Trade compliance verification

About trade compliance

To be trade compliant, the importing community must meet all of the requirements governing the accounting of commercial goods imported into Canada, including, but not limited to:

• classifying their commercial goods under the appropriate tariff classification
• accurately declaring the origin and value of the goods, in accordance with legislative requirements
• paying the appropriate duties and taxes on the goods

The CBSA monitors the extent to which commercial goods are trade compliant by conducting targeted verifications and by issuing verification priorities.

Verification and compliance priorities

Targeted verification priorities are determined through a risk-based, evergreen process, meaning that new targets are added throughout the year. Verification priorities may also be carried over from previous years.

New compliance priorities

The CBSA has identified the following compliance priorities:

• Tariff rate quota and classification of supply managed goods
  • Verifications on the classification of frozen desserts containing 5% of dairy products
• Tariff classification of gloves
  • Third round of verifications on gloves classified under headings 39.26 and 42.03
• GST and excise duties and taxes
  • GST exemption codes
  • Vaping products subject to excise duties and taxes
• Import origin verifications under:
  • Canada-European Union Comprehensive Economic and Trade Agreement (CETA)
  • Canada-United Kingdom Trade Continuity Agreement (CUKTCA)
• Duties Relief Program (DRP)
  • Verifications of licensees importing supply managed goods
• Most-Favoured-Nation (MFN) tariff treatment withdrawn from Russia and Belarus

As the risk environment evolves, CBSA can change priorities at any time during the course of the year.

For more information on trade classification, click here.

Source: Canada Border Services Agency (CBSA)