Accounting for Imported Goods and Payment of Duties Regulations (SOR/86-1062)

• 10.6 (1) The Minister may suspend the CSA authorization of a CSA importer or CSA carrier if

  • (a) in the case of an importer, the importer no longer meets the requirements set out in paragraph 10.5(2)(f), (g) or (h);

  • (b) in the case of a carrier, the carrier no longer meets the requirements set out in paragraph 10.5(3)(f) or (g);

  • (c) the importer or carrier, as the case may be, fails to maintain its security;

  • (d) the importer or carrier, as the case may be, fails to advise the Minister of any change in the information referred to in paragraph 10.5(1)(b) or (c) as required by section 10.8 or 10.81, as the case may be;

  • (e) the importer or carrier, as the case may be, becomes insolvent;

  • (f) in the case of an importer, the importer has imported goods that were released under paragraph 32(2)(b) of the Act that were not eligible goods or that were transported by carriers that did not hold a CSA authorization;

  • (g) in the case of a carrier, the carrier has transported goods into Canada that were released under paragraph 32(2)(b) of the Act that

    • (i) were not eligible goods,

    • (ii) were transported into Canada by a commercial highway conveyance as defined in section 1 of the Presentation of Persons (2003) Regulations operated by a driver who did not hold an authorization under those Regulations, or

    • (iii) were delivered somewhere other than the place of business of the CSA importer, owner or consignee to which delivery was authorized;

  • (h) in the case of a carrier, the carrier fails to comply with section 10.82; or

  • (i) the importer or carrier, as the case may be, has been convicted of an offence under the Act or its regulations.

• (2) The Minister may cancel the CSA authorization of a CSA importer or CSA carrier if

  • (a) the authorization has been obtained on the basis of false or misleading information;

  • (b) in the case of an importer, the importer no longer meets the requirements set out in one or more of paragraphs 10.5(2)(a) to (c.2);

  • (c) in the case of a carrier, the carrier no longer meets the requirements set out in one or more of paragraphs 10.5(3)(a) to (c.1);

  • (d) the importer or carrier, as the case may be, so requests; or

  • (e) in the case of a CSA authorization that has been suspended, the importer or carrier, as the case may be, has not corrected the matter that gave rise to the suspension within 30 days after the suspension has taken effect or, if a longer period has been allowed under subsection (3), within that period.

• (2.1) In deciding whether to suspend or cancel the CSA authorization of a CSA importer or CSA carrier, the Minister is to consider

  • (a) the severity of the breach and whether or not it was rectified soon after it was discovered;

  • (b) the economic impact of the suspension or the cancellation; and

  • (c) the security and safety of Canadians.

• (3) If it is not possible for an importer or carrier to correct the matter that gave rise to the suspension within 30 days after the suspension has taken effect, the Minister, on an application made within those 30 days, shall allow a longer period to correct the matter.

• 10.7 (1) If the Minister decides to refuse to issue a CSA authorization or to suspend or cancel a CSA authorization, the Minister shall

  • (a) give a written notice to the applicant or the CSA importer or CSA carrier, as the case may be, that sets out the reasons for the decision; and

  • (b) give an opportunity to the applicant or the CSA importer or CSA carrier, as the case may be, to make written submissions concerning the decision.

• (2) The suspension or cancellation of a CSA authorization is not effective until the earlier of

  • (a) the day on which the notice referred to in paragraph (1)(a) is received, and

  • (b) the 15th day after the day on which that notice is sent by mail or courier.

10.71 The Minister shall, on application, reinstate a suspended CSA authorization if the matter giving rise to the suspension has been corrected.

• 10.8 (1) Every CSA importer must, in respect of changes to the information provided in accordance with paragraph 10.5(1)(b), notify the Minister in writing at least 30 days before they occur.

• (2) Despite subsection (1), every CSA importer shall immediately notify the Minister of any of the following changes:

  • (a) Despite subsection (1), every CSA importer must immediately notify the Minister in writing of any of the following changes:

  • (b) changes to the ownership or organizational structure of the importer;

  • (c) the sale of all or part of the importer’s business; and

  • (d) the importer is no longer able to electronically transmit to the Agency the information that is submitted when accounting for goods released under subsection 32(2) of the Act and any adjustments to that information.

• 10.81 (1) Every CSA carrier shall, in respect of changes to the information provided under paragraph 10.5(1)(c), notify the Minister at least 30 days before they occur.

• (2) Despite subsection (1), every CSA carrier shall immediately notify the Minister of any of the following changes:

  • (a) changes to the carrier’s name or corporate name, as the case may be, residence or business address, as the case may be, solvency or security referred to in paragraph 10.5(3)(f);

  • (b) changes to the ownership or organizational structure of the carrier; and

  • (c) the sale of all or part of the carrier’s business.

