Updates on CARM

The Canada Border Services Agency (CBSA) has released significant updates regarding the CBSA Assessment and Revenue Management (CARM) system, scheduled to take full effect on May 13, 2024. Here’s what you need to know about the transition and new regulations.

Key Highlights of the CARM Update

Official System of Record

As of May 13, 2024, the CARM system will officially be the system of record for accounting and paying duties on imported goods. The CARM Client Portal (CCP) will also serve as the centralized system for registering CBSA accounts and enrolling in CBSA programs.

Changes to Release Prior to Payment (RPP)

Importers will now need to post their own financial security through the CCP to obtain the release of imported goods before duty payment. This marks a shift from the current reliance on brokers’ RPP security. A 180-day transition period post-implementation will allow stakeholders to adjust to this new requirement.

Broker Business Number (BN15) Usage

During a 12-month transitional phase, brokers can use their BN15 in specific scenarios to facilitate the transition. This includes accounting for commercial goods on behalf of importers who have not yet registered in the CCP. There are also provisions for new and one-time commercial importers during this period.

Continuation of Current Policies

For non-commercial goods, current policies allowing the use of broker BN15 and RPP will continue beyond the 12-month transition period. This ensures that non-commercial importations can proceed without disruption.

Legislative Amendments

Amendments to Section 17 of the Customs Act regarding the Importer of Record are pending and will come into force on a date set by the Governor in Council.

You can learn more by visiting the CBSA website. For additional queries or support regarding these changes, stakeholders are encouraged to contact the CBSA via their dedicated email for CARM engagement.

Conclusion

The transition to the CARM system represents a significant change in how import duties are managed in Canada. With these updates, CBSA aims to streamline processes and enhance compliance. Importers and brokers alike are advised to familiarize themselves with the new system requirements and transition measures to ensure smooth operations post-implementation.

If you have any questions or concerns about CARM, please feel free to reach out to us. We are here to support you through this transition and ensure a smooth and successful experience for your importing needs.