Border Tax?
 

Hi peeps! I'm in Canada and I'll be going over to the US soon to buy a used bike from someone who posted an ad on craigslist. Amid all my enthusiasm I just recently realized I'd probably have to pay border tax coming back to Canada with a full bike. Should I ask said person to make me a receipt of sorts to give to the border agents? I'll call the borders tomorrow to get more info but thought I'd ask first here since people may have had first hand experience with this.

Cheers!

How would they know you didn't take it with you in the first place? Does Canada charge you tax for the clothes in your suitcase, cell phone, etc. when you return from a trip?

Fair enough! I'm probably just being paranoid hahaha. Thank you! ;)

I'm Canadian and also live close to the border. Last summer I bought a used road bike on Craigslist from the States about an hours drive to my house.

At the border I fully disclosed that I bought the used bike. I didn't have a receipt but just told the truth. The border agent was friendly, a casual cyclist himself. He asked to see the Craigslist ad which I showed him. He charged me the 12% GST/PST and I drove away.

I was only in the states a few hours. Depending on the cost of the bike, you may want to consider a weekend trip which will increase the amount you can bring back duty and tax free.

That's interesting - charging tax on a used item at a private sale (ie. not a used bike at an LBS that does charge state tax).

Jog over and ride back. AS mentioned stay for weekend and get guy to write you a lower value reciept - don't over do it they just go on craigs list to see what rough value is and ding you if they don't believe you. Best say bought it at garage sale and delete all info on your phone regarding deal.

+1

I can't imagine declaring a used bike................... how would they know you didn't take it with you********************????

Yes, you can lie and cheat and probably get away with it. if you don't do it convincingly enough the bike will likely be confiscated and there will be the option of further prosecution. You will also be marked for the future and you can expect thorough searches everytime you cross the border.

If you are taking your own bike (or any item with a serial number for that matter) across the border you are supposed to carry proof that it was acquired in Canada (receipt, green card etc.). So depending how sticky the border agent is merely playing dumb, as suggested by some, may not work.

Staying 48 hours gives you $700.00 (CAN - including local tax pd.) of goods which can be brought back duty free (although they can still charge GST & PST or HST). But if a single item is more than that I don't think it qualifies as a 'deduction'.

I realize the O/P wasn't asking for tips about how to cheat the system, just information about taxes and duty. Check out Duty and Taxes Estimator for an estimate of duty and taxes. Note that a lot depends on where you reside in Canada and where the bike was made. Somewhat bizarrely I don't believe there is any duty on bike parts - even including frames. Go figure. But those are the rules.

Why not check out the duty/tax situation (probably minimal) and just decide whether or not the bike is still a good deal factoring in those costs? That way you don't have any worries crossing the border and you can still look at the guy in the mirror as an honourable person when you shave in the morning. I'm really sick of those who love Canada and our "free" health care and social programs but are willing to do anything to avoid paying their fair share.

An old one, and it's probably been changed to every different border in the world at some stage;

A Palestinian called Mahmud was going to cross the Israel-Palestinian border. He rode a biciycle, carrying two huge bags.

An Israeli soldier manning the border checkpoint stopped him and asked what he was carrying in his two bags. "Sand," Mahmud answered.

The soldier didn't believe him and he ordered Mahmud to open the bags. But both were full of sand, just as Mahmud claimed. Cleared of suspicion, they had to let him go.

The next day, Mahmud rode a bicycle carrying two huge bags towards the same checkpoint. Again he was stopped by the soldier, who wanted to know what he was carrying. "Sand," Mahmud answered. His bags were searched again, but they were full of sand, just like the day before. Again they have to let him go.

The same thing happened the day after, and the day after that, and so on for a year. Finally, it stopped. Later, the checkpoint soldier came across Mahmud in Jericho. He remembered the Palestinian who rode a bicycle carrying bags full of sand everyday.

"Hey, you, sand-carrier," said the soldier, "I used to think you're trying to smuggle something under our noses. But how come it was only sand in your bags everyday? I'm going nuts thinking what is it that you want to smuggle. Okay, just between you and me, what is it about?"

Mahmud answered, "I'm smuggling bicycles."

Good one! LOL

Just ride it across.

You know they take pictures of you and your vehicle when you cross the border right?

No, I didn't know that. So they pull up the pictures and compare when you return? How do they know what's inside? Do they weight it too? Serious question. How do they know what you left the country with and what you bought abroad? What about a cell phone or laptop that you might travel with? Do you have to carry proof of purchase for everything? Sounds kind of excessive.

I live near the border in Canada and often have items shipped to a transhipper in the US close to my house. I bought a bike recently (from a private seller on pinkbike) and walked over to pick it up and carried it over. I declared the value and paid the 5% GST but the customs officer told me I should have just built the bike up and ridden it across. I just had a copy of the emails where we agreed on a price.

I have a Nexus card and am not really interested in putting it at risk for a small tax I don't mind paying.

That was good thanks

I think you'll be fine, a couple of years ago I shipped via UPS a used Brooks Saddle to Campbell River. It looked new , and it seemed liked they were going to charge me a tax or duty on it, but when they were convinced it was used, it was allowed in no charge. They seemed very reasonable. As you'll be bringing in the used bicycle yourself, it should be even easier.

Your analysis is a little excessive but yes they often compare the picture when you return home.

Anything obvious like a bike in your possession upon return could arouse suspicion and likewise having an obvious item (say a jet ski) in the back of your truck on the way there but not on your return will likely be cause for a few extra questions to be asked.

Dont sweat the smaller sized items, they're not likely to be noticed but I would think a bicycle is usually pretty visible.

My friend's brother went to college in Canada and we used to bring stuff to him all the time like mini fridges and small appliances clothes food etc all the time. Most of the agents questioned us about things and wanted us to pay tax if the stuff was staying in Canada. We always lied and they never did anything.

Tell them it's your bike and you took it to ride in the US and now your taking it home