Ask the Accounting Community

My USA based company is looking to export Commerical Foodservice Equipment from the UK  and then import it into Canada.  Does anyone have experience with this?  I would like to discuss how to go about doing this.

I think you should deal trough the letter of credit, there is security provides by Bank for both of buyer and seller. you have to call to your bank in LC department, i hope they will help you in this regards

Yes, I'm located in Canada and I have experience with this.

Depending on the classification, the importer may or may not have to pay Customs Duty to Canada Customs. We've imported coffee equipment for commercial use or for resale without paying Customs Duty. The same equipment will be subject to Customs Duty if for personal use.

The importer will pay HST/GST (Harmonized Sales Tax/Goods and Services Tax) to the Receiver General - Canada Revenue Agency. Assuming that the equipment will be either for "Inventory for Resale" or for "Use in business operations", the HST/GST paid can be claimed back as Input Tax Credit (ITC) when filing the HST/GST return. The HST/GST rate will depend on which province the equipment will be imported into.

Depending on which province you will import into, there may be a separate Provincial Sales Tax.

Your best bet is to get in touch with a Canadian Customs Broker who will process the paperwork for you. I can introduce you to the company we utilize if you like.

I hope the above helps.