance.
    - However, despite being within the allowed limits mentioned, the goods WILL be subject to duties and taxes if the value is over USD 50.00
    - Duties and taxes could add another 100% (!) to the goods price, e.g. 60% import duty + 18% sales tax + around USD 10.00 for customs administrative charges.
    - Books and documents are duty exempt, except for advertisement and printing materials.
    - Goods entering Brazil destined for resale need to be cleared through customs with a broker and will attract duties according to standard Harmonised Tariff categories.
  11. Also found this on the FedEx site

    Shipments by air valued between 51 USD and 3,000 USD are subject to a flat 60% duty and tax on the FOB value of the shipment regardless of the commodity. Medicaments for personal use are exempt from this duty and tax. Tobacco products and alcoholic beverages cannot be shipped via air express service.

    Brazil also assesses the following taxes and fees on imports over and above duty and tax:

    Brokerage Fee --1% of C.I.F. value
    Warehouse Tax --1% of the import duty
    Fee for Handling Charges--varies according to value of product (from 20 USD to 100 USD)
    Administration Commission--currently fixed at 50 USD
    Additional Port Tax--two fees totaling 3 % of C.I.F. value
  12. Mooks - thanks so much! I actually found similar information on the Fed Ex website.

    But how can she refuse the shipment and expect me to refund her? If she opens a claim, what would Paypal say?
  13. Well if she does refuse it will state refusal on the tracking that you provide and I would imagine Paypal wouldn't refund her until tracking showed you had received it back.

    Best bet is to call Paypal and ask what would happen
  14. Agree to refund her only when you get the shoes back. Fair's fair.