If you are a business owner regularly importing goods from other countries, paying US import tax is not strange to you. This duty is levied on every imported good that enters the country and is collected by the United States customs authorities.
As a merchant, understanding the impact these fees have on your business is essential. Also, knowing the exact amount to pay and how to pay them will save you great stress and money. The good thing is you can calculate the tax for your import by yourself.
In this article, we will shed light on the necessary things you need to know about import tax and customs fees so that you can make significant financial adjustments for your business.
What are US Import Tax & Customs Fees?
US import tax and customs duty is levied on goods brought into the country through international borders. These taxes are collected for specific purposes. The first is to encourage the production and sales of locally made goods. Another is to protect the country's citizens by controlling the entrance of foreign products into the country.
Any item on which you pay customs is called dutiable. The following factors usually determine the custom duty rate of any dutiable
- Place of purchase: where the item is gotten
- Location of production: where it was produced
- Material of production: the component of production
Besides these, every other foreign item you bring into the country will be declared regardless of whether it is a personal item or a gift.
How to Pay Customs Fees
For all goods shipped by ocean or air freight, the best option is to hire customs brokers to prepare the necessary documents to declare goods. Note that custom brokers are not employees of Customs Border and Protection (CBP), and you will need to pay for services such as customs duty and processing, merchandise clearance through Customs Border and Protection, and shipping and handling, among others.
When you ship your goods through an international postal service, it is easy to pay the import tariffs. The customs agent your courier services hires takes care of the import duty while you pay directly to your courier.
There are also cases where you receive merchandise with quote DDP (Delivered Duty Paid). Instead, the supplier is to pay all customs tax calculated on imports.
3 Things to Know About US Customs Fees
US Customs Fees come with exceptions. These are a few things to keep in mind while you prepare for your next purchase:
1. Items under $800
Custom fee is always charged on items over $800. However, if the worth is less than $800, then you can be guaranteed that no custom fee will be charged.
2. Items between $800 and $1800
Whether the goods you are importing are for sales or personal use, goods over $1800 are subject to a flat 4% duty fee,
3. Use duty and tax calculator
Already, some factors impact customs duties like origin and nature of article. Every item imported falls under specific categories, with different tax rates. This information is paramount to avoid paying exorbitant fees, which invariably will impart the selling prices of imported goods. But with a duty and tax calculator, you can stay ahead. You can calculate the anticipated duty tax of your merchandise by selecting the right category that fits the description of the items.
US Import Tax Calculator with Easyship
Paying custom fees can be a little complicated sometimes. And if you are not informed of the various factors that determine the amount, you could be paying more than what you bargained for.
Instead of being unsure, use Easyship calculator to get accurate import estimates. Easyship makes it easy to choose the category that your merchandise falls under and calculates the tax duly. Not only that, Easyship provides you with the necessary documents needed for customs clearance. Click the following links to get started:
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