Canada’s Customs agency is making significant changes to the way businesses account for the goods they import into Canada. The Canada Border Services Agency’s Assessment and Revenue Management initiative (CARM) will require businesses to establish an account with Canada’s customs agency through which they will be responsible to pay duties, taxes, and other fees.
Currently, customs brokers maintain business’ accounts with Canada’s Customs agency and help them clear their goods through Customs. Once CARM Release 2 is implemented, importers will be responsible for maintaining their accounts with the border agency, unless they choose to empower their customs broker to do so. CARM will require importers to secure their own surety bond or post a cash deposit and promptly pay any duties, taxes, and fees or risk having their shipments stalled at the border. Importers will no longer be allowed to use their Broker’s surety bond.
In preparation for CARM, businesses must take the following steps:
- Set up an account on the CARM client portal
- Secure a surety bond with a value of at least $25,000 or post a cash deposit.
- Determine whether they want they will pay CBSA directly or through their broker
- Provide their brokers access to their CARM client portal if paying CBSA via broker.
Registration for the CARM client portal is often a complex process, so importers are encouraged not to delay. The good news is Livingston can assist you through the entire process including registering your account free of charge.
Click here if you would like Livingston to register your business on the CARM client portal on your behalf. If you are not currently a Livingston client, please click here.
Looking for more information about CARM? Check out the videos, FAQs, webinars, and other resources on our CARM page.