Avoiding Brokerage Fees

Due to the Canada Post strike we are currently shipping to Canada using UPS, which has introduced us to the world of brokerage fees, some of which can be really steep!

Parcels over $40 are subject to brokerage fees, which UPS charges on top of the usual customs fees for the service of handling customs clearance for your packages. This is all very new to us, but based on our research, it looks like there is a way of avoiding these fees, though it does take some extra effort, as well as the ability to go to your local customs office in person and access to a scanner (your local library might be able to help!).

If you think you'd like to try this route, this appears to be the way to do it:

1. UPS with either contact you before delivery, or they will show up to deliver your package. At that time you need to refuse to allow them to act as your broker. This means that if they are already at your door with the package, they will have to take it away again.
2. Contact UPS and let them know that you are going to clear customs yourself. You will need the customs form for your order, and the shipment manifest. Unfortunately these documents must be obtained from UPS, who may be reluctant to send them to you, or tell you that they don't do that. Be persistent!
3. Take these forms to your local Canada Border Services Agency (inland offices).
4. Pay any taxes and duties due on your order. They will stamp your forms and give you an additional form showing that these have been paid.
5. Scan your forms and email them to UPS, showing that you have already paid your fees.
6. Now UPS will deliver your package, without any need to pay brokerage fees.

 These steps are based on this blog post, and correspondence with a customer who went through this process. They found that the entire process took quite a bit of time, so some may find that it is worth it to just pay the fees instead.