5 ms·

A bit off topic, but does the US have import tariffs or customs duties for items purchased abroad? In the EU for most items over €20 purchased outside the EU,

by fyfy18 6y ago

A bit off topic, but does the US have import tariffs or customs duties for items purchased abroad? In the EU for most items over €20 purchased outside the EU, you will need to pay customs duty and VAT, and possibly a processing fee. The rates depend on what exactly the item is, but can be quite substantial. I bought an action camera from a site like GearBest (I can't remember exactly which one) a few years ago for ~€60, and when it arrived I needed to pay another €50 in fees. If it wasn't for this I would buy a lot more swag - as most companies will ship from the US, it means a $25 t-shirt would end up costing me closer to $50.

gerbler 6y ago
The article does describe import rates towards the end - they mention that there are none for items < $800.
ascorbic 6y ago
The important things is that the US doesn't have VAT, which makes up the majority of the cost. The de minimis value for import duty is much higher, and the rate is much lower.
- AnssiH 6y ago
  Do you have some source for the lower import duty rates? They heavily depend on the specific item category - in my experience usually 0% or ~5% for the tech items I've imported (but that is not really enough to draw any conclusions from). The de minimis for import duty in EU is 150€ (compared to $800 in US). Edit: here is the Finnish Customs duty calculator: https://tulli.fi/en/customs-duty-calculator?current=goods&currency-id=1 https://tulli.fi/en/customs-duty-calculator?current=goods&cu... (VAT is Finland-specific, duties are the same EU-wide). A quick look shows that e.g. phones, computer components, and DVDs are 0%, which probably accounts for most of my €150+ imports and thus explains my experience above...
  - ascorbic 6y ago
    That's the kind of level I was thinking. Compared with VAT levels of around 20% in most EU countries, with a de minimis level of around €15, I'd call that a low rate and high de minimis level. Edit: it seems there's no de minimis threshold for VAT anymore, so that's even more of a contrast
    - AnssiH 6y ago
      Ah, sorry, I misinterpreted your post. I thought you meant that USA import duties are much lower than EU import duties, but I now see you meant EU import duties are much lower than EU VAT taxes. Completely agree then. The removal of the €22 low-value exception for VAT will happen in EU on July 1st 2021, so not in effect yet.
kevingadd 6y ago
Even if there are import tariffs/duties what matters is whether they're enforced. Unlike my friends in Canada (just one example) I've never actually had any fees levied on a shipment I received from overseas. So even if the average American taxpayer technically owes fees those fees probably never get collected unless they're on big purchases.
gnopgnip 6y ago
Yes, but only on purchases over $800 for the vast majority of individual consumers. For over $800, like most countries the way tariffs and duties are calculated is a little complicated, but broadly if the goods are not produced in the US at all there is little to no charge. Clothing, shoes, and some items that have political issues like foreign steel have duties around 25%

by fyfy18 6y ago

gerbler 6y ago

The article does describe import rates towards the end - they mention that there are none for items < $800.

ascorbic 6y ago

The important things is that the US doesn't have VAT, which makes up the majority of the cost. The de minimis value for import duty is much higher, and the rate is much lower.

AnssiH 6y ago
Do you have some source for the lower import duty rates? They heavily depend on the specific item category - in my experience usually 0% or ~5% for the tech items I've imported (but that is not really enough to draw any conclusions from). The de minimis for import duty in EU is 150€ (compared to $800 in US). Edit: here is the Finnish Customs duty calculator: https://tulli.fi/en/customs-duty-calculator?current=goods&currency-id=1 https://tulli.fi/en/customs-duty-calculator?current=goods&cu... (VAT is Finland-specific, duties are the same EU-wide). A quick look shows that e.g. phones, computer components, and DVDs are 0%, which probably accounts for most of my €150+ imports and thus explains my experience above...
- ascorbic 6y ago
  That's the kind of level I was thinking. Compared with VAT levels of around 20% in most EU countries, with a de minimis level of around €15, I'd call that a low rate and high de minimis level. Edit: it seems there's no de minimis threshold for VAT anymore, so that's even more of a contrast
  - AnssiH 6y ago
    Ah, sorry, I misinterpreted your post. I thought you meant that USA import duties are much lower than EU import duties, but I now see you meant EU import duties are much lower than EU VAT taxes. Completely agree then. The removal of the €22 low-value exception for VAT will happen in EU on July 1st 2021, so not in effect yet.

kevingadd 6y ago

Even if there are import tariffs/duties what matters is whether they're enforced. Unlike my friends in Canada (just one example) I've never actually had any fees levied on a shipment I received from overseas. So even if the average American taxpayer technically owes fees those fees probably never get collected unless they're on big purchases.

gnopgnip 6y ago

Yes, but only on purchases over $800 for the vast majority of individual consumers. For over $800, like most countries the way tariffs and duties are calculated is a little complicated, but broadly if the goods are not produced in the US at all there is little to no charge. Clothing, shoes, and some items that have political issues like foreign steel have duties around 25%