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Tax On Imported Hardware


monkfish

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In light of BangkokImages comments above, I went back and reviewed my recent customs duty experiences (I keep a running record of them), and so I should amend/correct my earlier comments above.

My recollections on electronics duties were too high, but too low for shoes and clothing. So at least if going thru USPS, the electronics duties tend to be pretty reasonable.

BTW, BKK, thanks for spurring me to go back and re-examine my recollections.

--For a refurb mobile phone recently delivered by USPS Global Priority, I was charged 7% total. I don't know if/whether that rate would have been different if the phone had been "new."

--For a pair of shoes and insole cushions delivered this spring via USPS Global Priority, I was charged 40% in total on the declared and assessed value.

--For some boxed drinking tea bag packages delivered a year ago, I was charged 84% of my declared value and 40% of their assessed value -- a rare case where for some unknown reason they dutied my package at a different/higher value that its actual cost.

--For some computer accessories and vitamins in the same box a year ago delivered by USPS Global Priority, I was charged 17.5% total, which was broken out as 10% duty and 7.5% tax, on the package's assessed value, which was listed as slightly less than my own declared value.

--For a new PC laptop delivered more than a year ago via USPS Global Priority, I was charged about 6.5% of the package's declared value.

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I have the same demand as the OP on the Quadro display adaptor, and I also don't want to feed the fat dealer here for 'more-then-double' of US pricing. did my homework, below just some numbers for your information :

nVidia Quadro 2000 by PNY

Amazon list price : USD423.xx

Express shipment : USD54.xx

Duty and Tax : USD144.xx

Estimate to be paid : USDØ

Amazon TOTAL : USD621.xx

- - - - - - - - - - - - - - - - - - - - - - -

Thailand retails : THB22,800 ( USD735.xx )

nVidia Quadro 4000 by PNY

Amazon list price : USD787.xx

Express shipment : USD54.xx

Duty and Tax : USD228.xx

Estimation to be paid : USDØ

Amazon TOTAL : USD1,069.xx

- - - - - - - - - - - - - - - - - - - - - - - -

Thailand retails : THB42,800 ( USD1,385.xx )

shipping to Thailand has only priority shipping; shipping to other Asian countries has 2 choices : prioity ( 2 to 4 days ), or expedited ( 11 to 17 days ).

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Yes, what you say is true...

I've never done a U.S. to Thailand "warranty return," but I've heard and I can imagine those might be handled differently...

But my general point is the same, the typical duty and tax to expect on electronics items shipped from the U.S. via USPS global or express to Thailand for a regular "gift" package, in my experience, is in the 20 to 25% range -- unless it's a parcel post shipment that typically will avoid all duty and tax.

I can't speak to the Fed-Ex or DHL approach. The duty and tax alone may be similar...but those services always seem to have a bunch of other added charges they tack on, which brings the overall percentage surcharge even higher.

I've bought three high end computer products (in the 1500-2000USD price range) off Amazon US site over past 2 years and sent them to myself in Thailand by Fedex to multiple addresses. Each time the tax has been 7% of the declared price on the customs invoice inc Fedex mailing fee for computer products. There is none of this 25% range stuff. The 7% is clearly listed on Thai Gov web sites for computer products and can also be verified by Fedex web site, I haven't got links off hand, but Fedex have been very consistent in that regard with me.

As for buying off Amazon in US, they don't ship computers overseas. You need a shipping agent like mentioned earlier in this thread. If you choose one in a duty free state the Amazon price doesn't include any tax either. One draw back of buying this way is warranty usually only is covered in the US. A recent laptop to me costing 1400USD was dead on arrival last month so I shipped it back to Amazon. The added shipping costs (Fedex out of Thailand is double inbound prices) plus getting it shipped back working - in my case a brand new replacement, still was cheaper than buying it in a Thai shopping mall. That is at least when ever I could find one on sale in a mall, as these higher end items don't usually go on the shelves! YMMV.

Edited by Digitalbanana
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Yes, if you'll notice, I corrected my earlier comments in the post just above yours, noting that I had ended up paying about 7% duty on a mobile phone and new laptop shipped from the U.S. -- though other items including clothing were significantly higher.

