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purchase a new machine from USA distributor

king_pin

New Member
Dec 15, 2019
26
4
3
ottawa
Hey guys! Wanted to know if anyone has purchased NIB from a USA distributor? Have them ship somewhere to the border possibly. Curious how tax works in this case. Pay USA tax on purchase and then pay HST on import? Any experience doing this I'd love to hear it.
 

pinballjah

Active Member
Jan 25, 2017
680
111
43
Toronto
Haven't done it but you will have to pay 13% tax at the border if bringing it into Ontario. There is an option to bring it in through another province and pay less provincial sales tax. I was told it would only be 5% tax if you bring it into an address in Alberta, as an example. The problem is you would need to find someone to take delivery of the game and then have it shipped from Alberta to Ontario. Likely the game would be fully insured from the distributor to Alberta, but there would be no insurance from Alberta to Ontario. So is it worth taking a chance on the game getting damaged with no recourse for a few hundred?

You could bring it into Ontario at 5% tax if you are registered for HST as a business but in theory you would have to charge and remit 13% tax when you sell the game.

Be interested to hear what others have done.
 
Mar 27, 2021
40
9
8
47
Barrie, ON
I have imported a few of them in the past few months, (and tens of millions of dollars of stuff over the past 13+ years). Taxes depend on the state that it is sold and the state it is being shipped too (if you are shipping it to another state.) You can get a commercial exemption in some states as long as your are exporting it out of the country for commercial purposes/ resale, have a related commercial business in Canada and are registered to import into Canada with that business. Regardless, HST is due if importing into Ontario, unless you are importing commercially, then it is just GST. If you have them ship direct, you are looking at HST/ GST and add another $100-ish for brokerage. (I clear my own stuff, so I don't pay brokerage.) There is no duty on Pinball machines or parts.
 

luch

Well-Known Member
Nov 18, 2012
3,137
497
83
Newmarket
www.topl.ca
I have imported a few of them in the past few months, (and tens of millions of dollars of stuff over the past 13+ years). Taxes depend on the state that it is sold and the state it is being shipped too (if you are shipping it to another state.) You can get a commercial exemption in some states as long as your are exporting it out of the country for commercial purposes/ resale, have a related commercial business in Canada and are registered to import into Canada with that business. Regardless, HST is due if importing into Ontario, unless you are importing commercially, then it is just GST. If you have them ship direct, you are looking at HST/ GST and add another $100-ish for brokerage. (I clear my own stuff, so I don't pay brokerage.) There is no duty on Pinball machines or parts.
sounds about right
 

king_pin

New Member
Dec 15, 2019
26
4
3
ottawa
So let's say I buy a game at a show in the states. I would pay tax for whatever the state tax is. Then, when I import the game into Canada I'd pay 13% to import? So crappy part is that as a consumer, I'd have to pay both taxes.
 
Mar 27, 2021
40
9
8
47
Barrie, ON
So let's say I buy a game at a show in the states. I would pay tax for whatever the state tax is. Then, when I import the game into Canada I'd pay 13% to import? So crappy part is that as a consumer, I'd have to pay both taxes.
Yes, as a "consumer". However, I believe with some states you can apply for a state tax reimbursement if you are exporting and a non-US resident. I looked into it a VERY long time ago and got the form, but I remember it seemed like a huge hassle and not worth the time for the amount that the tax was.
 
Mar 27, 2021
40
9
8
47
Barrie, ON
So let's say I buy a game at a show in the states. I would pay tax for whatever the state tax is. Then, when I import the game into Canada I'd pay 13% to import? So crappy part is that as a consumer, I'd have to pay both taxes.
Or, the vendor selling you the pin could show your address in Canada on the invoice and not charge you state tax. If he was audited though, he would have to show that the product shipped...