How much does TRU, Walmart, Target pay for their Lego?

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Asterios
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Re: How much does TRU, Walmart, Target pay for their Lego?

Post by Asterios » Wed Nov 03, 2010 8:32 pm

The whole argument was if you paid import/taxs when getting something from someone outside of Canada or bringing it in, I said you had to pay a import/tax fee he said you didn't.


locutis wrote:
Asterios wrote: But you still paid taxs on the LEGO you bought in the USA and brought back to Canada? yes, thats what natelite said you don't do. as I said I've had product shipped to Canada, and they ended up paying taxs and/or customs on the product they received, even complained about it asking why i couldn't list item price as $20, so please explain that?
I don't understand your question. Any Canadian pays 5% GST (or HST for BC, ON, etc.) on anything they buy in Canada from a business, regardless of where the store is. You also pay this same tax if you bring it back from the USA, unless you stay long enough and what you bring back is tax-free upto a certain limit. However, there is no import duty or tariff on any Lego brought into the country. However, it's added onto the price after you purchase it, NOT included in the price like in Britain (where it's called VAT and included into the price of something in the store).

Please clarify exactly what you mean, because what you typed doesn't seem to make sense. Sorry if I seem inept, but I don't understand it.

locutis
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Re: How much does TRU, Walmart, Target pay for their Lego?

Post by locutis » Wed Nov 03, 2010 8:43 pm

Asterios wrote:The whole argument was if you paid import/taxs when getting something from someone outside of Canada or bringing it in, I said you had to pay a import/tax fee he said you didn't.
Actually, I believe the whole argument was regarding the discount level on Lego toys being 39%, and you argued that it was only 10-20%. Then the discussion curved, and people asked why a set sells for a different price in Canada than the USA, and your reply:
Asterios wrote: alot of people complain how LEGO prices are higher in non-US countries, this is due to Duty taxs being paid for product shipped into the country which they pass along to the end-consumer, so yes LEGO does have better % rates for countries outside of the US, but that is because the retail stores have to pay duty taxes too, but in the end the retail stores do not make much profit on product.
As I've proved, there is *NO* import duty or tax applied to Lego imported into Canada. Please then explain your side as to why the cost of a $99 US Emerald Night is $129 Canadian when the exchange rate is near par. GST is paid AFTER the price of the item, which is regardless if brought in from the USA or bought in Canada.

If I purchase the Emerald Night (which I have, 7 of) from the USA, the cost is $99 each US, at current exchange rate near par, and I ship to a parcel service in the USA. I go down, pick it up, and bring it back into Canada and pay 5% GST at the border. Now these sets cost me $104 including tax. HOWEVER, if I buy from Lego.com or Toys R Us, I pay $129, plus 5% GST = $135.45 Canadian. Same product, and remember there are NO import duties, I've already shown that. Why the difference in price? Because Canada is a different market than the USA, and Lego decides to charge more to Canadians than Americans, that's why.

Now, you also commented about markups on product, saying that it was 10-20%. However, I clearly see in the photo posted here that a $129.99 set has a $90.99 set cost to the retailer. That is a lot larger discount than 20%!

Remember, businesses pay the GST tax to purchase product from Lego, but they GET IT BACK and it is NOT included in the price when they resell. If I am a business buying and selling Lego, and I purchase that same Emerald Night from the USA, and bring it back, I write a cheque to the CRA for the GST, however, I provide my GST number, and when I do my monthly filing, I include that GST I just paid at the border in my filing, and I receive it BACK from the government. Only when I resell it does the consumer pay the tax, but it's added onto the price at the register, NOT included in the price, like you indicate.

Am I missing something?
All your Lego will be assimilated with mine. Resistance is futile.

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Re: How much does TRU, Walmart, Target pay for their Lego?

Post by Asterios » Wed Nov 03, 2010 8:50 pm

locutis wrote:
Asterios wrote:The whole argument was if you paid import/taxs when getting something from someone outside of Canada or bringing it in, I said you had to pay a import/tax fee he said you didn't.
Actually, I believe the whole argument was regarding the discount level on Lego toys being 39%, and you argued that it was only 10-20%. Then the discussion curved, and people asked why a set sells for a different price in Canada than the USA, and your reply:
Asterios wrote: alot of people complain how LEGO prices are higher in non-US countries, this is due to Duty taxs being paid for product shipped into the country which they pass along to the end-consumer, so yes LEGO does have better % rates for countries outside of the US, but that is because the retail stores have to pay duty taxes too, but in the end the retail stores do not make much profit on product.
As I've proved, there is *NO* import duty or tax applied to Lego imported into Canada. Please then explain your side as to why the cost of a $99 US Emerald Night is $129 Canadian when the exchange rate is near par. GST is paid AFTER the price of the item, which is regardless if brought in from the USA or bought in Canada.

If I purchase the Emerald Night (which I have, 7 of) from the USA, the cost is $99 each US, at current exchange rate near par, and I ship to a parcel service in the USA. I go down, pick it up, and bring it back into Canada and pay 5% GST at the border. Now these sets cost me $104 including tax. HOWEVER, if I buy from Lego.com or Toys R Us, I pay $129, plus 5% GST = $135.45 Canadian. Same product, and remember there are NO import duties, I've already shown that. Why the difference in price? Because Canada is a different market than the USA, and Lego decides to charge more to Canadians than Americans, that's why.

Now, you also commented about markups on product, saying that it was 10-20%. However, I clearly see in the photo posted here that a $129.99 set has a $90.99 set cost to the retailer. That is a lot larger discount than 20%!

Remember, businesses pay the GST tax to purchase product from Lego, but they GET IT BACK and it is NOT included in the price when they resell. If I am a business buying and selling Lego, and I purchase that same Emerald Night from the USA, and bring it back, I write a cheque to the CRA for the GST, however, I provide my GST number, and when I do my monthly filing, I include that GST I just paid at the border in my filing, and I receive it BACK from the government. Only when I resell it does the consumer pay the tax, but it's added onto the price at the register, NOT included in the price, like you indicate.

Am I missing something?

So according to you LEGO is screwing Canadians and you guys let them? please explain why LEGO is more in Canada then in US if our dollars are on par then? also last time I checked Canada does charge an import fee.

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Re: How much does TRU, Walmart, Target pay for their Lego?

Post by locutis » Wed Nov 03, 2010 8:53 pm

Asterios wrote: So according to you LEGO is screwing Canadians and you guys let them? please explain why LEGO is more in Canada then in US if our dollars are on par then? also last time I checked Canada does charge an import fee.
Now you make no sense. I proved there is no import tax. There are no import fees. You are arguing for no reason. I've already proved to you that you are wrong. Can you not take defeat?

Mods, please lock this thread. It's pointless to discuss the matter any further.
All your Lego will be assimilated with mine. Resistance is futile.

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Re: How much does TRU, Walmart, Target pay for their Lego?

Post by natelite » Thu Nov 04, 2010 3:54 am

locutis wrote:Now you make no sense. I proved there is no import tax. There are no import fees. You are arguing for no reason. I've already proved to you that you are wrong. Can you not take defeat?

Mods, please lock this thread. It's pointless to discuss the matter any further.
locutis - i think you've made your point amply clear to any logical human being. and with facts to back it up. there are only two things to make of this. i'll leave that exercise to the readers. :lol: you have my silent vote of confidence! no need to further prove anything.

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Re: How much does TRU, Walmart, Target pay for their Lego?

Post by vynsane » Thu Nov 04, 2010 4:41 am

The topic has been beaten to death, set on fire, subject to WAY too much math, and now we're on our way to flames again - I think it's time we all moved on.
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