# buying bikes across the border...



## shaqkur (Mar 15, 2009)

anybody here ever bought a bike from across the border. how are taxes applied? are there any warranty issues?


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## jlandry (Jan 12, 2007)

Good question. I've always wondered if it's a better deal. Sure you don't get the service but...


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## mtbbmet (Apr 2, 2005)

You have to pay duty which will vary on where the bike is produced. Warranty can be sketchy dependning on who the manufacturer is. I know Colnago does not offer any warranty on any frame purchased from a non-authorized dealer. You will also have to pay GST/PST, shipping, and brokerage, as well as the obvious exchange rate. Rarely does it work out cheaper to buy from the states on a new frame or bike.


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## jackattack (Oct 6, 2008)

he is right all the above.
if you buy fro a shop you be allright for the warranty if you buy from ebay etc as you know there will be none, as said authorized dealer only.
if you buy fro a shop chances are they will declare the value of the package as what you paid so you will pay taxes based on that.
now if you buy on ebay or privately then may be the seller can help you out, so you will pay less taxes.
you may find a better deal after all that...just need to shop around..and also you may find stuff that we don t find here.


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## dreww (Jan 22, 2004)

I disagree with mtbbmet,

I recently picked up a Felt cross bike, retail was $949 US, or $1400 here in Canada ($1582 when you add in GST/PST).

I drove to Michigan, something we do fairly regulary for kids clothes, presents etc.

I paid $850 US, paid taxes of $110 at the border, exchange is $1.06-1.08 so negligeable at present.

All in I was under $1000Cdn. Warranty is warranty, as long as the shop is a dealer you will be covered. 

The thread below discusses the price discrepancy between US shops and Canadian, often the diference is significant.

If you ship, do not use Fed ex etc as they charge a $50 brokerage fee plus, plus.


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## mtbbmet (Apr 2, 2005)

I may have misunderstood tho OP. If you are thinking about driving across the border and buying the bike costs would certainly be different as there is no shipping and no brokerage fees. But you still may get dinged for a large duty bill depending on where the bike is from. And generally the price difference on a $1400 bike is not $450.


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## shaqkur (Mar 15, 2009)

mtbbmet said:


> I may have misunderstood tho OP. If you are thinking about driving across the border and buying the bike costs would certainly be different as there is no shipping and no brokerage fees. But you still may get dinged for a large duty bill depending on where the bike is from. And generally the price difference on a $1400 bike is not $450.



yeah...i live in Ontario and thinking of driving across to Buffalo and buy a bike fr an authorized dealer.


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## RHankey (Sep 7, 2007)

You can generally avoid paying state taxes if you have the retailer ship the goods to Canada. If you drive the goods over the border yourself, the retailer is generally required to charge applicable state tax.

As others have said, UPS and Fed Ex generally charge a nasty brokerage charge in addition to the duties and taxes. Before moving to the US, a lot of times I had stuff mailed to me via USPS/Canada Post, no duty, taxes, or fees were charged, even when there should have been. YMMV.

I don't agree with one poster's assertion that warranty is warranty. You really need to check what the specific manufacturer’s warranty says with respect to who's authorized to sell the product and if warranty claims can cross borders and how a warranty claim is to be filed. Though more common for things like consumer electronics than bike stuff, you may find that you have no warranty for US purchased items unless you return the item to the US.


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## |3iker (Jan 12, 2010)

Bicycles imported to Canada will be dinged with duty, cdn taxes and brokerage fee. Bike parts or used bikes are exempted from duty. This is if your bike is not made in USA. Since most bikes are from China or Taiwan you will have to pay duty. Duty is 13% applied ofter tax... or was it the other way around. Still gonna hurt ya. BC province is good for cyclist in that there is no PST charges on bicycle-related products.... well until HST kicks in. 

If you ship via the typical UPS/Fedex/DHL etc, those brokers will simply include duty charges because it takes them only 1-key stroke. 

I have read from others that they drove down to US to buy the bike and went through the border guards without having to pay anything. This is really up to chance. Even if you declare, there is a high probability that the border agent may not be bothered to look up the codes for bicycles (they are not like brokers who deal with shipping all the time). So they might just wave you through. It all comes down to is it worth the time for the border guard to go through the process only to ding you $50. 

So my best recommendation if you want a good deal and not have to pay tax/duty/brokerage fees, is to pick up the bicycle yourself. Especially if you are visiting US for a few days. I think you get $300-$400 exemption per person after 72hrs stay. YMMV.


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## brinntache (Jan 16, 2009)

A good idea is to ride it before you cross the border. That way it looks used, and you can say you went to the US for a bike ride. They don't keep track of whether you brought a bike with you on the original trip.


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## RHankey (Sep 7, 2007)

brinntache said:


> A good idea is to ride it before you cross the border. That way it looks used, and you can say you went to the US for a bike ride.
> 
> I'm not sure it's "good idea" to be suggesting that people smuggle stuff over the border, despite it being a pretty common pasttime for a large number of Canadians. If you get caught, the costs can far exceed any potential savings and give you a whole heap of trouble in the future.
> 
> ...


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## shaqkur (Mar 15, 2009)

|3iker said:


> Bicycles imported to Canada will be dinged with duty, cdn taxes and brokerage fee. Bike parts or used bikes are exempted from duty. This is if your bike is not made in USA. Since most bikes are from China or Taiwan you will have to pay duty. Duty is 13% applied ofter tax... or was it the other way around. Still gonna hurt ya. BC province is good for cyclist in that there is no PST charges on bicycle-related products.... well until HST kicks in.
> 
> If you ship via the typical UPS/Fedex/DHL etc, those brokers will simply include duty charges because it takes them only 1-key stroke.
> 
> ...



thanks...the input is helpful.


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