Cdn retailers angry over duty-free border policy

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VANCOUVER (NEWS1130) – Canadians retailers aren’t happy about a policy that lets cross-border shoppers get back into Canada without paying duty.

Canadian Border Services Agency guards are waving through travellers during peak times, such as Black Friday and over the Christmas holidays.

It’s all because of a 13-year-old Revenue Canada policy; if a shopper goes beyond the exemption limit on a long weekend and there’s a heavy line-up, odds are that the border guards will let those folks skip out on duty to speed things up.

Mike Klassen with the Canadian Federation of Independent Business says it’s not fair for local shops that are trying to stay competitive.

“For a lot of the retailers close to the border, it’s a real frustration for them. They have to struggle with a lot of Canadian consumers crossing the border. To have this happen to them in addition, it definitely adds their frustrations and makes it a lot harder to run their business,” explains Klassen.

He suggests the government should look at helping out independent businesses. “What the Canadian government could do to try and make life a little easier and level the playing field is to remove the duties that small business has to pay when they cross the border.”

Klassen argues the recent raise in limits on what you can buy in the US without getting taxed only makes things worse for BC businesses and the local economy.

“Canadian small businesses provide one third of the GDP in BC, and over half of private sector employment is done through small business. It’s a huge part of the economy, we really need to support them,” adds Klassen.

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