No more $800 duty-free imports in the U.S.: What sellers need to know
As of August 29, 2025, the United States no longer allows goods under $800 to enter duty-free. Every shipment now faces tariffs and customs filings. For ecommerce sellers, dropshippers, and even global brands exporting into the U.S., this change can hit margins, pricing, and fulfillment workflows overnight.
Written by Alex Lamachenka
Head of DemandGen
Published
TL;DR
The $800 duty-free loophole is gone. Every import—no matter how small—now comes with tariffs and compliance paperwork.
What changed
Until August 29, 2025, the U.S. allowed imports under $800 (per person, per day) to enter duty-free under the de minimis exemption. This rule made it cheap and easy for ecommerce sellers to ship low-value goods into the country.
That exemption has now ended.
- All shipments—no matter the value—are subject to tariffs and customs entry requirements.
- Imports from China and Hong Kong already lost de minimis eligibility on May 2, 2025. Now it’s global.
- Carriers and brokers must file full customs entries with 10-digit tariff codes.
- Temporary postal carve-out: Until Feb 28, 2026, low-value postal shipments may use a flat per-package duty ($80–$200) instead of ad valorem. After that, all imports move to tariff-based duty rates.
International postal operators in multiple countries have already suspended or slowed shipments to the U.S. as they adapt.
Who this affects
- Ecommerce sellers and dropshippers relying on low-cost imports (Temu, Shein, AliExpress, private-label suppliers, etc.).
- SMBs sourcing inventory cross-border (even small batches or product samples).
- CPAs and finance teams forecasting landed costs for 2025–26.
- Global brands shipping direct-to-consumer from overseas fulfillment centers.
- Ecommerce sellers sourcing overseas: If you import inventory directly from Asia, Mexico, or other countries, small batches and test orders now trigger duties.
- Dropshippers: Platforms like AliExpress, Temu, and Shein are hit hardest. Expect higher landed costs and potential shipping delays.
- Small businesses & SMBs: The “under $800 safe zone” no longer applies—you’ll need customs filings for every shipment.
- CPAs, controllers, finance teams: Expect clients’ landed costs, pricing, and duty reconciliation to change significantly.
- Global brands shipping direct-to-consumer from overseas fulfillment centers.
Even if you don’t think of yourself as an “importer,” if your goods cross borders into the U.S., you’re now affected.
Why this matters
- Margins shrink fast: That $2 trinket or $15 accessory now comes with duties layered on top.
- Operational slowdowns: Customs clearance for small shipments is no longer “fast lane.” Expect delays.
- Compliance risk: Misclassified tariff codes or missing customs entries can trigger penalties.
- Pricing pressure: Sellers may need to raise U.S. prices, switch suppliers, or absorb the new costs.
If you use TaxCloud…
TaxCloud won’t calculate import tariffs—but we keep your U.S. sales tax compliance airtight once goods are in market. That means:
- Ensuring your resale transactions in every state are taxed correctly, even as costs rise.
- Reducing audit exposure while you manage new import obligations.
- Keeping compliance predictable when tariffs already tighten margins.
Next steps for sellers
- Audit your supply chain. Identify SKUs imported under $800 and check what duties now apply.
- Talk to your customs broker. Clarify tariff codes, filing requirements, and updated costs.
- Update forecasts. Build higher landed costs into your 2025–26 budgets.
- Communicate with customers. Price changes or shipping delays may need upfront messaging.
- Consider alternatives. Domestic sourcing or bonded warehouses may offset some costs.
Other US Sales Tax Updates
Digital ads now taxed in WA and it could seriously impact seller margins
Washington State has reclassified advertising services as taxable retail sales. Starting October 1 2025, ad platforms such as Amazon and Meta began collecting retail sales tax on ad services billed to customers with a Washington billing address.
Illinois Launches 2025 Tax Amnesty Program
Illinois is giving businesses a rare chance to catch up. Pay back taxes from 2018–2024 in full between Oct 1–Nov 17, 2025, and penalties and interest will be waived.
Commercial lease sales tax ends in Florida
As of October 1, 2025, businesses will no longer be charged sales tax on base rent or common operating charges.