While there is increased cross-border trade between the U.S. and Canada, there are additional fees and taxes imposed on goods entering Canada. Additionally, before importing goods, a company must guarantee that their shipments comply with CBSA and CRA regulations. The following are 5 important border considerations in order to ship goods from across the border:
Commercial businesses must obtain a business number before shipping any goods. Business numbers are given by the CRA, free of charge.
Companies must also identify and provide valid proof of the initial country from which the goods are originally from.
A company must also verify that the goods imported are legally permitted into Canada. For example, live animals, perishable goods, and mattresses are just some items that are prohibited.
A majority of shipments entering Canada are subject to federal and provincial taxes. There is a 5% federal GST tax, however, at the provincial level it varies.
The CBSA also encourages companies to maintain records of imports for up to 6 years of shipment into Canada.
As Canada’s leading warehousing, co-packing, trucking, and 3PL specialist, 18 Wheels Logistics can help get your shipments across borders efficiently and with ease. Based in Vancouver, British Columbia with warehouses across North America, we can be contacted for all your transportation and distribution needs.