[Randy in ca]

"First Class Mail International" is the cheapest way to send anything under 4 lbs to Canada - there are also some size restrictions, but they rarely apply - the size you're dealing with easily qualifies and would cost about $4 to send. It's a little slower sometimes, but small packages rarely take more than about 10 days. Insurance can be purchased and you can also register the package for additional cost. I've used this method a lot and have never insured or registered the package, and have never had a problem.

The Customs forms vary depending on the declared value of the item - none of them take more than about a minute to complete. Anything declared under $20 valuation is tax and duty free, anything valued more than this is subject to small sales taxes and a $5 processing fee charged by Canada Post. This is were the couriers really gouge the recipient - their processing fees for Customs clearance are absurd - especially to be avoided is UPS.

If you're smart you will NOT declare the item as a GIFT (unless it really is). The Customs people are not stupid, have seen it all, and you can get into a lot of trouble by making a false declaration. I don't recall the exact valuation limit for gifts that allow them to be received free of taxes etc., but it's something like $75.

Hope this helps some.