Canadian crossing the border idea

[rich2012]

So I thought of a plan and wanted to know if anyone else has done the same or similar in the past.

I live in Ontario Canada and I'm just over 1 hours drive from Niagara Falls NY. What if I took my girlfriend on a holiday in Niagara Falls NY and proposed to her on the NY side. At the same time, I'd have James Allen / Whiteflash (still deciding) overnight deliver the diamond engagement ring to the hotel we're at in Niagara Falls NY.

This way, I could save the HST and use that money to pay for the 2-3 day vacation. For every $10k of ring cost, I save $1.3k in HST.

What are the taxes I'd have to pay on the U.S. side? Thoughts? Other concerns?

Thanks in advance for any advice.

 

[Karl_K]

Talking about smuggling and tax evasion on an open board is a very bad idea.
Stay legal is the best advise anyone can give you.

 

[maccers]

I would call Customs Canada and get clarification about when NAFTA comes into play and when it doesn't.

I'm in Alberta and it's cheaper and safer for us to get our diamond mailed to us from Seattle (insured) than to go down to Seattle and then declare it at the border. But that's just for the diamond, I'm not sure about settings.

ETA: However, in Alberta, we're at a bit of an advantage because we only pay GST (no HST).

 

[phtp]

So I thought of a plan and wanted to know if anyone else has done the same or similar in the past.

I live in Ontario Canada and I'm just over 1 hours drive from Niagara Falls NY. What if I took my girlfriend on a holiday in Niagara Falls NY and proposed to her on the NY side. At the same time, I'd have James Allen / Whiteflash (still deciding) overnight deliver the diamond engagement ring to the hotel we're at in Niagara Falls NY.

This way, I could save the HST and use that money to pay for the 2-3 day vacation. For every $10k of ring cost, I save $1.3k in HST.

What are the taxes I'd have to pay on the U.S. side? Thoughts? Other concerns?

Thanks in advance for any advice.

You're only allowed to bring back 800 bucks after 48 hrs. I would not recommend avoiding the taxes, they have all the right to keep the ring, fine you and flag you in the future.

 

[Christina...]

My brother lives in the US and was proposing to his gf in Canada, he purchased the ring in the States but was told at the border that he had to pay duty on the ring because it was being left in Canada.

 

[GemFever]

This is so interesting... so if I were to move to Canada, would I have to pay duties on all the jewelry I'd be bringing with me? Or is this a special diamond thing? Or only for new purchases?

Sorry to threadjack.

 

[Karl_K]

This is so interesting... so if I were to move to Canada, would I have to pay duties on all the jewelry I'd be bringing with me? Or is this a special diamond thing? Or only for new purchases?

Sorry to threadjack.

Only for new purchases.
If you moved to Canada you can bring personal property with you.
Once you moved there any new purchase you would have to pay the tax.

 

[canuk-gal]

Hi:

The only taxes that are paid on new purchases are : GST (Federal), and in addition certain Provinces have, well, Provincial taxes.. "Duty" or the old excise tax is long gone.

Going across the border to obtain items and not declaring them on your return, is tax evasion. Kinda like cheating. If you get caught, then you have, well, a, problem.

cheers--Sharon

 

[GemFever]

Thanks for the clarification Karl.

Rich... best of luck with your engagement!

 

[janlwf]

I look at it like this...I would have to pay taxes if I bought it in Ottawa so why not pay taxes on lower priced, much better quality piece of ewellery that doesn't have an artificial, inflated price.

 

[Paxonator]

Yeah not sure on trying to get it back into Canada without telling them about the purchase. I don't know what they have access to at the borders in terms of seeing money transactions. I would imagine if they found out somehow you'd be in for an interesting "search" at the border.