Import Transaction Details:

S & S Co. imported 3200 pairs of Cross-Country Skis into Canada. The Skis were packaged into 3200 boxes (1 pair of Skis per box; box #1 to box #3200). Each Ski is valued at e US$ 175.95. The import duty on Skis is 18% and the exchange rate of 1.3259. The importer, S & S Co., decided to place the goods into a bonded warehouse for 2 years.

Q.1. Calculate how much Duty and Tax, S & S Co. will defer by putting the Skis into a bonded warehouse. Show all calculations for full marks (15 Marks)

Q.2. S & S, choose to obtain the release of the Skis immediately, how much Duty is and taxes will be payable to Canada Customs (5 Marks)

Q.3. The importer, S & S Co. would like to defer the payment of Duty and GST on the Skis for 2 years. What Customs Warehouse would recommend to the importer put the Skis (5 Marks)

Q.4. What type B3 type customs entry must be complete by S & S Co. to enter the Skis into a bonded warehouse? (5 Marks)

Q.5 S & S Co decided to remove boxes # 255 to 277, from the bonded warehouse. For the purpose of calculating the import Duty and GST, each box is valued C$233.29. How many boxes will they be removing warehouse? and How much Duty and GST will S & S have to pay to CBSA. Your calculation is based on the number of pieces removed. Hint: remember to add one. Show all calculations for full marks (15 Marks)

Q.6 Explain the purpose and use of Customs Sufferance Warehouses, including time limits, transferring of goods etc. (20 Marks)

Q7. Explain the purpose and use of Customs Sufferance Warehouse, including time limits, transferring of goods etc. (20 Marks)

Answer rating: 100% (QA)

Answer Sure lets go through each question step by step Q1 Calculate how much Duty and Tax S S Co will defer by putting the Skis into a bonded warehouse To calculate the duty and tax deferred by placin... View the full answer