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Who pays for the duties or taxes that may be applicable at the destination country?

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International shipments are subject to customs duties - taxes imposed on goods when transported across international borders. Customs duties protect each country's economy, residents, jobs, environment, etc., by controlling the flow of goods, especially restrictive and prohibited goods, into and out of the country.

Customs duties are assessed on the declared value of the goods shipped. To avoid excessive taxes, be sure that your customs forms indicate accurate values.

Each carrier provides different options for customs duties payment. We provide details about the following carriers:

 

FedEx:

FedEx gives you have the option to bill the customs duties to the sender (you) or the recipient (your customer) if they have a valid 5-digit US zip code connected to their account. International accounts cannot be billed. While it's not necessary for the recipient to have an account number, it should be provided if known.

NOTE: Fedex policies state that should the Recipient or Third Party fail to pay duties and taxes, the sender is responsible for payment.

Learn how to choose which party pays for FedEx customs duties.

 

UPS:

For UPS international shipments processed through ShippingEasy, the recipient (receiver) will be responsible for the customs duties (taxes). . 

 

USPS:

USPS makes the recipient responsible for customs duties and taxes. 

According to the USPS website:

"Post Office facilities must collect a Postal Service fee from the addressee for each item on which customs duty or Internal Revenue tax is collected. The Postal Service fee is authorized by international postal agreements to reimburse the Postal Service for costs it incurs clearing items through customs and collecting customs duties at the time of delivery."

 


Related articles:

How to: Bill postage or customs duties (taxes) to a third party
What is a Customs Form?
How to: Set up International Shipments settings
Overview: Customs Information on the READY TO SHIP page
FAQs: Certificate of Origin

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