Digikey, Fedex, & Customs

I ordered parts from Digikey the other day worth US$1339 total and delivery
by Fedex.
Just got a call from Fedex saying I've gotta pay $214 (GST+ customs fee) to
release it.

I knew about the $1000 customs limit, but I thought it only applied to each
item, not the total bill, but apparently that's not the case.
Never had this happen before, although we normally use DHL.

Anyone else been caught out?

Beware.

Dave.

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On Thu, 4 Mar 2010 15:01:22 +1100, "David L. Jones"
<(E-Mail Removed)> wrote:

>I ordered parts from Digikey the other day worth US$1339 total and delivery
>by Fedex.
>Just got a call from Fedex saying I've gotta pay $214 (GST+ customs fee) to
>release it.
>
>I knew about the $1000 customs limit, but I thought it only applied to each
>item, not the total bill, but apparently that's not the case.
>Never had this happen before, although we normally use DHL.
>
>Anyone else been caught out?
>
>Beware.
>
>Dave.

It is based on the total amount I think. Also my experience has been
that EVERYTHING shipped by the main carriers i.e. Fedex UPS etc. is
assessed for customs duty, whereas if sent through the mail that seems
to not often be the case. Every package coming in does get
scanned/x-rayed by AP of course, but despite the value it is rare to
get notified of duty payable. The package just turns up, so I always
specify USPS.

David L. Jones wrote:
> I ordered parts from Digikey the other day worth US$1339 total and delivery
> by Fedex.
> Just got a call from Fedex saying I've gotta pay $214 (GST+ customs fee) to
> release it.
>
> I knew about the $1000 customs limit, but I thought it only applied to each
> item, not the total bill, but apparently that's not the case.
> Never had this happen before, although we normally use DHL.
>
> Anyone else been caught out?
>
> Beware.
>
> Dave.

Basically, it happens to me on every Fedex order Dave. Over $1000 oz and
you are hit. The old figure was $250 oz.

Last Fedex account, I also paid on top of GST:
ACS Entry fee $55.20
Duty and/or Tax advancement fee $15.55

Let's see $1339USD = ~ $1485AUD

all AUD
10% = $148.00
plus $ 55.20
plus $ 15.55
total $218.75 (close enough for govt work)
Which means there was no custom duty charged.

Silly part is all businesses can claim the 10% gst back, so it's adding
more paperwork and frustration to importing goods.

In the old days with 22% sales tax, we simply claimed an exemption as a
business, by quoting an exemption number.


Cheers Don...



--
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"Don McKenzie" <5V@2.5A> wrote in message
news:(E-Mail Removed)...
> David L. Jones wrote:
>> I ordered parts from Digikey the other day worth US$1339 total and
>> delivery by Fedex.
>> Just got a call from Fedex saying I've gotta pay $214 (GST+ customs fee)
>> to release it.
>>
>> I knew about the $1000 customs limit, but I thought it only applied to
>> each item, not the total bill, but apparently that's not the case.
>> Never had this happen before, although we normally use DHL.
>>
>> Anyone else been caught out?
>>
>> Beware.
>>
>> Dave.
>
> Basically, it happens to me on every Fedex order Dave. Over $1000 oz and
> you are hit. The old figure was $250 oz.
>
> Last Fedex account, I also paid on top of GST:
> ACS Entry fee $55.20
> Duty and/or Tax advancement fee $15.55

Hi Don,

What is a ACS Entry fee?

Joe

Joe G (Home) wrote:

>> Last Fedex account, I also paid on top of GST:
>> ACS Entry fee $55.20
>> Duty and/or Tax advancement fee $15.55
>
> Hi Don,
>
> What is a ACS Entry fee?
>
> Joe

Australian Customs Service Entry fee.
http://www.aph.gov.au/library/pubs/B...97/97bd062.htm

the way I understand it, to cover the paperwork costs by customs for the
entry into the country, of the goods.

here is one quote:
"In addition to the above mentioned service charges, the relevant
regulatory bodies such as the Australian Customs Service (ACS) and the
Australian Quarantine and Inspection Service (AQIS) will levy a series
of mandatory fees in order to recoup the costs associated with
processing customs and quarantine entries."

