Unfortunately, many owners or employee of several companies today do fail to see some pitfalls they could have avoided, they ask their customs broker to clear their own imports making use of the company’s commercial import account. Although it less stressful to get goods cleared under an established account rather than the other option. Today I will bring to your attention some snags risk involvedinusing your company’s name.
These four reasons will let you understand why we don’t recommend clearing a personal import as commercial goods.
#1:Provincial Sales Tax (PST) Will Be Evaluated
This is often ignored or overlooked.If a commercial import is cleared under the name of a company, the business will have to self-assess the PST. However, if the consignment is cleared rightly as an individual import, PST is assessed during the time of importation excluding goods that calls for registration, such as Vehicles.
#2. The Import Is Recorded Under the Company’s Business Import Number
This implies that the company is liable for all audits, Administrative Monetary Penalty System (AMPS) or any other queries from the government agencies in the space of 6 years.
#3:Personal Imports Are Free from Certain Requirements
Personal imports are free from certain requirements that commercial importations are needed to meet. One example is the requirement for North America Free Trade Agreement (NAFTA) certificates. NAFTA tariff treatments can be applied for by Personal use goods importation without a completed NAFTA statement. (to lessen the payable duty)
#4. The Company Has No Need For The Shipment Financially
Generally, a company or individual is obligated to either be the buyer or the seller of the goods, this is to act as the importer of Record (IOR) for a shipment.
There are 2 clearance options for importers of personal use items.
- Items that are being shipped to the buyers, i.e kinds of stuff ordered from online shopping, these items self-clear at the customs office usually nearest to them. However, this option can attract additional charges from the company that deals with the transportation for bonding the load.
- However, one can hire a customs broker to take care of everything on behalf of the importer. Clearit USA customs consulting will complete the customs declaration and will make sure all import requirements are met and further avert any more delays. The shipment will clear custom electronically and get delivered immediately after it has crossed the border.
In order to guarantee that your import is entered into the USA complying with all regulations, it is important you clear your shipment correctly as a personal import.