What you say about the warranties also is correct. When I bought a new mobile phone via Amazon at one point, it came with a "U.S. warranty" and then they had another version with an "international warranty." I wasn't quite sure what the latter meant, so I checked with the manufacturer. They answered that the international warranty, at least in their case, didn't mean coverage in any country other than the U.S., but only in the one country where the phone originated based on its IMEI. So no warranty coverage in Thailand in either instance. (BTW, I also checked with the manufacturer's business here in Thailand, and they said they would service the phone if needed, but not under warranty, just as a pay for service arrangement.)

Nonetheless, one good thing about dealing with Amazon is, in my experience, they're pretty good about handling returns for defective merchandise, as in, dead on arrival. The risk, as you point out, is that the costs of return shipping and insuring a defective electronics item back to the U.S., and then presumably paying once more to ship the replacement item from the U.S. back to Thailand can quickly erase any savings from the original purchase, depending on the valuations involved.

So you just gotta hope they don't send you a lemon... and... buy from vendors who don't have too bad of a reputation for sending sub-standard quality products.

Just as a side note re Amazon... one time recently, I ordered some bulk quantity cooking spices that aren't easy to find here from Amazon and had them shipped here via Shipito... They arrived in perfectly fine condition, but when I opened the package, I found the marked expiration date was coming up very soon.... well before I could possibly even begin to use all that I had received.

So I called Amazon, fearing that they'd say OK, just send the items back to us (expensive....), and we'll send you a different package. (Of course, Amazon didn't know I'm in Thailand, they only knew my U.S. shipping address). But instead of that, after explaining the situation on the phone to them, their answer was, sorry for the inconvenience... You just keep the spices, and we'll just cancel the charge to your credit card. So in the end, they just gave me the spices for free (apart from my shipping costs).

Obviously, electronics items don't have "use by" expiration dates. But it does show you that Amazon is pretty focused on maintaining a good customer experience and trying to make things right.

Edited by TallGuyJohninBKK
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Yes, what you say is true...

I've never done a U.S. to Thailand "warranty return," but I've heard and I can imagine those might be handled differently...

But my general point is the same, the typical duty and tax to expect on electronics items shipped from the U.S. via USPS global or express to Thailand for a regular "gift" package, in my experience, is in the 20 to 25% range -- unless it's a parcel post shipment that typically will avoid all duty and tax.

I can't speak to the Fed-Ex or DHL approach. The duty and tax alone may be similar...but those services always seem to have a bunch of other added charges they tack on, which brings the overall percentage surcharge even higher.

I've bought three high end computer products (in the 1500-2000USD price range) off Amazon US site over past 2 years and sent them to myself in Thailand by Fedex to multiple addresses. Each time the tax has been 7% of the declared price on the customs invoice inc Fedex mailing fee for computer products. There is none of this 25% range stuff. The 7% is clearly listed on Thai Gov web sites for computer products and can also be verified by Fedex web site, I haven't got links off hand, but Fedex have been very consistent in that regard with me.

As for buying off Amazon in US, they don't ship computers overseas. You need a shipping agent like mentioned earlier in this thread. If you choose one in a duty free state the Amazon price doesn't include any tax either. One draw back of buying this way is warranty usually only is covered in the US. A recent laptop to me costing 1400USD was dead on arrival last month so I shipped it back to Amazon. The added shipping costs (Fedex out of Thailand is double inbound prices) plus getting it shipped back working - in my case a brand new replacement, still was cheaper than buying it in a Thai shopping mall. That is at least when ever I could find one on sale in a mall, as these higher end items don't usually go on the shelves! YMMV.

Well thanks if it's just 7% it's a different ball game completely as it is less than the 7.5% VAT I have to pay in Thailand or is 7.5% added on top?

That would change my point of view to the extent that I'll order whole <deleted> lot via Amazon! Including Box!

I am semi happy with the configurations and prices offered here it's just never what I want and I'm really sick to death of hearing not have, not have, not have!

I ask what about order? sorry no can order! just what we have! what if I want Xeon?? mmmm phone call maybe can order wait for price etc.. have to order from US..what no can order cannot order?? Just let me know cos I want to order the whole frigginn lot!!

Anyway the machine will have to last me a couple of years and the2 quad cores I bought of the shelf here a couple of years ago just ain't up to the job.

