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Kiwicrusaders
06-09-2014, 07:16
I recently purchased some tobacco from an online retailer and am waiting for it to be delivered to a friend in Chicago (who is going to be bring it to me when they visit me in New Zealand). When reviewing the internet sites FAQ...I cam across this....

My Tax Authority (customs etc) is sticking me with a bill. What do I do?

A: As stated when you placed your order, it is the customer's responsibility to be aware of and pay for any taxes or duty that is due on their order. Smokingpipes.com cannot and will not be liable for any taxes or duty. If you refuse delivery of the package, and would like a refund, the package must be sent back to us at your expense if the courier or postal service assesses return fees. If you refuse to do so and the package has to be abandoned you will not be eligible for a refund.

I was just curious how often those purchasing over the internet get stung in the US for tax when purchasing off a US online retailer (ie the tobacco is being delivered to an address in the US) and how much this is, just want to give my friend a heads up and make sure they have enough cash (tax on tobacco is well over 600% of the value where I'm from) ... So just want to check.

King T
06-09-2014, 07:23
If the IRS does an audit is the most likely way they will ever know. And even that is so slim. I have not yet heard of anyone getting in trouble with the law for the spoken offense. It is more on an honor system. When we pay our taxes every year one is supposed to report expenditures over the internet that were imported into the state.

St. Bernhardt
06-09-2014, 07:34
I've been feed by customs a couple of times when they held back pipes bought on eBay... including taxes and fees it's typically a whopping 38 % on top of the paid price!

Kiwicrusaders
06-09-2014, 07:47
We'll theoretically then... Given I'm the purchaser and it's being delivered to a non US citizen, there is no issue then. I'm vaguely optimistic.

morty58
06-09-2014, 11:22
I have been nailed a few times myself by Customs here in Canada.

_Pruss_
06-09-2014, 13:28
Roger, it is my understanding that you will pay whatever State and Federal taxes are levied on tobacco based on the laws governing same in the location of your online vendor of choice.

I live in Canada, and order tobacco online, but do so in small quantities so as to minimize the chance that my package will be intercepted by our Customs and Revenue folks. I also only order as much tobacco as I can afford, under the assumption that it will be intercepted and I will be required to pay taxes and duty on the order. My experience has been similar to others, in that some of my purchases are flagged, while others are not.

As I understand it, New Zealand has some punitive tobacco taxes and import duties, as a result I think you may be in a similar situation as I am... in that even if every online tobacco order got flagged and had taxes and duties charged on it, the cost of that tobacco would still be lower than the street retail price of a local B&M.

Good luck with your order, and let us know how you do.

By the way, I travel to NZ about once every three years to visit family. I'll let you know when I'm coming down next and see if I can't pull a small care package together for you.

-- Pat

morty58
06-09-2014, 13:57
Roger, it is my understanding that you will pay whatever State and Federal taxes are levied on tobacco based on the laws governing same in the location of your online vendor of choice.

I live in Canada, and order tobacco online, but do so in small quantities so as to minimize the chance that my package will be intercepted by our Customs and Revenue folks. I also only order as much tobacco as I can afford, under the assumption that it will be intercepted and I will be required to pay taxes and duty on the order. My experience has been similar to others, in that some of my purchases are flagged, while others are not.

As I understand it, New Zealand has some punitive tobacco taxes and import duties, as a result I think you may be in a similar situation as I am... in that even if every online tobacco order got flagged and had taxes and duties charged on it, the cost of that tobacco would still be lower than the street retail price of a local B&M.

Good luck with your order, and let us know how you do.

By the way, I travel to NZ about once every three years to visit family. I'll let you know when I'm coming down next and see if I can't pull a small care package together for you.

-- Pat
+1

Kiwicrusaders
06-10-2014, 07:07
You are a CHAMPION and will definitely take u up on that. Will get you whatever you are after as well as a 'thank you' for helping a brother out !

Mr. Motoyoshi
06-23-2014, 02:47
I've had my fair share of battles with the boys down in the Kawasaki customs office. :war2:

One time I ordered a custom Anthony Machelli pipe and he threw in some tobacco (that I didn't ask for) and when they opened the package, they called me. They said the tobacco wasn't on the shipping description and they wanted to know how much it was because I would have to pay for it. I said he could weigh the tobacco by taking it outside of the baggie and charge me for that. He said it was "dirty" to touch and he wouldn't take it out of the bag and needed to know the weight. I told them to throw it out and just send the pipe...They sent the pipe, with the tobacco at no extra charge :yes:

I have found that smokingpipes is the best for international shipments to Japan using the Super Saver International. It takes about three weeks and there is no tracking, but not once have I paid taxes on a haul using that shipping method. It appears it goes to Belgium first (which may be more lenient on tobacco importation) and then it comes to Japan. What I think happens is that if it clears one port of customs with no issues, it enters Japan alright. I don't know if it will be the same for NZ but it may be worth a small test order.

HCraven
06-23-2014, 03:40
If the IRS does an audit is the most likely way they will ever know. And even that is so slim. I have not yet heard of anyone getting in trouble with the law for the spoken offense. It is more on an honor system. When we pay our taxes every year one is supposed to report expenditures over the internet that were imported into the state.

