What Fees Are Involved In Cross Border Shipping?
When you ship products from New York to Toronto using a New York same day delivery service
, you may wonder about the delivery fees and charges you will have to deal with. The delivery services should be able to tell you of all fees and charges you are liable to incur. This is especially true when using a delivery service that delivers cross border on a constant basis.
A New York same day delivery service should be able to tell you that all products that go to Toronto will have to pay a seven percent goods and services tax, or G.S.T. This tax gets passed along through all points of the chain of delivery until the final delivery where the consumer will be taxed.
If you deal with a logistics company you will have to pay a brokerage fee for transportation of your products. With logistics the fee will be the same no matter how large or small the shipment. While you are doing business with a logistics company it is to your advantage to put all your small shipments into one large one. This will cut down on the fees that you will incur. Some logistics companies can even help you to warehouse your small shipments so you can have them shipped all at the same time.
Regardless of whether it is logistics or a same day delivery service if they are a good, well established company or service, they will be able to explain to you all fees and charges that are incurred when shipping cross border. Since so much business is conducted between Toronto and New York, the logistics company can keep you informed of all changes to the taxes and fees involved. Since business is so big between Toronto and New York the chances of running into hidden fees is close to zero. That does not mean doing business with other countries will run so smoothly.
Fees and taxes for shipping into other countries could get tricky. They may not be as up front with their fees as Toronto is. Then you run the chance of hidden fees. When you do business with a country for a long period of time and it is a consistent business you will learn how their fees and taxes work. Using logistics companies for business with other countries is your best bet. They can always keep you informed of any changes that are made to that country's taxes and fees and other charges.
by: Nathan Alexander
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