Even after only 6 months I had to remove the casing and use external fans just to prevent overheating, and that's in an aircon room.

So anyway this gives me room for thought and to order what I want.

I currently use Amazon aws services and have to say very happy! in fact amazing!

As a side note are there any alternatives to aws? that is Amazon Web Services?

Edited by monkfish
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Yes, what you say is true...

I've never done a U.S. to Thailand "warranty return," but I've heard and I can imagine those might be handled differently...

But my general point is the same, the typical duty and tax to expect on electronics items shipped from the U.S. via USPS global or express to Thailand for a regular "gift" package, in my experience, is in the 20 to 25% range -- unless it's a parcel post shipment that typically will avoid all duty and tax.

I can't speak to the Fed-Ex or DHL approach. The duty and tax alone may be similar...but those services always seem to have a bunch of other added charges they tack on, which brings the overall percentage surcharge even higher.

I've bought three high end computer products (in the 1500-2000USD price range) off Amazon US site over past 2 years and sent them to myself in Thailand by Fedex to multiple addresses. Each time the tax has been 7% of the declared price on the customs invoice inc Fedex mailing fee for computer products. There is none of this 25% range stuff. The 7% is clearly listed on Thai Gov web sites for computer products and can also be verified by Fedex web site, I haven't got links off hand, but Fedex have been very consistent in that regard with me.

As for buying off Amazon in US, they don't ship computers overseas. You need a shipping agent like mentioned earlier in this thread. If you choose one in a duty free state the Amazon price doesn't include any tax either. One draw back of buying this way is warranty usually only is covered in the US. A recent laptop to me costing 1400USD was dead on arrival last month so I shipped it back to Amazon. The added shipping costs (Fedex out of Thailand is double inbound prices) plus getting it shipped back working - in my case a brand new replacement, still was cheaper than buying it in a Thai shopping mall. That is at least when ever I could find one on sale in a mall, as these higher end items don't usually go on the shelves! YMMV.

Well thanks if it's just 7% it's a different ball game completely as it is less than the 7.5% VAT I have to pay in Thailand or is 7.5% added on top?

That would change my point of view to the extent that I'll order whole <deleted> lot via Amazon! Including Box!

I am semi happy with the configurations and prices offered here it's just never what I want and I'm really sick to death of hearing not have, not have, not have!

I ask what about order? sorry no can order! just what we have! what if I want Xeon?? mmmm phone call maybe can order wait for price etc.. have to order from US..what no can order cannot order?? Just let me know cos I want to order the whole frigginn lot!!

Anyway the machine will have to last me a couple of years and the2 quad cores I bought of the shelf here a couple of years ago just ain't up to the job.

Even after only 6 months I had to remove the casing and use external fans just to prevent overheating, and that's in an aircon room.

So anyway this gives me room for thought and to order what I want.

I currently use Amazon aws services and have to say very happy! in fact amazing!

As a side note are there any alternatives to aws? that is Amazon Web Services?

a. Depends. I've obtained warranty for a plethora of stuff purchased in the states while in Thailand, and from Thailand bought stuff while in the US. Buy from good companies and BEFORE it breaks email and ask if you can transfer the warranty. This works most of the time. If it breaks and you have done that you'll need to contact the company directly and not try to walk into a Thai dealer for an exchange. This usually works as well.

b. Duty and tax are the same for any shipper, fedex, dhl, USPS, all of them. It's a nationally set amount on both counts.

c. 7% sounds right.

d. This is where my service comes in. I'm building and shipping 2-3 systems a month and everyone seems happy.

e. Yes, Rackspace and others.. but AWS is better/cheaper. At least it's what I use after looking around for a better alternative. Every six months I force myself to take another look just in case..

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a. Depends. I've obtained warranty for a plethora of stuff purchased in the states while in Thailand, and from Thailand bought stuff while in the US. Buy from good companies and BEFORE it breaks email and ask if you can transfer the warranty. This works most of the time. If it breaks and you have done that you'll need to contact the company directly and not try to walk into a Thai dealer for an exchange. This usually works as well.

That's an interesting approach... I wonder what if any success others have had with that kind of request.