Even the IRS doesn't have jurisdiction over the sales and tobacco taxes levied by the individual states. Federal tobacco taxes are paid before the tobacco is sold to the consumer, and it used to be a widely held principle that states could not hold the seller responsible for payment of their taxes on items sold across state lines, pursuant to the Interstate Commerce Clause of the Constitution. The consumer was still responsible to report and pay taxes on these purchases, but few people ever did given the lack of any paper trail to which the states were privy. Enforcement of those tax codes is the bailiwick of each state's revenue department, though, not the (federal) IRS.

In your case no additional tax would be added to the purchase price or collected on arrival for tobacco shipped from Smoking Pipes (in South Carolina) to Chicago (Illinois), although again, your buddy might be wise to report it and pay tax to stay on the right side of the law.

Recent increases in interstate sales due to the explosion of Internet retail sites have sparked the states to cry foul though, mainly because of lost sales tax revenue. My home state of Indiana successfully began forcing Amazon.com to charge our sales tax to Indiana residents this year, for instance, although I'm not sure what argument they offered to get past the general prohibition of the ICC. Other states have banned interstate tobacco sales completely, notably Maryland and the State of Washington, sometimes citing concern over circumvention of age restrictions for its purchase (cough...bullshit...cough...it's the money...cough cough cough).

jarrod248
02-20-2016, 12:08
Old thread but I've had some delivered from Israel no dramas.


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allyby
02-20-2016, 13:02
Beware! I just got some confiscated from Germany.

Brooklin Bill
02-20-2016, 13:03
I've had it both ways but most of the time fortunately without duties. It seems to depend on the shipper as well. UPS has a government contract to collect tax as well as deliver. I have ordered pipes from Europe. Grandi's from Italy have cost me up to $25 depending on the cost of the pipe (UPS). None of the three meers ordered from Turkey by parcel post cost me duty. I have had the post office charge me a few rare times if carried by US Mail to Canada.

It also depends on how the merchant marks the declaration package attached to the parcel. Pipe fill from one e-tailer seems to work nicely. I've had only one order pinched.

But the majority of times I have paid no duty.

jarrod248
02-28-2016, 08:06
Beware! I just got some confiscated from Germany.

I think they can demand the UK duty but that's it I think. They don't send the item they send a slip saying how much you owe. I bought some silver from Guernsey and wondered if I'd avoid duty but I didn't.


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jarrod248
02-28-2016, 08:08
I've had it both ways but most of the time fortunately without duties. It seems to depend on the shipper as well. UPS has a government contract to collect tax as well as deliver. I have ordered pipes from Europe. Grandi's from Italy have cost me up to $25 depending on the cost of the pipe (UPS). None of the three meers ordered from Turkey by parcel post cost me duty. I have had the post office charge me a few rare times if carried by US Mail to Canada.

It also depends on how the merchant marks the declaration package attached to the parcel. Pipe fill from one e-tailer seems to work nicely. I've had only one order pinched.

But the majority of times I have paid no duty.

The stuff from Israel came with handwritten labels, looked like a two year old had wrapped them expect it didn't raise an eye.


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craigmillar
02-28-2016, 10:10
Remember folks the only two things you can be certain of in this life are you will die and you will pay taxes.

jarrod248
02-28-2016, 10:33
Remember folks the only two things you can be certain of in this life are you will die and you will pay taxes.

I'd rather pay tax in Luxembourg than home in the UK
http://uploads.tapatalk-cdn.com/20160228/0a9ccba04f1a2c44a672252934d96aa2.jpg
http://uploads.tapatalk-cdn.com/20160228/3d788eee82c0af5214d7595b86ed4265.jpg


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Brooklin Bill
02-28-2016, 20:40
Great News for US Citizens .............................Toronto Star Sat 2/27

Americans are now allowed to spend more than 40 times as much as their northern neighbours without paying duty on products shipped from abroad as a result of a new law.

Last week President Barack Obama signed a bill vastly expanding the duty-free exemption for products imported by mail the new $800 US limit quadruples the previous amount, which was already multiple times higher than Canada's $20 Cdn exemption.

im2for1
02-28-2016, 21:03
Normally a website that is set up CORRECTLY would charge the sales tax for the State the business resides in. Any resident that lives in that State would pay sales tax on any taxable item ordered. Non-residents do not pay.
There is a gray area that is basically ignored by most online businesses that they are supposed to charge sales tax for any and all orders and then report it to the appropriate State(s). However, there are so many variances in sales tax throughout all the States, that it is impossible to collect the correct tax and it's a huge pain in the ass to report it. So since e-tailors can put the responsibility on the consumer to report the sales tax to their State when they do their yearly taxes, most e-tailors go that route.

For years now, there has been movement to make a universal internet tax that would require a set sales tax on all sales. But it's been in limbo because States can't agree on the % of tax and how/who to report it too.

NOTHING I said above has anything to do with collecting "customs". That's a whole other story.

Liz

RP McMurphy
02-28-2016, 21:13
Great News for US Citizens .............................Toronto Star Sat 2/27

Americans are now allowed to spend more than 40 times as much as their northern neighbours without paying duty on products shipped from abroad as a result of a new law.

Last week President Barack Obama signed a bill vastly expanding the duty-free exemption for products imported by mail the new $800 US limit quadruples the previous amount, which was already multiple times higher than Canada's $20 Cdn exemption.

Hey Bill, That's GREAT!............................................ ...............Now all I need is money:rolleyes: