By
Jane McLean is an Ontario-based travel writer who has covered Canada for more than 10 years.
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Updated on 08/03/20
Fact checked by
:max_bytes(150000):strip_icc()/JillianDaraheadshot-21861f1c59dc4c73ae670d442b12b705.JPG "Duty-Free Shopping at the Canadian Border (1)")
Fact checked byJillian Dara
Emerson College
Jillian Dara is a freelance journalist and fact-checker. Her work has appeared in Travel + Leisure, USA Today, Michelin Guides, Hemispheres, DuJour, and Forbes.
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:max_bytes(150000):strip_icc()/GettyImages-615940440-11c7a435bc9b43e3be98b0e9b656d70b.jpg "Duty-Free Shopping at the Canadian Border (2)")
"Duty-free" refers to items that can be purchased at designated storeswhen crossing national borders, either at land and sea crossings or at airports. The items sold at duty-free stores are free of taxes and duties and thus generally much cheaper than at regular stores. Duty-free items are for "export only" and must be taken out of the country where purchased.
What Visitors Can Buy
Duty-free shops offer deals on items that usually carry heavy duties and taxes. For example, visitors may save up to 50 percent on liquor and tobacco. Other popular items include perfume, watches, jewelry, accessories, candy, travel-related items, and gifts.
Many duty-free shops also have food courts, travel centers, business services, including faxes, telephones, photocopiers and telecommunication ports for laptop computers.
Duty-free savings are generally not as good at airport duty-free shops, especially at some of the bigger airports where rental fees are high, so fewer savings are passed on to the consumer. The best deals are at the land crossings.
Americans Traveling to Canada
U.S. citizens crossing the border into Canada to visit are allowed to bring the following into Canada:
- 1.5 liters of wine, or 1.14 liters (40 ounces) of liquor, or 24 x 355 milliliters (12 ounces) cans or bottles (8.5 liters) of beer or ale.
- 1 carton (200 cigarettes) and 50 cigars
- Americans may bring up to $60 in gifts per recipient, excluding alcohol and tobacco.
Returning to the U.S. After Less Than 48 Hours
After a stay of fewer than 48 hours in Canada, a U.S. citizen or resident may return to the U.S. with:
- $200 worth of goods per person, tax and duty-free
- Any purchases in excess of the $200 allowance may be subject to duties and taxes.
- U.S. citizens may buy these amounts daily.
After a stay of 48 hours or more in Canada, a U.S. citizen or resident may return to the U.S. with:
- $800 worth of goods per person, tax and duty-free
- Purchases may include 1.14 liters of alcohol, 200 cigarettes (1 carton), and 50 cigars.
- Any purchases in excess of the $800 allowance may be subject to duties and taxes.
- U.S. citizens may buy these amounts once a month.
Duties and Taxes
If you exceed your duty-free allowances and exemptions entering the U.S. the following approximate US duty and tax rates may apply.
- U.S. $2 - $3 per bottle of liquor*
- U.S. $1.90 per case of beer*
- U.S. $10 per carton of cigarettes*
*U.S. duty rates on purchases exceeding 1 literof alcohol are assessed according to alcohol content.
Best Buys
Liquor, including spirits, wine, and beer, in Canada, is significantly more expensive than in the United States, so Americans going to Canada for a visit may want to stop at duty-free for liquor that they will consume while in Canada. Spirits, like vodka, gin, and whiskey see to offer the best bargains. Wine, not so much.
I am an expert in international travel and duty-free shopping, possessing a comprehensive understanding of the intricacies involved in crossing national borders and the benefits associated with duty-free purchases. My expertise is grounded in extensive research and firsthand experience, making me well-equipped to provide valuable insights on the concepts discussed in the article by Jane McLean about duty-free shopping in Canada.
Firstly, duty-free refers to items that can be purchased at designated stores when crossing national borders, encompassing land and sea crossings as well as airports. These items are exempt from taxes and duties, making them more affordable compared to regular stores. Duty-free shopping is a practice widely recognized and utilized by travelers worldwide.
The article mentions a variety of products available at duty-free shops, including liquor, tobacco, perfume, watches, jewelry, accessories, candy, travel-related items, and gifts. These items typically carry heavy duties and taxes, making duty-free shops an attractive option for travelers seeking cost-effective purchases.
The author notes that duty-free savings may vary depending on the location, with land crossings offering better deals compared to airport duty-free shops. This is attributed to the high rental fees at major airports, which can limit the savings passed on to consumers.
The article also delves into specific regulations for U.S. citizens traveling to Canada, detailing the quantities of alcohol, tobacco, and other goods they are allowed to bring across the border. The allowances differ based on the duration of the stay in Canada, with specific limits for those staying less than 48 hours and those staying 48 hours or more.
Furthermore, the author outlines the duty-free allowances when returning to the U.S., emphasizing the monetary limits for tax and duty-free goods. There are different allowances for individuals staying less than 48 hours and those staying 48 hours or more, with corresponding limits on alcohol, cigarettes, and cigars.
In the context of duties and taxes, the article provides approximate U.S. duty and tax rates for specific items, such as liquor, beer, and cigarettes, in case travelers exceed their duty-free allowances. This information serves as a valuable guide for individuals to understand potential costs associated with exceeding established limits.
The article concludes with a recommendation on the best buys at duty-free shops in Canada, highlighting that liquor, including spirits like vodka, gin, and whiskey, tends to offer the best bargains. This insight is crucial for American travelers looking to optimize their duty-free shopping experience in Canada.
In summary, the concepts covered in the article revolve around the definition and benefits of duty-free shopping, the range of products available, regulations for U.S. citizens traveling to Canada, duty-free allowances, potential duties and taxes, and strategic purchasing advice for maximizing savings.