In my case, prior to my purchase of a Sony Ericsson mobile phone, I called and talked with the Sony Ericsson U.S. service center. Explained the general plan and situation. Their answer to me was that my phone would have a U.S. warranty and the warranty coverage would only be valid in the U.S. -- and not at any SE shops elsewhere in the world.

At that time, I didn't specifically ask about whether I could transfer the warranty, not knowing of that as a potential route. But I talked to them at length, and they certainly never broached that or any other alternatives.

Now that I've bought the phone and have it in hand... I'll give them another call and see about the transfer idea... But I'm guessing their answer, based on my prior conversation, is going to be NO.

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a. Depends. I've obtained warranty for a plethora of stuff purchased in the states while in Thailand, and from Thailand bought stuff while in the US. Buy from good companies and BEFORE it breaks email and ask if you can transfer the warranty. This works most of the time. If it breaks and you have done that you'll need to contact the company directly and not try to walk into a Thai dealer for an exchange. This usually works as well.

That's an interesting approach... I wonder what if any success others have had with that kind of request.

In my case, prior to my purchase of a Sony Ericsson mobile phone, I called and talked with the Sony Ericsson U.S. service center. Explained the general plan and situation. Their answer to me was that my phone would have a U.S. warranty and the warranty coverage would only be valid in the U.S. -- and not at any SE shops elsewhere in the world.

At that time, I didn't specifically ask about whether I could transfer the warranty, not knowing of that as a potential route. But I talked to them at length, and they certainly never broached that or any other alternatives.

Now that I've bought the phone and have it in hand... I'll give them another call and see about the transfer idea... But I'm guessing their answer, based on my prior conversation, is going to be NO.

Sales clerks don't know all the options. And phones are difference because normally thye're locked to carriers.

I've had good luck with Logitech, Nvidia, ATI, NEC (just transferred the warranty for my LCD2690uxi2's purchased in Thailand to the USA with a single email), Gigabyte, Western digital, Hitachi, Crucial, pcpower and cooling, wait.. it might be easier to say who hasn't transferred my warranty.. let me think.

Ah.. Dell. Dell would only honor the warranty on m Inspiron products in America where I bought them.. but honored my Latitude and Precision Mobile Workstation in Thailand because their "Small Business" series comes with an international Warranty. Camera equipment too.. because of grey marketing they wont' change warranties. You're stuck sending the product to the states. So far Samsung isn't cooperating transferring my warranty for my Thailand to to an America warranty.. but I haven't given up. Sometimes you have to work at it a bit. Computer parts are easy though.

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This may be helpful to others... Back in my early days here, not knowing all I know now, I had a fairly large variety of both Fed-Ex and DHL shipments sent here from the U.S. And I'd saved all my paperwork on them...

In going back through it this morning, I'm noticing one cost difference in particular on Fed-Ex vs. USPS express shipments.... where the amount the receiving customer has to pay is absolutely not the same.

On Fed-Ex shipments, the payment due invoices at my door always included normal Thai tax and duty on not just the purchased items value alone, but the purchased items value, plus a 1% insurance fee on that value, plus the Fed-Ex shipping charge combined.

So to use one specific example from my Fed-Ex invoices. I was charged 664 baht total duty on 1435 baht worth of clothing -- a net of 46%!!!. Because the dutiable amount was calculated as 1435 worth of clothing, plus 14 baht of insurance fee, plus 891 baht for the shipping cost, for a total of 2,340 dutiable value. What they call CIF -- Cost, Insurance, Freight.

So yes on that shipment, Fed-Ex calculated a normal 20% duty on the clothing items (468 baht) plus 7% VAT (196 baht) But they almost doubled the dutiable and taxable value of the package by adding in the insurance and shipping costs into the mix.

Whereas in all my USPS express packages, the duty and tax assessed has just been on the package value alone....not with any apparent insurance or shipping costs added into the dutiable/taxable amount.

So yes the duty and tax RATES may be the same on Fed-Ex vs USPS packages as BKK notes above... But the way the package VALUES are calculated are not the same, meaning in the end, the Fed-Ex customer will pay more (higher duty and taxes) for the same package than the USPS customer.

So, keeping in mind the Fed-Ex valuations are all based on CIF, and not just the package purchase values alone, here are the duty/tax rates from my past invoices:

Fed-Ex:

Clothing - 20% duty and 7% VAT

Contact lens - 10% duty and 7% VAT

Perfume/cologne - 20% duty and 7% VAT

Clothing - 30% duty and 7% VAT

Music CD - 0% duty and 7% VAT

Then, the most ridiculous example I ever encountered was with DHL.

I had a box of three casual men's pants, one shirt (all bought on clearance sale online), and two inexpensive computer cables valued at $55 total, or about 1860 baht value at the time in fall 2009.

For that package, the payment due bill at my door from DHL (after I had already paid for DHL shipping) was 2,219 baht -- more than the original purchase value of the package, which had the original purchase invoices inside documenting those values.

The DHL invoice calculated it as follows:

Dutiable value of about 2800 baht, based on 1860 baht purchase, 18 baht insurance and 924 baht freight. They then assessed a SIXTY PERCENT duty on that value plus 7% VAT for a total duty of 1,994 baht. (Once again, like Fed-Ex, assessing duty and tax against the CIF value, not just the purchase value).

And then they added on 200 baht for "duty handling fee (easy clear), 10 baht for "free zone inventory charges" and more VAT on those, for a total due of 2,219 baht.

Don't ask me to explain why DHL would assess a 60% rate against men's casual clothing, while Fed-Ex several times over would assess a 20% or 30% rate against the same items.

As I said before, for the reasons illustrated above, I'd never use Fed-Ex or DHL if I had any other alternative such as USPS.

Maybe it could make sense for a computer purchase where the item values are high and the duty/VAT rate is low... But for consumer goods, where the values are lower but the duty is higher, the express couriers suck.

Edited by TallGuyJohninBKK
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Sales clerks don't know all the options. And phones are difference because normally thye're locked to carriers.

As I had indicated above, my contact was with the U.S. Sony E service center, customer service, in the U.S. -- not a "sales clerk." And, beyond what I mentioned above, the phone in question was an unlocked phone direct from Sony.... not a carrier locked model.

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So to use one specific example from my Fed-Ex invoices. I was charged 664 baht total duty on 1435 baht worth of clothing -- a net of 46%!!!. Because the dutiable amount was calculated as 1435 worth of clothing, plus 14 baht of insurance fee, plus 891 baht for the shipping cost, for a total of 2,340 dutiable value. What they call CIF -- Cost, Insurance, Freight.

So yes on that shipment, Fed-Ex calculated a normal 20% duty on the clothing items (468 baht) plus 7% VAT (196 baht) But they almost doubled the dutiable and taxable value of the package by adding in the insurance and shipping costs into the mix.

a. It would be interesting to see the rules on this. I have no doubt you had this happen to you, but I received scores of fedex/ups/dhl items and never had it happen to me. Though, we all know Thai govt entities often change the way they do things on a whim and they might not stay that way for long. I've gotta wonder if what 'line' your stuff when through.. was because of a corrupt official generating a percentage of revenue he could call his own.

b. Terms like "double" are misleading. What if the value of the shipment was $10,000? Then the extra few hundred baht would have been a fraction of a percentage.

If you're that interested in what these rates are, why not just call and ask? This stuff is published everywhere and if the rates aren't right when you get the package you can ask them to re-evaluate it.

Edited by BangkokImages
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Sales clerks don't know all the options. And phones are difference because normally thye're locked to carriers.

As I had indicated above, my contact was with the U.S. Sony E service center, customer service, in the U.S. -- not a "sales clerk." And, beyond what I mentioned above, the phone in question was an unlocked phone direct from Sony.... not a carrier locked model.

Ok.. a customer service clerk. When you run into a "no" you often need to go further. This isn't a topic they deal with every day. Be patient and be willing to put the time in to contact supervisors.

Still, phones might be different in the same way cameras are. It's a long explanation.. but the reason most high end camera gear can't be transferred is because a distributor in a country buys the rights to distribute the product. Part of the deal the camera manufacturers place on them is to maintain/operate a certified service center and perform warranty repairs. This is not an insignificant cost. So.. when someone wants to get a grey market product serviced they wont' do it. Not only won't they do it under warranty, they won't do it at any price. You'll need to go to an "authorized" repair facility vs. a factory service center. It gets really complicated. So.. if you buy one in say Thailand.. then the Thai distributor made the money on it. The American (or European) service center won't want to do warranty work on it because they made nothing on the sale and it only costs them to do the warranty work. There are exceptions, but not for the general public. If you're a professional and a current CPS (Canon Pro Services) member in good standing.. they'll take care of you anywhere and sort out the costs between themselves.

Computer part companies are heading in the same direction. But so far they're mostly happy to transfer warranties. Consider it a case by case basis. And consider your people skills and willingness to pursue the issue will count for a lot.

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Sales clerks don't know all the options. And phones are difference because normally thye're locked to carriers.

As I had indicated above, my contact was with the U.S. Sony E service center, customer service, in the U.S. -- not a "sales clerk." And, beyond what I mentioned above, the phone in question was an unlocked phone direct from Sony.... not a carrier locked model.

Ok.. a customer service clerk. When you run into a "no" you often need to go further. This isn't a topic they deal with every day. Be patient and be willing to put the time in to contact supervisors.

Still, phones might be different in the same way cameras are. It's a long explanation.. but the reason most high end camera gear can't be transferred is because a distributor in a country buys the rights to distribute the product. Part of the deal the camera manufacturers place on them is to maintain/operate a certified service center and perform warranty repairs. This is not an insignificant cost. So.. when someone wants to get a grey market product serviced they wont' do it. Not only won't they do it under warranty, they won't do it at any price. You'll need to go to an "authorized" repair facility vs. a factory service center. It gets really complicated. So.. if you buy one in say Thailand.. then the Thai distributor made the money on it. The American (or European) service center won't want to do warranty work on it because they made nothing on the sale and it only costs them to do the warranty work. There are exceptions, but not for the general public. If you're a professional and a current CPS (Canon Pro Services) member in good standing.. they'll take care of you anywhere and sort out the costs between themselves.

Computer part companies are heading in the same direction. But so far they're mostly happy to transfer warranties. Consider it a case by case basis. And consider your people skills and willingness to pursue the issue will count for a lot.

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a. It would be interesting to see the rules on this. I have no doubt you had this happen to you, but I received scores of fedex/ups/dhl items and never had it happen to me. Though, we all know Thai govt entities often change the way they do things on a whim and they might not stay that way for long. I've gotta wonder if what 'line' your stuff when through.. was because of a corrupt official generating a percentage of revenue he could call his own.

It depends on what aspect you're talking about... If you mean including the insurance and freight costs in the dutiable, taxable amount, I pulled a dozen FedEx and DHL invoices out of my drawer this morning and every one of them was calculated (dutied and taxed) on CIF value.... not just on the purchase price alone. And I have called them and talked to them before about it, and was told CIF is their standard methodology...

Maybe you should re-examine your own invoices and look at how the details are calculated. It's all very clearly spelled out, as per my examples above.

Edited by TallGuyJohninBKK
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a. It would be interesting to see the rules on this. I have no doubt you had this happen to you, but I received scores of fedex/ups/dhl items and never had it happen to me. Though, we all know Thai govt entities often change the way they do things on a whim and they might not stay that way for long. I've gotta wonder if what 'line' your stuff when through.. was because of a corrupt official generating a percentage of revenue he could call his own.

It depends on what aspect you're talking about... If you mean including the insurance and freight costs in the dutiable, taxable amount, I pulled a dozen FedEx and DHL invoices out of my drawer this morning and every one of them was calculated (dutied and taxed) on CIF value.... not just on the purchase price alone. And I have called them and talked to them before about it, and was told CIF is their standard methodology...

Maybe you should re-examine your own invoices and look at how the details are calculated. It's all very clearly spelled out, as per my examples above.

I did. I don't get charged CIF. I get charged the 7%.. One thing though, I don't insure my packages. I just don't see the value in it.

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I don't understand your comment..

For all those packages I'm referring to above, where they were valued by FedEx and DHL based on CIF, there was no optional insurance involved. I just paid the regular shipping rate for the packages. I didn't opt for or pay for any extra or special insurance, beyond what either carrier provides as part of their regular service.

BTW, I didn't send any electronics only items in those Fed-Ex and DHL packages. But if I had, based on their other invoices, I would have been charged 7% duty PLUS 7% VAT....

