Emerald Order - Clearing New York Customs???

[Danz567]

Like GL I too live in Canada. When my X20 arrived I got nailed with a $400 bill for the two sales taxes that we have here in Canada. I order a lot of things online, many from UK. It’s kind of weird that for some things I will get charged the taxes and for others I don’t. I makes no sense to me. With my guitar shipment, I never once thought that the problem was with Emerald, but the problem was here with our government. I unhappily paid the $400 and have been enjoying my X20 as my main go to guitar ever since.
I will definitely be buying another Emerald in the future when finances allows it and hopefully the next time one of the “good guys” customs official will let it go through with no charges.

[RP]

Originally Posted by Danz567

...I will definitely be buying another Emerald in the future when finances allows it and hopefully the next time one of the “good guys” customs official will let it go through with no charges.

I have a hard time accepting that I'm just the guy who happened to draw the short straw one day in US Customs. I'll start calling them on Monday to try to sort out this mess...

[jdinco]

I'm pretty sure I've seen posts like this in the past from Emerald customers. Maybe they were Canadian??? But I really doubt this was the first time this has happened. Hopefully we will know how to deal with it after RP gets done.

[Captain Jim]

It is tough to fight the government, whether it is Customs or some other "tax charging" entity. That said, you have right on your side when you pursue the issue.

I think about this when I order stuff in the US, as well. My wife is "a regular" with Amazon... if a day goes by that she doesn't order something, she gets an "Are you OK?" inquiry from them. (Yes, that's a joke.) But, getting charged sales tax is becoming more prevalent with Amazon orders.

I'm a former business owner and can appreciate the situation. Clients we had from Montana would get mad if we collected (not charged) sales tax for something delivered in our state (not in Montana). We could mail to them in Montana and not have to collect sales tax. Anything we purchased from out of state meant we had to pay Use Tax in our state... and, yes, the State Department of Revenue checked on that stuff. Government getting "their" cut, even if it didn't originate in your state.

That said, I am not familiar with any "US Sales Tax" charged on imported good... not the same as a duty or tariff. Living near the border, we are always asked what we purchased when coming back across the border... over a certain dollar amount (used to be $400), they wanted their "duty" on the purchase. I have to wonder if this is some sort of Use Tax charged in your state, and overseen by Customs?

As others have said, none of this is Emerald's fault or responsibility. The fact that they are trying from their end to help shows their willingness to take care of a customer. Dealing with the government is akin to slamming your head against a wall... it feels so good when you stop.

Here is a form for protesting a charge/claim with Customs (and Border Protection)...

https://www.cbp.gov/sites/default/fi...0Form%2019.pdf

[David Eastwood]

Originally Posted by Captain Jim

As others have said, none of this is Emerald's fault or responsibility. The fact that they are trying from their end to help shows their willingness to take care of a customer.

Well said. This reflects well on Emerald, I think, but it's tough to see how they are culpable in this. It's completely beyond their control.

I did a little digging through AGF archives today, and found one instance from early 2018 where someone appears to gone through the same thing, but there's no followup about the resolution.

There are a few from Canadian purchasers who've been hit with GST - but for the US, they seem to be very few and far between.

That, to me, lends credence to the theory that Some Official didn't quite understand the regulations, picked up the wrong stamp, and it filtered through the system as an invoice to RP.

[RP]

Originally Posted by eatswodo

...That, to me, lends credence to the theory that Some Official didn't quite understand the regulations, picked up the wrong stamp, and it filtered through the system as an invoice to RP.

You're probably right. I sure wish I knew his name and business phone number???

[David Eastwood]

Originally Posted by RP

You're probably right. I sure wish I knew his name and business phone number???

I suspect Kramster might have connections.

[RP]

Originally Posted by eatswodo

I suspect Kramster might have connections.

Really? I was under the impression that his Emerald guitar orders bypass US Customs and go straight to his Arizona casita....

I suspect that this situation is as confounding to Alistair as it is to the rest of us. The world is rapidly changing and the new normal is chaos. I'm thinking I should have my new X10 (when it's ready) sent directly to kramster. But then again, he might keep it so long that I might as well pay whatever new fees emerge and get over it.

[RP]

Originally Posted by EvanB

I suspect that this situation is as confounding to Alistair as it is to the rest of us. The world is rapidly changing and the new normal is chaos...

Now that I've got my new X20-12 and am starting to play and enjoy it, I'm trying to compartmentalize the headaches that occurred before I received it and my enjoyment of it. It really is a great guitar and makes a wonderful companion to my X20. While the emails I received left me frustrated, the 30 minute IM session with Kevin (and Alistair looped in, I believe) this morning was concerned and compassionate. As I'd previously mentioned, Alistair relayed that he'd cover half of the unexpected fee if I couldn't get the charge reversed...

[steelvibe]

Hey RP,

Assuming your 12 string was stock, it appears that the 8.7% charge under Chapter 92 of the HTS code, section 9202.90.4000 was applied (musical instruments/ specifically strings instruments like guitars). According to this HTS code, the US is not duty and tax exempt from exports from Ireland. This much is certain from the US International Trade Commission.

We don't have any kind of NAFTA agreement with Ireland like we do with Mexico and Canada so I'm surprised we don't see this more often (duty rates and taxes applied to Emeralds as they hit our border). If you price a stock Emerald 12 string ($2495.00) and multiply it times 8.7% (.087), the result is $217.00- very close to what you said Customs required of you. Oddly enough, there is another subsection of which imported guitars land under, valued over $100.00 dollars US that have a 4.6% duty rate, or almost half of the 8.7% rate.

It's all a bit confusing and one can't help but wonder if that is on purpose. With most Emeralds crossing over with zero issues the window of speculation and the reasons why this happened to you are wide open.

-Is there some kind of agreement with Emerald and the US? (I doubt it)

-was it an alert employee that caught the import when other Customs agents have all along been inept? (could be, but doubt it)

i don't think the answer is in that last question as Emerald told you this has only happened twice in history, and I'm guessing a large majority of Emerald's sales are US based (an therefore the chance of an audit goes up exponentially). Maybe duties and taxes are applied only if a specific business exports "X" dollar amount per year and up?

Maybe this information helps if you decide to fight, I don't know- but something just doesn't add up here. I do a lot of international shipping in my line of work so I geek out a bit on this stuff.

This is an interesting thread and I sure hope you get this resolved to your satisfaction. And Congrats on your new guitar!

[RP]

Thanks steelvibe...

RP;

I'm sorry that you have been targeted with extra costs and glad that you (and others) are trying to work things out.

On the other hand, if your inquiries lead to the notion that the previous free entries were mistakes and that all subsequent guitars will come with duty fees, then I'll be really wounded when my X10 rolls in with an extra $300 price tag.

In any event, the whole mess looks like a can of worms to me.

Also, if we end up paying duty, could we diminish the cost if the guitars were shipped as used? I know that some foreign car makers used to allow people to buy cars in-country and them ship them home as used with less duty. If that still works then we could put together a fund and send a forum raffle winner to Ireland to purchase 20 or 30 guitars and then ship to the U.S. as used.

Just wondering.

[RP]

Originally Posted by EvanB

Also, if we end up paying duty, could we diminish the cost if the guitars were shipped as used? I know that some foreign car makers used to allow people to buy cars in-country and them ship them home as used with less duty. If that still works then we could put together a fund and send a forum raffle winner to Ireland to purchase 20 or 30 guitars and then ship to the U.S. as used.

Just wondering.

Or you could pool resources, reimburse me, and I'll drop the whole matter...

RP;

The check is not in the mail.