How to declare luxury goods at US customs

Landing back in the US after a long journey abroad usually feels great. But you might be uncertain or even stressed by one last step: the declaration process at US Customs. What are you supposed to declare? How does it work? And what if you purchased luxury goods?

Declaring luxury goods at US Customs and navigating the customs process in general does not have to be stressful. We’ll clear up your questions here.

We'll also introduce the Wise account, which allows you to send, spend, and receive your money across the globe in over 40 currencies – all at the fair mid-market rate.

Learn more 🔎

Why do you have to declare items at US customs?

You have to declare purchases you make abroad in order to pay the proper duties and fees. This process helps regulate the flow of goods across borders for the US import system.

Other items, including certain foods and plants, are regulated for environmental and agricultural purposes. Often, these items are prohibited, so if you’re not sure if you’re breaking the law by bringing something into the US, you should absolutely declare it.

What to declare at US Customs

At US Customs, you’re supposed to declare every item that you purchased abroad and are bringing back.² You also need to declare each item’s value, so it helps to save receipts while you’re traveling.

If you mailed items back, you don’t have to declare them.²

Along with merchandise that you purchased, you also need to declare agricultural and food products, items that you intend to sell, and any currency or “monetary instrument” (like a cashier’s check or bond) valued at more than 10,000 USD.²

What are considered luxury goods?

“Luxury goods” is not a legal category for US Customs and Border Protection. But expensive items, such as designer handbags, watches, jewelry, and clothing, are high-value items that US Customs will make extra effort to monitor.

For this reason, declaring luxury goods at US Customs is always a good idea. If US customs finds your luxury goods and you haven’t declared them, you risk losing your items or paying much higher duties to bring them in.¹

Which goods are exempted from customs duty in the US?

Goods that you’re giving as gifts or intend to use as personal items are exempt from US customs duty up to certain limits, which can vary depending on where you’re entering from.

In most cases, these exemptions apply up to 800 USD.¹ You still need to declare items even if your items are exempt and they fall within the limit. You just won’t pay duties on the items.

Do I need to declare every luxury item I buy abroad?

In a word, yes. Declaring luxury goods to US Customs is always a good idea. All of your purchases abroad are subject to declaration by US Customs, and luxury goods have the highest likelihood of being inspected.

What happens if you declare more than 10,000 USD?

If you declare luxury goods that exceed 10,000 USD, you’ll just have to pay the relevant duties when you come in.

If you’re traveling with 10,000 USD or more in currency or a monetary instrument, you have to declare it and fill out a separate form (FinCEN Form 105).

Buying luxury goods abroad? Save with Wise

Wise can help you get a better deal on currency conversion in over 40 currencies, with the mid-market exchange rate and low fees from 0.41%*.

Open a free personal Wise account online or in the Wise app, and order a linked multi-currency card for spending and withdrawals in 145+ countries.

There’s no fee to spend any currency you hold, and no foreign transaction fee to worry about.

Use your account when you travel or shop online in foreign currencies, send payments to 40+ currencies, and get your own local account details to get paid from 145+ countries.

Say goodbye to overcomplicated currency exchange.

Say hello to Wise

*Please see Terms of Use for your region or visit Wise Fees & Pricing for the most up to date pricing and fee information

How to declare luxury goods at US Customs

When you land in a US airport on an international flight, you’ll pass through a US customs and border protection area. You’ll be prompted to declare your items and their value either via:¹

• a paper declaration form
• an electronic kiosk
• through Global Entry

Be sure to declare your luxury goods to avoid delays, additional duties, or having your items confiscated.

What happens if you don’t declare luxury goods at customs?

US customs has the right to search all of your luggage, including your checked bags.¹ If you don’t declare goods and are questioned about an item, they may ask you to prove that you purchased it in the United States.

Luxury goods will be the first items that US customs officers will examine if they decide to look at your stuff. If they ask you about, for example, a watch that you bought while traveling, you’ll be asked to declare it and could pay a higher duty than if you had declared it yourself.

It’s recommended to bring receipts when you’re going through a customs checkpoint.

Declaring luxury goods at US Customs is simple. Duties vary by item and location, but they are usually not very high percentages of your item’s value. If you’re bringing in less than 800 USD of items, you’ll probably be exempt.

If you bought luxury goods abroad, you must declare them at US customs to avoid confiscation, delays, and high duties. But before you get there, consider using Wise to save on your international purchases.

Learn more about Wise

Sources

1. CBP - What to Expect When You Return
2. CBP - Customs Declaration Form