And the duty and tax amounts would have been assessed on the value of the purchases plus the carrier's shipping cost plus them adding a 1% insurance fee (something they did automatically without any action on my part).

Edited by TallGuyJohninBKK
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I don't understand your comment..

For all those packages I'm referring to above, where they were valued by FedEx and DHL based on CIF, there was no optional insurance involved. I just paid the regular shipping rate for the packages. I didn't opt for or pay for any extra or special insurance, beyond what either carrier provides as part of their regular service.

BTW, I didn't send any electronics only items in those Fed-Ex and DHL packages. But if I had, based on their other invoices, I would have been charged 7% duty PLUS 7% VAT....

And the duty and tax amounts would have been assessed on the value of the purchases plus the carrier's shipping cost plus them adding a 1% insurance fee (something they did automatically without any action on my part).

I'm just trying to figure out why you're getting charged based on CIF and I'm not. You didn't say if you insured your shipments or not, but you did mention CIF (contents, insurance and shipping) so I threw it out there as an idea.

Can you find anywhere in the Thai customs and duty websites that show how they calculate duty and taxes? Everything I've seen talks about the contents of the package, not the insurance or shipping. It just sounds weird. First you were at 20-25% for all your items and free passage if shipped USPS, and then 46%, and I think there are some other figures you threw out there.

Duty rates depend on what category the item falls into and is the same regardless of shipper, and taxes are the same regardless of category. The CIF you mention could very well be the case, but not in the receipts I have. I've said before, if my USPS shipment arrives right before a weekend or holiday they'll pass it through with no fees assessed, but this doesn't mean they always will or it happens every day of the week.

It would be great if you or someone.. could call Thai customs and ask pointed questions so we know what it's supposed to be. We all know there are corrupt individuals out there and sometimes showing you know what it should be could get it reassessed properly.

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It just sounds weird. First you were at 20-25% for all your items and free passage if shipped USPS, and then 46%, and I think there are some other figures you threw out there.

I don't think you're clearly paying attention to what I've been saying....

--My FedEx and DHL shipments are all being dutied and taxed based on CIF (item value, plus 1% insurance surcharge plus courier shipping cost).

--My USPS express shipments are being dutied only on the contents value. Shipping cost and insurance surcharges are NOT being included in the duty valuation, thus the resulting price is lower, even when the duty rate is the same.

--The actual duty rates themselves (not the valuation being dutied) are pretty consistent across the different shippers... 20-30% for clothing, 7% on electronics (except for the one outrageous DHL 60% duty rate on the one clothing package I mentioned).

--But the USPS express shipments are less costly for the same things than the FedEx or DHL ones because the duty amount for USPS packages is being charged only on the contents value, whereas the FedEx and DHL duty and VAT are being assessed against the CIF value.

--But for smaller packages sent via international parcel post (not FedEx, not DHL and not USPS express), the packages are simply delivered to my door by ThaiPost with no tax or duty due/paid at all. Those parcel post packages are not insured or trackable, but are the least expensive method I've found. The postage is less than USPS or the express couriers, and no duty at all.

--The 46% amount I mentioned was the net TOTAL amount of the duty I paid on a package (total duty as a percentage of the contents value) because the express courier dutied my package on CIF... not just the value of the contents. The duty rate was 20%, but when applied against CIF, it ended up being 46% of the value of the content themselves.

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I don't think you're clearly paying attention to what I've been saying....

I have. But it's taken many messages to get to your summary. All I'm saying is I think (for what it's worth) it would benefit you to call, or even go in person, to the Thai customs and sit down with them and your pile of receipts and ask pointed questions. You'd benefit from this, and if you were kind enough to share, we'd all benefit from the information.

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For starters, here's one official U..S govt. resource for Thailand that shows it's normal practice to assess the 7% VAT against the contents value, insurance and freight charges, otherwise known as CIF, plus also against the duty amount itself.

  • Thailand

TARIFF RESOURCES: ASEAN Tariff Database

TAX: There is a 7 percent value added tax that is applied on CIF + duty.

Choose the "T" tab for country at the top of the page.

http://export.gov/lo....asp#P734_31651

And perhaps you should read this prior TV post on the subject from Sunbelt Asia...

