Do I pay duty on a parcel from the US to Canada?

Short answer: a parcel from a US store often owes no duty, but it may still owe sales tax and a handling or clearance fee. What decides it is the value, whether it comes by mail or by courier, and where the goods were made.

The limits that matter

Above the duty limit, goods that qualify as made in Canada, the US or Mexico under CUSMA can still enter without duty. Goods made elsewhere pay their normal duty rate, and some products from some countries pay more.

Two examples

• A C$80 US made T shirt by courier to Ontario: no duty, because it is under C$150. It is over C$40, so 13% HST applies, about C$10.40, plus the courier's own fee.
• The same T shirt by mail: it is over C$20, so tax applies, and Canada Post adds its C$9.95 handling fee when it collects.

What the tax is

GST is 5%. Ontario charges 13% HST, and the Atlantic provinces 14% or 15%. Some provinces also collect their own sales tax on imports. The tax is charged on the value plus any duty.

If you are the store

Your Canadian customers see this bill at the door, not at checkout. Shipping by courier for orders under C$150, or charging the tax at checkout, usually saves the sale.

Check your own numbers

• One parcel: the free border fee checker.
• Your store's last 90 days: the free border cost audit, which reads your orders export in your browser.
• Every order, before it ships: Othermile checks each one against your limits and holds the costly ones for your OK.

These are estimates from the official rules, not customs advice.

This guide explains public rules in plain language for general information. It is not customs, tax or legal advice; the exact tariff code, your paperwork and the carrier decide the final amount.