What are duties, taxes, and fees?

Duties are fees imposed by customs authorities on imported merchandise. The fees are based on the value and/or gross weight of the international shipment and may differ according to the item(s) in the shipment.

You or your customer are responsible for payment of all duties, taxes, and fees assessed by the customs authority.

How to Bill Duties to Payor of Shipping Charges

If you want to cover the duties, taxes, and fees for your customer, you can set your shipment as Delivery Duty Paid (DDP) in ShipStation.

A DDP shipment is a shipment where the shipper is responsible for paying any duties, taxes and/or fees assessed on the shipment by the customs authority when it enters its destination country.

Learn how to set your shipment to DDP in ShipStation.

What is a customs broker?

Depending on the carrier, you or your customer may also be charged a brokerage fee for the services of the customs broker.

Customs brokers are specialists in customs clearance procedures and are employed to act on the customer’s behalf. They help clear your international shipment through customs and border patrol services.

Certain carriers act as a customs broker for their customer's international shipments. They ensure your documentation is prepared properly and streamline the process of clearing customs.

Brokerage fees are assessed based on the brokerage service provided by the carrier and vary from country to country. They can include a variety of fees, such as Entry Preparation Fees and Disbursement Fees.

How can I estimate duties, taxes, and fees for my international shipments?

There are several government entities and companies that provide a duty and tax calculator. Brokerage fees can be determined by visiting your carrier’s website.

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Resources

United States

Canada

United Kingdom

Australia