Landed Cost Calculator
Estimate total import costs including goods, shipping, duty, and tax. Use country presets or enter your own rates.
Enter Shipment Details
Goods Value
Duty & Tax Rates
Calculation Bases
How Landed Cost is Calculated
Landed cost represents the true total cost of getting goods to your location. It includes more than just the purchase price—it accounts for all costs incurred from the point of origin to final delivery.
The calculation involves several steps:
- CIF Value: Add goods value + shipping + insurance
- Duty: Calculate duty on the duty base (usually CIF)
- Tax: Calculate tax on the tax base (usually CIF + Duty)
- Total: Sum all components for final landed cost
Worked Example
Example: Importing electronics to the UK
Purchase: 1 item @ $200
Shipping: $30 | Insurance: $5
Duty rate: 10% (on CIF) | VAT: 20% (on CIF + Duty)
- Goods value = $200
- CIF value = $200 + $30 + $5 = $235
- Duty = $235 × 10% = $23.50
- Tax base = $235 + $23.50 = $258.50
- VAT = $258.50 × 20% = $51.70
- Total Landed Cost = $200 + $30 + $5 + $23.50 + $51.70 = $310.20
Note: This example uses typical UK rates for illustration. Actual duty rates vary by HS code (product classification).
Key Concepts
CIF vs FOB
CIF (Cost, Insurance, Freight) includes shipping and insurance in the customs value. FOB (Free On Board) uses only the goods value. Most countries use CIF for calculating duty.
Duty vs Tax
Duty is a tariff on imported goods based on HS code. Tax (VAT/GST) is a consumption tax. Tax is usually calculated on the customs value plus duty.
De Minimis
Many countries exempt low-value imports from duty and/or tax. The US threshold is $800, UK is £135, EU varies by member state. Check your destination country's rules.
HS Codes
HS (Harmonized System) codes classify products for customs. Each code has a specific duty rate. Correct classification is crucial for accurate duty calculation.
Frequently Asked Questions
What is landed cost?
Landed cost is the total price of a product once it has arrived at your door. It includes the original product cost, shipping, insurance, customs duties, taxes (VAT/GST), and any other fees incurred during importing.
How is import duty calculated?
Import duty is typically calculated as a percentage of the customs value. Most countries use CIF (Cost + Insurance + Freight) as the customs value base. The duty rate varies by product type (HS code) and country of origin.
What is CIF value?
CIF stands for Cost, Insurance, and Freight. It's the total value of goods including the product price, shipping cost, and insurance. Many countries use CIF as the basis for calculating import duties and taxes.
What is the difference between duty and tax on imports?
Duty (customs duty) is a tariff charged specifically on imported goods based on HS code classification. Tax (usually VAT or GST) is a consumption tax charged on the value of goods plus duty. Both are collected at customs.
What is de minimis threshold?
De minimis is a minimum value threshold below which imports are exempt from duties and/or taxes. For example, the US has a de minimis of $800 for duty-free imports. Thresholds vary significantly by country.
How accurate is this landed cost calculator?
This calculator provides estimates based on the rates you enter. Actual costs may vary based on HS code classification, trade agreements, exemptions, and country-specific rules. Always confirm with a licensed customs broker for accurate figures.
What rates should I use for duty and tax?
Duty rates vary by product (HS code) and can range from 0% to 30%+. Tax rates (VAT/GST) vary by country: UK is 20%, EU averages 21%, Australia is 10%, Canada GST is 5%. Use our presets as starting points, then verify with official sources.
Related Tools & Guides
What is Landed Cost?
Complete guide to import duty & tax
How to Calculate Landed Cost
Step-by-step calculation guide
Duty vs VAT/GST
Understanding the difference
CIF vs FOB Explained
Customs valuation methods
Customs Value
The basis for duty calculation
Import Duty
How customs duty works
VAT
Value Added Tax explained
De Minimis
Duty-free value thresholds
How to Reduce Import Costs
Legal strategies for lower costs