How are duties and taxes applied?

Duty and tax is dependent on the Harmonized System (HS) code and the country of origin. Generally, tax is a percentage of the value of the goods with designated goods rated zero in some countries/territories.

In general, calculations are based upon the good’s description provided on the commercial invoice and its HS code. However, other factors such as origin and reason for import may contribute to the overall value and percentage of duty and tax applied. Some commodities are subject to other charges such as excise duty, which is an additional tax based on quantity and applies to goods like alcohol, tobacco and oil. Goods subject to trade defense measures and other restrictions may also incur extra charges.

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