How this calculator works
A purchase order quote can look attractive until you add shipping, insurance, duty, import tax and clearance. This estimate shows both the shipment cash required and an indicative inventory cost per unit, helping importers budget without assuming that one country’s tax regime applies everywhere.
What the calculation does
Multiply supplier unit price by shipment quantity. Add international freight and insurance to form an assumed CIF value. Apply your stated duty percentage to that value and calculate import VAT or GST on CIF plus duty. Add clearance fees and divide the inventory portion by units. If VAT is recoverable, show it in cash outlay but exclude it from inventory cost.
Important limitations
A planning estimate, not a customs declaration. Customs value, duties, taxes, exemptions, recoverability, currency conversion, HS codes and Incoterms differ by shipment. Input verified rates and confirm with a broker or tax adviser.
Common questions
Is import VAT always part of product cost?
No. If recoverable, you may separately record the tax rather than including it in inventory cost; cash still leaves your business until recovered.
Does customs duty always apply to CIF value?
No. This tool explicitly assumes CIF. Check the valuation basis used for your goods and importing country before relying on the result.
Can I compare suppliers with different shipping terms?
Yes, if you consistently include costs that your company pays and do not double count freight or insurance already in the supplier price.