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Shot down by the Taxman!

Wed Oct 25, 2006 2:36 pm

October 25, 2006

Man smuggles fighter jets into Calgary

By PABLO FERNANDEZ, CALGARY SUN

Two Aero Vodochody L39 jets sit in an aircraft hanger in Calgary.
Smuggling two fighter jets into the country has cost a Calgary businessman and his company $100,000 in fines, police and customs officials said yesterday.

Michael Carl Smith, 47 of Calgary, pleaded guilty in provincial court yesterday to bringing two U.S.-registered Aero Vodochody L-39 jets into Canada without paying applicable taxes, said RCMP Staff Sgt. Ken Chatel.
Investigators said the first jet was brought into the country for a Transport Canada inspection in May 2004, while the second identical plane was imported for the same reason two months later.

A combined investigation by Mounties and Canada Border Services Agency into the operation of Smith's Albatros Aircraft Corp. was launched shortly after, said Chatel.

The jets, which have a combined value of $1.1 million, were seized in 2005.

Chatel said the jets were purchased to take to airshows.

Image


http://cnews.canoe.ca/CNEWS/Canada/2006/10/25/2124555-sun.html

Wed Oct 25, 2006 4:18 pm

Ouch! :shock:

Re: Shot down by the Taxman!

Wed Oct 25, 2006 4:20 pm

BLR wrote:The jets, which have a combined value of $1.1 million.......

Expensive L-39s! :shock:

Wed Oct 25, 2006 4:29 pm

It's amazing how much Canadiens have to pay in "duties" when purchasing items and bringing them into the country. I used to sell a lot of vintage antique hockey gear and memorabilia on ebay and the winning bidders (who were almost always out of Canada) would almost always ask me to label the customs ticket as "gift" instead of "mechandise".

John

Wed Oct 25, 2006 4:55 pm

"It's amazing how much Canadiens have to pay in "duties" when purchasing items and bringing them into the country. I used to sell a lot of vintage antique hockey gear and memorabilia on ebay and the winning bidders (who were almost always out of Canada) would almost always ask me to label the customs ticket as "gift" instead of "mechandise". "

This is one thing that I refuse to do! I don't need the Feds on my case to help somone save a couple of bucks or Lonies!

Wed Oct 25, 2006 5:01 pm

[quote="kr1360
This is one thing that I refuse to do! I don't need the Feds on my case to help somone save a couple of bucks or Lonies![/quote]

I agree...I never mentioned that I did it either (just in case any feds come knocking at my door 8) ). I would usually just ignore their requests and send it as "merchandise" anyway. Most of them didn't like it and I received a few nasty reply emails after they had to pay the deliveryman...but so be it!

John

Wed Oct 25, 2006 5:06 pm

John,

I had one case were I sold a pair of US Navy pilots wings to a guy in England who was shocked at the duty he would have to pay. He eventualy avoided it by proving that the wings were originaly made in England by JR Gaunt.

Keith

Thu Oct 26, 2006 9:34 am

Yeah...it's amazing how so many Americans complain about high state or federal taxes. They have no idea what some folks in other countries pay in sales taxes, etc. :x

John

Thu Oct 26, 2006 12:50 pm

jpeters wrote:It's amazing how much Canadiens have to pay in "duties" when purchasing items and bringing them into the country. I used to sell a lot of vintage antique hockey gear and memorabilia on ebay and the winning bidders (who were almost always out of Canada) would almost always ask me to label the customs ticket as "gift" instead of "mechandise".


But the duties that those purchasers want to avoid are imposed by the U.S. (or whatever country they live in), not by Canada. In my experience, the U.S. is second to none in imposing protectionist penalties on imported merchadise -- even on our so-called "free trade" continent.

This is unrelated to what the Canadian purchaser of the L-39s tried to do, which seems kind of extravagantly silly. An aircraft, with its federal registration requirements etc., is not the kind of thing you can import and hope will escape the notice of the authorities. Least of all a big loud jet fighter-trainer that you plan to fly to airshows.

August
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