Tax exemption at Canada Customs?

Q: I know that, if a Canadian citizen/resident stays in USA for more than 7 days, then when he returns to Canada by car, he qualifies for a personal duty & tax exemption of $750 CAD. My question is that, does that amount include tax charged in USA?? I mean, suppose I buy something at around $710, but after the USA state tax, the total is $760. Is that eligible for the exemption? Also, if I had to pay tax, would that tax on the total amount ($760) or the excess amount ($760 - $750 = $10)? Thank you.

A: Your declaration amount at Canada customs would be $760, and you aren't eligible for any tax exemptions. Unless they are items you purchased at duty free, and those would have already been built into the price. It is the place you are purchasing from (US State) that is most likely provider of saying tourists are exempt from our tax. Canada GST use to have a visitor program like that. And like I said, that is the idea behind duty free - local tax not charge because the purchase is leaving the country.

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