5. The amount of the refund of duties shall be

• (a) in the case of perishable goods or brittle goods such as crockery, china, glass and glassware, an amount equal to that proportion of the duties paid on the goods that 85 per cent of the loss in value of the goods is of the value for duty of the goods;

• (b) in the case of sugar or any saccharine product on which duty is determined according to the polarimetric test and that has suffered damage or deterioration from salt water, an amount equal to the difference between

  • (i) the duties paid on the goods, and

  • (ii) the duties that would be payable if, after the percentage of polarization of the goods is determined, there is deducted from that percentage an amount equal to five times the percentage of salt present in that portion of the water found in the damaged goods that is in excess of the water found in samples of undamaged goods, as certified in writing by an officer authorized to test such samples; and

• (c) in the case of any other goods, an amount equal to that proportion of the duties paid on the goods that the loss in value of the goods is of the value for duty of the goods.

6. No refund of duties shall be granted in respect of

• (a) goods for which there is a manufacturer's or producer's recommended shelf-life period or allowable storage-before-use period if the goods have suffered damage or deterioration by reason of the expiration of that period; or

• (b) iron or steel or any product manufactured from iron or steel that has suffered damage or deterioration by reason of rust.

7. This Part applies to the granting of a refund under paragraph 74(1)(b) of the Act of duties paid on goods where the quantity of goods released is less than the quantity in respect of which duties were paid.

8. Written notice of a claim for a refund of duties and the reasons for the claim must be given to an officer within four years after the release of the goods.

9. An application for a refund of duties must be supported by

• (a) a copy of any document providing evidence of the actual quantity of the goods shipped to Canada together with a copy of any document, including a credit note from the vendor, indicating the amount granted to compensate for the value of the goods short-shipped;

• (b) a written statement by the carrier of the goods verifying the deficiency in quantity of the goods, if the deficiency occurred because the goods were lost or went astray while in the course of transit outside Canada, and explaining the circumstances under which the goods were lost or went astray; or

• (c) a written statement by the carrier or operator of a sufferance warehouse, bonded warehouse or duty free shop verifying the deficiency in quantity of the goods, if the goods were lost or stolen after the goods were reported to an officer under section 12 of the Act and while the goods were in the custody of the carrier or operator, as the case may be.

10. The amount of the refund of duties shall be an amount equal to the difference between

• (a) the duties paid; and

• (b) the duties payable on the quantity of goods actually released.