Why do airlines usually ask you how much purchase you have made?

It has been a while since I have been on an aircraft so I will try to remember this from memory.

I live in Canada. Occasionally when I fly back from USA to Canada, the airline (Air Canada, United Airlines), gives some sort of "sheet" to each of the passengers to fill out before we land.

I am not sure what this sheet is, but it usually asks for your name, where you are travelling, and how much money you spent in the country.

I want to know two things.

Firstly, what is this sheet of paper, and is it always handed out. Is it optional to fill out?

Secondly, why do they need to know how much money we spent in another country. For example in the USA, if I bought a gift (400$), and I am returning to Canada, do I have to pay tax on this?

Best Answer

That is a landing card, or declaration card, on which travelers to Canada make an official customs declaration to the Canada Border Services Agency. There are English and French versions of this card. When flying to some Canadian airports you can use a smartphone app instead of the card.

Many countries use landing cards, but some are beginning to get rid of them (e.g. the UK has phased them out this year). The US also has them, but if you use a kiosk then you don't have to fill out the paper card.

Airlines are required to give these to passengers traveling to various countries before landing in those countries so the passengers have time to fill them out before going to the immigration hall. The airline itself is not really interested in what you are bringing in to the country; they only hand out the card on behalf of the destination country's customs service.

Customs officers will use the declaration to determine if you owe any duty on the items you are bringing in, or if any special screening is required (e.g. if you bring in a firearm they will want to inspect it and check your license).