Thread: eBay dispute

Hey guys,
I'm in the middle of a dispute on eBay right now, I think I'm in the right but perhaps some of you experts can give your insight. I bought a dremel (NOS) for razor restoration and the final sale price was $15.49. The item arrives via UPS (I live in Canada, item was shipped from US) with a brokerage fee for $40! I refuse to pay it on the spot and UPS puts the item "on hold" so I can work out the following mistake: Turns out the seller valued the item at $50USD! I've emailed the seller to ask them to revalue the item and redo the commercial invoice, and he/she responded by saying: A) that they didn't think they were allowed to do that, B) That I know very well the item is worth more than the selling price, and C) that if I'm not satisfied just to send back the item.

I emailed back saying that the final sale price on eBay is what the customs value should be, and that they are indeed allowed to revalue the item accordingly.

Who's right??

Canadian Customs should use the actualy sale price if merchandise and they will often use fair market value if declared as a gift. Be aware there are duties (a fee based on package value) and brokerage fees ( a charge for some service to process your item and/or paperwork through customs)

Your bigger issue and one you probably cnnot avoid is the fact that the fee is likely the UPS brokerage fee, not duties which has nothing to do with customs or package value. At any declared value, it must be cleared through customs. UPS charges a fee which was at least $20 many years ago and could well be $40 now. I never buy or sell internationall when UPS is invoiced. On USPS shipments there is a $1200 value, below which it is automatically cleared but duties must be paid if a dutiable item.

I don't know, but its a good question. (is duty payable on cost or value of goods)
you could call your local customs and excise office I bet they will know


Although one could argue that the cost is the real value, not the RRP

OK thanks for the insight, Tony.
The UPS rep I spoke to on the phone told me that the brokerage fee is on a sliding scale depending on the declared value of the item, and the rep suggested having the shipper redo the commercial invoice. I hope that will work, otherwise I may send it back and have them ship USPS...

Edit: thanks heliguy

Always request USPS whenyou order from the states. Usually they'll comply. Provide a copy of the eBay invoice to UPS and get a written statement from UPS for redoing the claim and forward that to the seller. Informing him of your intention to have him resend it via USPS may encourage him to do the easier thing, but it also may give him a chip on his shoulder. Good luck!

X

Thanks, xman. I'll give that a shot if he doesn't comply this time!

Duty is always based on the declared value of an item but that assumes the declared value is a fair representation of the actual value of an item. If the package is selected for audit by Customs and when they open it they figure out the ten bucks you declare is a fraction of the cost it will be put in the bin with problem items and sit there until they either contact you to resolve the issue or have an import specialist figure out the true value. Depending on the outcome you could be looking at a substantial delay as well as adminstrative sanctions.

I say this as a retired ICE Agent.

Hands down, the USPS's GPM is the way to go when shipping to another country and the Postal Service of any country is the way to go for shipping to the US. There are countries in Latin America where this does not apply, but European countries provide excellent service. I have shipped and received pipes and razors from all over the world and never have had to pay duty. And since the Postal Services were used, there have been no brokreage fees. Atkinson's in Vancouver Canada recently shipped me over $600.00 worth of stuff and I paid $0.00 for duty! Of course, they used the Canadian Postal Service.

Originally Posted by thebigspendur

Duty is always based on the declared value of an item but that assumes the declared value is a fair representation of the actual value of an item. If the package is selected for audit by Customs and when they open it they figure out the ten bucks you declare is a fraction of the cost it will be put in the bin with problem items and sit there until they either contact you to resolve the issue or have an import specialist figure out the true value. Depending on the outcome you could be looking at a substantial delay as well as adminstrative sanctions.

I say this as a retired ICE Agent.

This is why, as a business, I refuse to declare anything less than actual value or to falsly declare as a "gift" when sending Internationally. I get asked to on 50% of my requests and have even lost a few sales because I refused.

Tony