How to Calculate New CBSA Charges

Here's the formula used to get the following values:

Surtax= VFD*25%

VFT= VFD+Surtax+Duty

Tax= VFT*5% or 13%

_{VFD - Value for Duty}

_{VFT - Value for Tax}

SCENARIO A: If a client (Personal Account) in Ontario is importing a T-shirt worth $150 CAD, manufactured in the US/Canada/Mexico.

Surtax :$150(item value)*25%(additional tariff)= $37.5

Duty(18%): $0 (since the product falls under CUSMA)

Value for Tax(VFT): $150(item value)+$37.5(surtax)+$0(Duty) = $187.5

Tax: $187.5(VFT)*13% HST = 24.375

CBSA TAX: $37.5(Surtax)+$24.375(Tax)

CBSA DUTY: $0

TOTAL CBSA CHARGES: $61.875

SCENARIO B:  If a client (Personal Account) in Ontario is importing a T-shirt worth $150 CAD, NOT manufactured in the US/Canada/Mexico.

Surtax: $0

Duty (18%): $27

Value for Tax (VFT): $150(item value) +$0(surtax)+$27(Duty) = $177

Tax: $177(VFT)*13% HST = $23.01

CBSA TAX: $0(Surtax)+$23.01(Tax)

CBSA DUTY: $27

TOTAL CBSA CHARGES: $50.01

SCENARIO C: If a client (Business Account) in Ontario is importing a T-shirt worth $150 CAD, manufactured in the US/Canada/Mexico.

Surtax: $150(item value)*25%(additional tariff)= $37.5

Duty (18%): $0 (since the product falls under CUSMA)

Value for Tax (VFT): $150(item value)+$37.5(surtax)+$0(Duty) = $187.5

Tax: $187.5(VFT)*5% GST = $9.375

CBSA TAX: $37.5(Surtax)+$9.375(Tax)

CBSA DUTY: $0

TOTAL CBSA CHARGES: $46.875

SCENARIO D: If a client (Business Account) in Ontario is importing a T-shirt worth $150 CAD, NOT manufactured in the US/Canada/Mexico.

Surtax: $0

Duty (18%): $27

Value for Tax (VFT): $150(item value)+$0(surtax)+$27(Duty) = $177

Tax: $177(VFT)*5% GST = $8.85

CBSA TAX: $0(Surtax)+$8.85(Tax)

CBSA DUTY: $27

TOTAL CBSA CHARGES: $35.85