I make sure I never, ever, ever, ever, ship goods over the value of
$1000 without a courier. Why? Last time I did it, you had to fill out a
53 fields document in triplicate. Called a formal entry. You would be
better off getting a customs agent to do the paper work and pay him $150
to $200.

I am getting too old for that ****. I would rather return the goods, and
try again. :-)

Cheers Don...



--
Don McKenzie

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"Don McKenzie" <5V@2.5A> wrote in message
news:(E-Mail Removed)...
> Joe G (Home) wrote:
>
>>> Last Fedex account, I also paid on top of GST:
>>> ACS Entry fee $55.20
>>> Duty and/or Tax advancement fee $15.55
>>
>> Hi Don,
>>
>> What is a ACS Entry fee?
>>
>> Joe
>
> Australian Customs Service Entry fee.
> http://www.aph.gov.au/library/pubs/B...97/97bd062.htm
>
> the way I understand it, to cover the paperwork costs by customs for the
> entry into the country, of the goods.
>
> here is one quote:
> "In addition to the above mentioned service charges, the relevant
> regulatory bodies such as the Australian Customs Service (ACS) and the
> Australian Quarantine and Inspection Service (AQIS) will levy a series of
> mandatory fees in order to recoup the costs associated with processing
> customs and quarantine entries."
>
> I make sure I never, ever, ever, ever, ship goods over the value of $1000
> without a courier. Why? Last time I did it, you had to fill out a 53
> fields document in triplicate. Called a formal entry. You would be better
> off getting a customs agent to do the paper work and pay him $150 to $200.
>
> I am getting too old for that ****. I would rather return the goods, and
> try again. :-)
>
> Cheers Don...
>
>
>
> --
> Don McKenzie


Thanks Don

On 5/03/2010 6:22 AM, Don McKenzie wrote:
> Joe G (Home) wrote:
>
>>> Last Fedex account, I also paid on top of GST:
>>> ACS Entry fee $55.20
>>> Duty and/or Tax advancement fee $15.55
>>
>> Hi Don,
>>
>> What is a ACS Entry fee?
>>
>> Joe
>
> Australian Customs Service Entry fee.
> http://www.aph.gov.au/library/pubs/B...97/97bd062.htm
>
> the way I understand it, to cover the paperwork costs by customs for the
> entry into the country, of the goods.
>
> here is one quote:
> "In addition to the above mentioned service charges, the relevant
> regulatory bodies such as the Australian Customs Service (ACS) and the
> Australian Quarantine and Inspection Service (AQIS) will levy a series
> of mandatory fees in order to recoup the costs associated with
> processing customs and quarantine entries."
>
> I make sure I never, ever, ever, ever, ship goods over the value of
> $1000 without a courier. Why? Last time I did it, you had to fill out a
> 53 fields document in triplicate. Called a formal entry. You would be
> better off getting a customs agent to do the paper work and pay him $150
> to $200.
>
> I am getting too old for that ****. I would rather return the goods, and
> try again. :-)
>
> Cheers Don...

So basically it is a charge to cover the cost of charging you customs
duty. Isn't that called double dipping?

keithr wrote:

> So basically it is a charge to cover the cost of charging you customs
> duty. Isn't that called double dipping?

well, the case I'm talking about, and in most cases where electronic
parts are involved, there is no custom duty payable, just collection of
GST, which is refunded as a tax input credit anyway.

Cheers Don...


--
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Andy Wood wrote:

> So, it is a charge for wasting your time?

picked it in one Andy.

one of the many costs of Oz businesses importing gear.

Cheers Don...



--
Don McKenzie

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