Posted 2011-09-05 12:01:07

Thai laws require that duty and VAT must be a percentage of the TOTAL Cargo value + Freight cost + Insurance.

Hence, if the invoice shows CIF invoice, then that means this invoice already included freight and insurance, and thus, when we calculate 20% & 7% Duty and tax, we take just this invoice value.

For FOB invoice, we have to add in freight charges as well as insurance charges, since FOB invoice only has cargo value. Thus when we calculate 20% and 7% VAT, we have to take invoice value + freight + insurance. If there the shipping agent doesn't know the freight and insurance price, typically they have to assume 10% freight and 1 % insurance value based on cargo value (FOB invoice value).

http://www.thaivisa....ost__p__4674542

And you'll find the same guidance -- duty and VAT assessed against CIF -- repeatedly throughout this other thread.

http://www.thaivisa...._1#entry4638105

And not surprisingly, that's exactly the method used that each and every one of my FedEx and DHL invoices show.

Edited by TallGuyJohninBKK
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For starters, here's one official U..S govt. resource for Thailand t

http://www.thaivisa....ost__p__4674542

And you'll find the same guidance -- duty and VAT assessed against CIF -- repeatedly throughout this other thread.

http://www.thaivisa...._1#entry4638105

And not surprisingly, that's exactly the method used that each and every one of my FedEx and DHL invoices show.

a. The US govt resource, if it is official, is not something Thailand has endorsed or is obligated to stand by. There are more of these from Asean nations and others.. some slightly different. I really think the only ones we can count on at this point is the Thai entity responsible for actually collecting the fees. And I'd get a name and number on top of that. We're all familiar enough with Thailand to know how things work here.

b. I put even less stock in threads UNLESS they're linking official sources.

It's so easy to go in and talk to these guys and get the real scoop. I have several questions.

a. I'd like to see the list of categories and what falls in the different categories and I'd want this list to be the same the line officers are using as they evaluate packages.

b. I'd want a cogent explanation on why USPS and the premium services appear to have different rates applied. They shouldn't. But your experience shows different rates. I believe you've experienced this even though I haven't. I'd want to know why.

Or in other words.. I want in writing, from the agency responsible for collecting fees, and not from websites not related, or what happened to someone else, or anything like that. At this point there is enough discrepancies to warranty a very careful look at things. I think you're right, and I know I'm right, we both have receipts. Why the difference? Not threads on Thaiwheezer, not some guys experience, but a list from the agent responsible, in writing, with a name and number to call in the event the rates don't like up on my next shipment.

Please try to not take this personally. It would be real easy to just say I agree with you and let it drop. But I'd appreciate the real answer.

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  • 10 months later...

I will be buying an EVGA SR-2 mobo from Newegg, just waiting to see see Black Friday. I plan to use Shipito, selecting USPS Priority (trackable) + insurance. This mobo is HPTX size and the box is 15x14x6, so cannot use one of the USPS flat rate boxes. Cost of the shipping will be about $90, delivery in two weeks. Note that the SR-2 mobo has dropped in price from $560 (I bough one in Feb-2012) to $360 now. Takes two Xeon CPUs, which brings up another point. One of my e5645 Xeons died (rare for recent Xeons) so I had it RMAd by Intel who sent it to my USA address. My mate there sent it here by USPS airmail (no tracking) with insurance. This is back in June and it has not arrived; we are still trying to collect the insurance from the USPS. My conviction based on numerous shipments is: USPS Express or Global Priority, with tracking is the only way I will ship.

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  • 2 months later...

I have always used "Heading 8741 Computer Part. No import duty payable" which is true and have yet to be asked to pay the VAT only - but not 1000 dollar type items.

NEVE EVER EVER use DHL for imports - you will pay 60 or 100% duty on non dutiable items even and "storage" and "insurance" charges that can be more than the item. The supporting paperwork seems to be their own or their customs agent and NOT officila customs invoice. VERY suspicious. I am unable to dismiss the idea that they or someone within have a scam running............................

If you must courier use UPS - you will pay duty but it will be in line with the real duty

Customs themselves so far have alwys levied correct duty when applied on stuff sent non courier. They are however very incentivised to find high value items mislabeled I have heard.

Beware 'type approval' of some sort needed for import eg electrical or pharmaceuticals I have heard

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