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Re: Redhat 6 for free




Well, I would like to see some of those Web documents. I don't have
extensive experience with ordering CDs from the US, but I did order an
official RH4.1 CD once (when was it, a couple of years ago?), and
before doing that I made a point of getting customs and tax
information by phone. It was not easy, I had first to track down
someone who knew what I was talking about. This is what I was told, in
a nutshell.

The authorities consider the total cost of delivering a product to
you. At that time RH had a contract with FedEx and refused to ship by
any other means (I have not checked the current situation, maybe it
has changed since). Thus, add S&H by FedEx, including insurance, to
the listed price of the CD (~$50). The shipment arrives at the Israeli
customs, and the duty is computed from the whole package,
i.e. including shipping cost and insurance. Then take the whole
package again, i.e. CD + S&H + insurance + customs duty, and add on
the 17% VAT. The rationale for this approach was that this is the
total cost of delivering the product to an Israeli retail customer.

I made a point of telling them it was software from US (I am not
actually sure if you can really argue it is US-made, it is
US-packaged, rather), I was told it didn't matter. I thought at that
time that US-made hardware was customs-free.

I don't understand the income tax (mas hachnasa) part at all: how can
buying something be considered income? Never heard of it. Is it
something that pertains to companies or resellers? Hard to believe.
Eli, could you explain that bit (maybe in a personal email, if it is
not so interesting)?

Caveat emptors: 1) As I emphasized, this was my only experience with
ordering software. 2) It occurred a couple of years ago, rules may
have changed. 3) I only share this because I researched how it worked
(i.e. got a detailed explanation from someone at the customs), and
thought I understood the picture (whether it is a reasonable approach
or not is a separate question).

So, next time I order a CD from the US and decide to research the
customs/tax situation again, I'd like to have the Web documents handy.

-- 
Oleg Goldshmidt          goldshmt@netvision.net.il   
BLOOMBERG L.P. (BFM)     oleg@bfr.co.il