• Last Updated:
  • Nov 6th, 2015 11:22 am
[OP]
Deal Addict
Jan 31, 2007
1703 posts
1159 upvotes
Richmond Hill

Fedex as bad as UPS?

I know if someone ship you items from US via UPS, they rip you off very badly.
But recently I got a package via Fedex, and I think they are almost as bad as UPS.

It is a US$ items. I am 100% sure if ship USPS there will be no tax.
However, Fedex seem purposely to CBSA to tax me, when i receive the package I didn;t get the bill.
It is 1 week later, I receive an invoice from FedEx as follow, remember it is US$20 item:

Canada HST: $3.42
HST Advancement fee: $10
Fedex service fee: $10
HST on Service Fee: $2.6
----------------------------------
Total: $26.02

What a rip off!!! :evil:

So they charge me $10 for they paid $3.42 on my behalf??
11 replies
[OP]
Deal Addict
Jan 31, 2007
1703 posts
1159 upvotes
Richmond Hill
I think the biggest issue I have is look like when I receive package from USPS or other postal service from oversea, it is CBSA pick out do they want to tax me. Which is find by me.
I get pick if I am un-lucky, and I pay my tax.

For Fedex and UPS, it almost seem like they take my package to CBSA and said "Tax this", so they can charge me rip off service fees.
Member
Apr 9, 2008
459 posts
168 upvotes
Bby
If you make yourself an account at Fedex.com and add a credit card, Fedex will waive the $10 service fee on shipments coming to Canada from the USA
Deal Addict
Jan 21, 2014
1132 posts
496 upvotes
liquidnails wrote:
Nov 5th, 2015 1:31 pm
If you make yourself an account at Fedex.com and add a credit card, Fedex will waive the $10 service fee on shipments coming to Canada from the USA
Don't quote me on this but I believe that you can do something similar w/ UPS.
[OP]
Deal Addict
Jan 31, 2007
1703 posts
1159 upvotes
Richmond Hill
Oh really. well, i learn something new. Let me do that for future shippment
Deal Addict
Oct 13, 2014
1628 posts
930 upvotes
Just Moved To Somewh…
Good to be home again :-).

You might want to peruse the requirements that are set by Canada Post when they deal with an import:
https://www.canadapost.ca/tools/pg/manu ... toms-e.asp

Specifically:"A handling fee of $9.95CDN per dutiable or taxable mail item is applied. This fee is in line with the government’s efforts to help recover costs from those who benefit from services, and is similar to arrangements in the United States and other countries."

Additionally there is presently a class action in Ontario against UPS regarding import "service fees", they judge did rule that UPS is violating the Consumer Protection Act of Ontario.

http://business.financialpost.com/legal ... ction-case

I have had this happen to me, I sent a cheque to the brokerage with the HST and their handling fee ($10.00), quoting the agreement between the Government and Canada Post. I specifically endorsed both the front and back of the cheque indicating that the cashing of the cheque constitutes payment in full, making sure to include all invoice numbers and account numbers. I would not pay their HST advancement fee or the HST for their service as that was paid for via the original shipping fee. Nothing ever came of it.
Deal Addict
Jan 19, 2006
4122 posts
739 upvotes
Vancouver, BC
liquidnails wrote:
Nov 5th, 2015 1:31 pm
If you make yourself an account at Fedex.com and add a credit card, Fedex will waive the $10 service fee on shipments coming to Canada from the USA
That is correct, but the FedEx Ground service doesn't always work as well as the other services... I was charged even when I had the account set up. I called back to get it straightened out.
rcmpvet wrote:
Nov 5th, 2015 2:03 pm
I have had this happen to me, I sent a cheque to the brokerage with the HST and their handling fee ($10.00), quoting the agreement between the Government and Canada Post. I specifically endorsed both the front and back of the cheque indicating that the cashing of the cheque constitutes payment in full, making sure to include all invoice numbers and account numbers. I would not pay their HST advancement fee or the HST for their service as that was paid for via the original shipping fee. Nothing ever came of it.
I wouldn't trust this method to work all the time, if at all.
Deal Expert
Aug 22, 2006
21617 posts
7519 upvotes
cheapshopper wrote:
Nov 5th, 2015 8:31 am
It is a US$ items. I am 100% sure if ship USPS there will be no tax.
I'm 100% sure you're wrong.
I get taxed by USPS/CP all the time.
Deal Guru
User avatar
Oct 14, 2003
14224 posts
1089 upvotes
cheapshopper wrote:
Nov 5th, 2015 1:29 pm
For Fedex and UPS, it almost seem like they take my package to CBSA and said "Tax this", so they can charge me rip off service fees.
Because they are required to. Always calculate any taxes/brokerage/duty when ordering from out of country. Then if you are taxed, then you already figured that into the cost of the item, if you're not, it's a bonus.

Honestly for somebody that has been on this site for 8 years you should know this.
Science
is the new
rock 'n'
roll.
[OP]
Deal Addict
Jan 31, 2007
1703 posts
1159 upvotes
Richmond Hill
I get tons of shippment from USPS, only got tax once for a $200 items. All small value items never got tax.
The $200 item that I get tax, i am ok, i expect to pay tax anyway.

My biggest issue is not the Tax, the tax itself is totally fine.
It is they charge me $20+HST for the $3.42 tax

For the tax itself I am 100% ok, whatever the tax rate is.
But seem like what they done is they WANT to me to pay tax, even for like $0.5, so they can charge me $20.

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