Import Duty Calculator
Import Duty & Tax Calculator
Info: Calculates the Total Landed Cost (CIF Method). Duty is applied to (Value + Shipping), and Tax is applied to the total sum.
Report Bug Buying goods from overseas is easy; getting them through US Customs is the hard part. The price you pay the supplier is rarely the final cost. The Import Duty Calculator helps you estimate the "Landed Cost"—the total price including US Customs Duties, Merchandise Processing Fees (MPF), and Harbor Maintenance Fees (HMF). Without this calculation, a profitable import business can turn into a financial nightmare at the port of entry.
Whether you are dropshipping from China or importing luxury leather from Italy, knowing your HTS Code and the associated tariff rate is mandatory for compliance with US CBP regulations.
🛂 The Tariff Formula (HTS)
Duties are not a flat rate. They depend on what the product is (HTS Code) and where it comes from (Country of Origin).
Key Variables:
- Entered Value: The price paid (FOB). Usually excludes freight.
- HTS Code: A 10-digit number classifying the product (e.g., 4202.21.90).
- MPF/HMF: Additional fees for processing and port usage.
📦 Scenario: The "Italian Leather" Import
You are importing a shipment of Handbags from Italy with an invoice value of $5,000. The duty rate is 9%. Let's look at the official Entry Summary.
|
CBP FORM 7501 ENTRY SUMMARY - DUTY COMPUTATION |
PORT: 2704 (LAX) | ||
|---|---|---|---|
| DESCRIPTION / HTS NO. | ENTERED VALUE ($) | RATE | DUTY / TAX ($) |
|
Leather Handbags HTS: 4202.21.9000 |
$5,000.00 | 9.0% | $450.00 |
|
Merchandise Processing Fee (MPF) (Formal Entry Ad Valorem) |
$5,000.00 | 0.3464% | $17.32 |
| TOTAL ESTIMATED DUTIES & FEES: | $467.32 | ||
| Status: Estimated. Final liquidation by CBP may vary. | |||
Broker's Tip: If the shipment value was under $800, it might qualify for the "Section 321 De Minimis" rule, meaning $0 Duty. This is a massive loophole used by fast-fashion giants like Shein and Temu.
US Import Regulations & Fees
- Harmonized Tariff Schedule (HTS): A massive book of codes. A "Sneaker" has a different code (and tax rate) depending on whether the sole is rubber or leather. Getting this code wrong is "Misclassification" and carries heavy fines.
- Section 301 Tariffs (China): Goods made in China often carry an additional punitive tariff (e.g., +25%) on top of the standard duty. This is strictly enforced.
- MPF (Merchandise Processing Fee):
- Informal Entry (under $2,500): Usually a flat fee (~$2 to $9).
- Formal Entry (over $2,500): Calculated at 0.3464% of the value (Min $31, Max $614).
Frequently Asked Questions (FAQs)
What is "Landed Cost"?
Landed Cost is the true cost of the product once it arrives at your door.
Formula: Product Price + Shipping + Insurance + Customs Duties + Risk. Pricing your product without knowing this leads to bankruptcy.
Who pays the Import Duty? Buyer or Seller?
It depends on the Incoterms.
DDP (Delivered Duty Paid): Seller pays everything.
DDU/DAP (Delivered Duty Unpaid): You (the Buyer) must pay customs before the carrier releases the package.
What is the "De Minimis" value in the US?
Currently $800 USD. If one person imports less than $800 worth of goods in one day, it is generally duty-free and tax-free. This applies to personal use and small e-commerce orders.
What is HMF (Harbor Maintenance Fee)?
If your goods arrive via Ocean Freight at a US port, you pay an extra 0.125% of the cargo value to maintain the ports. Air freight is exempt from HMF.
Can I mark a commercial shipment as a "Gift"?
Absolutely not. This is customs fraud. If CBP catches you, they will seize the goods and fine you. Gifts are only between individuals, not from a business to a person.