10.82 Every CSA carrier shall, as soon as the circumstances permit, provide the Minister with a description of any commercial goods that

• (a) the carrier transported into Canada;

• (b) were not released but were authorized for delivery to a place under subsection 19(1) or paragraph 32(2)(b) of the Act; and

• (c) were not delivered to that place within 40 days after the authorization was given.

10.9 [Repealed, SOR/2024-41, s. 24]

Security for Release of Goods

11 The security required under paragraphs 7.2(b), 7.3(b), 9(a) and 10.5(2)(f) must be given in accordance with the requirements of the Financial Security (Electronic Means) Regulations and in an amount determined by the Minister.

Release of and Interim Accounting for Commercial Goods where Information is Deficient

• 12 (1) Subject to subsection (2), where the importer or owner of commercial goods cannot account for the goods in the manner described in paragraph 32(1)(a) of the Act for the reason only that the prescribed information is not available to that importer or owner, the goods may be released under subsection 32(2)(a) of the Act prior to the accounting required under subsection 32(1) of the Act and may, pursuant to section 33 of the Act, be so released prior to the payment of the duties thereon on condition that the importer or owner of the goods

  • (a) makes the interim accounting required under subsection 32(2)(a) of the Act and provides, at the time of the interim accounting, information and evidence sufficient to enable an officer to determine provisionally the tariff classification and estimate the value for duty of the goods; and

  • (b) gives security in accordance with the requirements of the Financial Security (Electronic Means) Regulations and in an amount determined by the Minister.

• (2) The conditions set out in paragraphs (1)(a) and (b) do not apply where

  • (a) in the case of used goods or goods unconditionally free of duties, a determination of the tariff classification and an appraisal of the value for duty of the goods is made by an officer pursuant to subsection 58(1) of the Act; or

  • (b) an interim accounting in respect of the goods is made pursuant to section 14.

13 If commercial goods are released under paragraph 32(2)(a) of the Act in accordance with section 12, the person who made the interim accounting must account for the goods in the manner described in paragraph 32(1)(a) of the Act and pay any duties on the goods by the 10th weekday after the 17th day of the month following the month that includes the earlier of

• (a) the day on which the goods are accounted for; and

• (b) the last day on which the goods are required to be accounted for.

Release of Plans, Drawings, Blueprints, Machinery and Equipment

• 14 (1) Subject to subsection (2), the following goods may be released under subsection 32(2) of the Act prior to the accounting required under paragraph 32(1)(a) of the Act and may be released under subsection 33(1) of the Act prior to the payment of duties required under paragraph 32(1)(b) of the Act:

  • (a) plans, drawings and blueprints imported for use in a construction project in Canada;

  • (b) machinery and equipment imported for use in a thing being installed in Canada, where the value for duty thereof cannot readily be appraised;

  • (c) military equipment imported by the Department of National Defence; and

  • (d) material, components and parts imported by the Department of National Defence for use in the repair, maintenance, modification and testing of the equipment referred to in paragraph (c).

• (2) No goods referred to in subsection (1) may be released under subsection 32(2) or 33(1) of the Act unless the importer or owner of the goods

  • (a) in the case of goods to be released under paragraph 32(2)(b) of the Act, provides, before the goods are authorized for delivery, information and evidence sufficient to enable an officer to determine the tariff classification and estimate the value for duty of the goods;

  • (a.1) in any other case, makes the interim accounting required under paragraph 32(2)(a) of the Act and provides, at the time of the interim accounting, information and evidence sufficient to enable an officer to determine the tariff classification and estimate the value for duty of the goods;

  • (b) gives security in accordance with the requirements of the Financial Security (Electronic Means) Regulations and in an amount determined by the Minister; and

  • (c) undertakes to notify the Minister as soon as feasible in writing of

    • (i) the termination date of the construction project, in the case of goods referred to in paragraph (1)(a),

    • (ii) the termination date of the installation of the thing, in the case of goods referred to in paragraph (1)(b), or

    • (iii) the date the last shipment is received, in the case of goods referred to in paragraph (1)(c) or (d) that are part of a series of shipments.

15 If goods referred to in subsection 14(1) are released under subsection 32(2) of the Act, the goods must be accounted for under subsection 32(3) of the Act within 12 months after the applicable date referred to in subparagraph 14(2)(c)(i), (ii) or (iii), and the duties on those goods must be paid, in the case of goods imported by a CSA importer, no later than the 10th weekday after the 17th day of the month following the month in which goods are accounted for and, in all other cases, at the time of accounting.

16 Despite paragraphs 7.2(b) and 9(a), an importer or owner of commercial goods is not required to give security under those paragraphs if they are registered in the electronic system specified by the Minister.

PART II[repealed, Sor/2006-152, s. 19]

17 [Repealed, SOR/2006-152, s. 19]