Importing goods into Canada

Knowing all the facts, being prepared, and having the right people working for you can really affect your bottom line when it comes to importing goods. Once you’ve got all the details worked out and a strong plan in place for sudden logistical challenges, you’ll experience nothing but smooth sailing. We’ve got some easy steps to help you get set up and up to speed with importing goods into Canada.

1. Obtain a Business Number & Import/Export Program Account

If you don’t already have a business number, it is needed in order for you to get an import/export program account with the Canada Revenue Agency (CRA). In addition to obtaining these two, you will also want to finalize your GST/HST registration process as GST is payable on most goods at importation.

2. Research About the Goods that You are Going to Import

You will need an accurate description of your goods, but it’s also important to first verify whether your product can be imported into Canada. Visit this comprehensive list to learn more and see if your goods are prohibited or restricted in any way.

3. Calculate the Amount of Duty You will Need to Pay

There are a few things you will need to know in order to figure out the amount of taxes you will need to pay.

The tariff classification code: This is a 10-digit number that identifies your product and is used to determine the rate of duty payable when importing. The first 6 digits of the code are universal and are the same across the globe. The exact codes and rate of duty can be found in CRA’s Customs Tariff guide.

Where were the goods manufactured: Do not confuse the country in which the products were made with the place they were shipped from. 

In addition to import tariffs, you will also need to pay GST on products you import. However, GST is not charged on goods that are zero-rated in Canada. Some products on the list include medical devices and basic groceries.

4. Hiring a Customs Broker

Do the things that you do best and outsource the rest! We only have so many hours a day and spending countless hours navigating the customs maze may not be the best use of your time. A customs broker is a company or person that is licensed by the CBSA to act on your behalf to help clear goods across the Canadian border. 

They will help with obtaining and preparing the customs release documents needed by the CBSA, arranging payment of customs duties and taxes, and securing the release of imported goods. Although you have enlisted the services of a customs broker, as an importer, you are still responsible for all the duties payable until you or your broker pays them. 

Importing has been an essential part of Canadian business and having a smooth and strong plan in place will help mediate any bumps along the way.  As one of Vancouver’s leaders in the trucking and warehousing industry and being in such close proximity to Canada’s largest port, our extensive knowledge and know-how of the latest changes in the logistics industry will help your business thrive in this ever-changing global landscape.

Whether you are importing or exporting goods or require LTL/FTL services in British Columbia, Alberta, Ontario, or Quebec, we are here to help. Contact us at (604)-276-9044 or info@sandhartrucking.com today for more information.