Planning a domestic event creates enough headaches without extra worries about entry regulations, customs, foreign tax and currency exchange. Taking the show on the road to Canada or Mexico might sound like a lot of extra work for the sake of heading just a few miles north or south of the border.
However, continually closer ties between the countries of North America and increasingly favorable regulations for meetings-related business are taking more and more hassles out of international conferences and trade shows.
Entry Requirements
While Canada and Mexico only require Americans to provide identification that proves U.S. nationality, such as a birth certificate and a photo ID, i.e. a state driver’s license, current U.S. regulations state that anyone traveling by air outside the U.S. must possess a valid passport to enter or re-enter the U.S. Passports will be required for sea crossings, including ferry service, by summer 2009, although an exact date has not been set.
Applications for the new U.S. Passport Card are now being accepted, and cards are in production. Only available to U.S. citizens, the card facilitates entry and expedites document processing at U.S. land and sea ports-of-entry when arriving from Canada, Mexico, the Caribbean and Bermuda.
Canada General
U.S. dollars are accepted at many stores and restaurants, but sometimes at a lower rate than you would get in exchange from a bank or airport. It’s a good idea to convert some before you arrive. American credit cards are widely accepted.
Canadian ATMs are common, and U.S.-bank ATM cards can be used to withdraw Canadian dollars directly, rather than using a hotel service or currency exchange office.
Canadian electrical appliances operate on 110 volts, the same as U.S. appliances. Grounded plugs are widely available.
Other useful information is available at the Canadian Tourism Commission’s website.
Canada Customs and Shipping
In general, most materials brought in for events will be duty and tax free unless they’re for sale. Visitors are refunded tax and duties for any unsold items when they return home.
Connecting with the Canada Border Services Agency (CBSA) (www.cbsa-asfc.gc.ca) a few months prior to the scheduled event can help prevent any customs snags. The agency can supply any forms needed to bring goods into the country and arrange for planners to clear any imported goods at the site of the event, rather than at the border.
Consider using Canadian DMCs to keep things running smoothly. Contact the Canadian Society of Customs Brokers (613.562.3543; www.cscb.ca) or the Association of International Customs and Border Agencies (613.822.6969; www.aicba.org).
Canada Taxes
Goods and Services Tax (GST) and Harmonized Sales Tax (HST) were lowered from 6 percent and 14 percent to 5 percent and 13 percent, respectively, Jan. 1, 2008. GST applies to most purchases made in Canada, but for non-resident visitors is refundable (as is sales tax in some provinces) on convention-related purchases, including a 50 percent rebate on food and beverage.
The sponsor can claim a rebate for all of the GST paid on the meeting rooms, equipment rentals and convention materials, and 50 percent of the GST paid on the meals and catering. Also included are related convention supplies that are imported into Canada.
Sponsors of foreign conventions receive the GST/HST rebate by filing a rebate claim with the Canada Revenue Agency, or they may be paid or credited the rebate amount by a registrant organizer or registrant supplier.
For more information, visit the Canada Revenue Agency website.
Mexico General
U.S. dollars and American credit cards are widely accepted.
It’s usually easy to withdraw pesos from Mexican ATMs using American ATM cards. When this is not possible, money can be exchanged at hotels, although the rate will not be as good as through a bank. Note that banks charge up to 1.5 percent of the transaction value when cash is withdrawn from ATMs.
Although Mexican electrical outlets produce U.S.-standard 110-volt power, grounded outlets are uncommon, and it’s recommended to bring an electrical adapter to ground a device or charger.
Nearly all hotels offer wireless Internet networks in their business centers. Many restaurants and cafes have Wi-Fi networks.
Mexico Customs and Shipping
You can ensure the smoothest possible shipping and customs experience by using Mexican DMCs and customs brokers for the logistical aspects of planning in Mexico. The Mexican Consulate can provide all required forms.
Another choice is to have a DMC connect you with companies that will procure or manufacture any necessary items or equipment from Mexican sources in order to circumvent the customs process entirely. The Mexico Tourism Board (www.visitmexico.com) can refer planners to reliable DMCs.
For goods valued at less than $2,000, it is most efficient to use a courier service such as DHL, FedEx or Estafeta, which have offices in most Mexican cities.
Mexico Taxes
Mexico has a zero-tax program for meetings, conventions and exhibitions organized by foreign companies. Under the program, Mexico’s value-added tax (VAT) is eliminated for certain event-related facilities, services, and food and beverage.
As an additional incentive for all visitors, a VAT rebate on certain products purchased in Mexico is now available through Tax Back, a company that just launched offices in Mexico City, Los Cabos and Cancun, and plans to open offices in several other prominent Mexico tourist destinations by the end of 2009. For more information, visit www.taxback.com.mx.