Customs duties are the most misunderstood part of international shipping. Understanding the basics keeps your parcels moving and your receiver free of nasty surprises.
What are customs duties?
Customs duty is a tax the destination country charges on imported goods. It exists to protect local industry and raise revenue. It is separate from your shipping cost and is set by the receiving country, not by us or the courier.
Who pays?
In most cases the receiver pays any duty and taxes when the parcel arrives, before it's released. Some services let the sender pre-pay duties (often called "DDP" — delivered duty paid). We'll tell you which applies and can arrange sender-paid duties where you prefer.
How is duty calculated?
Duty is usually a percentage of the goods' declared value, sometimes plus shipping. The rate depends on the item's HS code — an international classification for products. Different categories carry different rates, which is why accurate descriptions matter.
The de minimis threshold
Many countries set a de minimis value below which small shipments enter duty-free or with minimal charges. The USA's threshold is relatively high; others are much lower. Values and rules change, so we advise on the current position for your destination when we quote.
Gifts vs commercial goods
Genuine personal gifts sometimes get more lenient treatment, but you can't simply label a commercial shipment as a "gift" to dodge duty — customs authorities check, and mis-declaration causes seizures and penalties. Always declare accurately.
How to avoid delays and disputes
- 1Declare honestly and specifically. Vague or under-declared values are the top cause of holds.
- 2Include an invoice showing the true value of contents.
- 3Use correct HS codes for commercial goods (we help with this).
- 4Warn your receiver they may owe duty, so the parcel isn't refused on arrival.
What we do to help
We advise on likely duties before you ship, prepare clean documentation, and pick networks with strong customs handling for your lane. That means fewer holds, fewer surprises and a smoother delivery.
Duty is unavoidable on many shipments — but with honest paperwork and a heads-up to your receiver, it's rarely a problem.
