Though some Canadian retailers are worried the new, looser limits will mean cost them business through increased cross-border shopping, Canadians can look forward to taking greater advantage of cheaper prices south of the border. Here's what you need to know about the new rules:

New duty-free rules coming into effect on Friday, June 1, will allow Canadians to bring home more from abroad without paying duties to the federal government.

The Rules Have Changed

The biggest change to cross-border shopping is the increased allowances to duty-free purchases. Canadian travellers outside the country for more than 24 hours can now bring in up to $200 in goods. The previous limit was capped at $50. Photo courtesy of: Flickr/ blmurch

The Rules Have Changed: Part II

As of June 1, Canadians who find themselves outside of the border for 48 hours or longer will have their allowance double from $400 to $800. The limit for travellers outside of the country for more than seven days has also changed. Their limit has increased by $50 from $750 to $800.

It's All About Timing

For those looking to capitalize on the new duty-free rules, here's some advice: plan accordingly as the new rules are still time sensitive. For example, Canadians can't claim duty-free status on any goods if their trip less than 24 hours. Also, the date you left Canada doesn't count towards your trip length, but the day you return can.

Personal vs. Commercial Use

The duty-free status still only applies if your purchases are for personal use. That means it can be for your house, a souvenir, or anything else for your own personal enjoyment. However, if it's anything for commercial use, expect to pay full duties. Also, while you can bring back gifts for other people under your duty-free allowance, that allowance can't be shared with other people.

The Rules On Alcohol Still Apply

The rules regarding alcohol purchases outside of Canada still hold true, despite the increased in allowance. For example, you can only claim duty-free status if your trip is 48 hours or longer in length. Also worth noting is that only one of the following items can count towards your allowance: 1.14 L (40 oz.) of liquor; OR 1.5 L of wine; OR 24 X 355 ml (12 oz.) containers of beer.

Exemptions Exist

Shoppers can expect to rake in many goods across the border with Canada's new rules, but certain items are still off limits. For example, certain fruits, meats and vegetables are prohibited from entering Canada as are weapons such as guns, mace, and pepper spray -- something worth noting if you find yourself at the local gun show.

The Rules On Tobacco Still Apply

Much like alcohol, the rules to tobacco are still in effect. Canadians need to be outside of the country for at least 48 hours but can bring in any of the following as part of their duty-free purchase: 200 cigarettes; 50 cigars or cigarillos; 200 tobacco sticks; and 200 g (7 oz.) of manufactured tobacco.

Ready Your Receipts

Now that the purchases have been made, all that's left is to get them back into Canada and that's where receipts come into play. Canadian Border Services Agency workers may ask for proof of any purchase and having them on hand may be the difference maker between a five-minute process and a five-hour delay. Receipts can also help verify how long your trip was based on the date of your purchases.

Don't Forget To Pack Your Goods

Canadians can now make more purchases over the border but they still need to be sure that they can bring everything back. That's because the CBSA still limits the duty-free status to goods on your possession when returning. There is one exception to this rule though: travellers gone longer than seven days can have the duty-free status apply to their goods delivered to them via mail, courier, or by a delivery agency.