Duties & Taxes at Checkout

Commercial parcels crossing international borders can be subject to duties and various taxes depending on the import regulations of the destination country. This article explains how to display D&T to your customers before they place their orders, and provide live solutions that are Delivered Duty Paid (DDP).

We'll Cover:

Duties and Taxes Displayed at Checkout

When you've connected your store and enabled checkout, Easyship's dynamic live rates will display the courier service, estimated delivery time, and estimated duty and taxes due on delivery

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Note: Information shown via live checkout is configurable in your Store Settings.

If you wish to understand the various taxes & duties rules for specific countries, search through our shipping destination guide.

Pre-Paid and Post-Paid Duties and Taxes at Checkout (Recommended) 

By only showing your customers pre-paid Duties and Taxes at Checkout, you reduce available solutions that may save you and your customer on shipping costs. It is possible to display both pre-paid and post-paid duties and taxes at checkout, below we highlight steps required to set it up.

1. Navigate to Settings > Shipping Rules. 

2. Select your condition, in this example, we will use All Shipments (Always Applies).

3. Set the Action to Set import tax and duty payor > Offer 3 Post-Paid and 1 Pre-Paid suggested (for Checkout only). 

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Remember to save both Shipping Conditions and Actions. Once the rule is created, your checkout will show pre-paid and post-paid rates.

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Pre-Paid Duties and Taxes at Checkout

To display only pre-paid services at checkout, follow the below steps:

1. Navigate to Settings > Shipping Rules. 

2. Select your condition, in this example, we will use All Shipments (Always Applies).

3. Set the Action to Set import tax and duty payor > Pre-paid (included in shipping cost)

 

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Remember to save both Shipping Conditions and Actions. Once the rule is created, your checkout will show pre-paid duty and tax rates as being included in the total shipping cost. 

 

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DDP Handling Fees

If you choose to ship your orders with prepaid Duties and Taxes, the couriers will charge you an additional fee for paying the import fees on your behalf when the shipment arrives at the destination country.

In addition to the fixed DDP Handling Fee for taking care of those duties and taxes, you can also expect a 'disbursement fee', calculated as a percentage of the number of duties & taxes they will advance on your behalf. 

Despite the complex pricing, DDP shipments bring peace of mind that your shipment will not be returned or abandoned simply because the recipient refuses to pay the import fees. 

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