Duties Relief Program
No fixed amount
Rebate
Description:
The Duties Relief Program from the Canada Border Services Agency (CBSA) allows qualified companies to import commercial goods without paying duties, as long as those goods are eventually exported. As part of the program, companies can manufacture or use the commercial goods in a limited manner before export.
Comments on Funding:
Deadline to export goods
In most cases, you must export the goods within 4 years from the time they enter Canada.
Checking for compliance with the program
The CBSA will check that imported commercial goods are eventually exported. Your company may be subject to periodic audits for the CBSA to verify that your goods and activities meet program requirements.
Your company must:
a. track all goods
b. pay necessary duties immediately if goods no longer qualify for the program
Conditions for selling or transferring goods
Your company can sell or transfer imported commercial goods before they are exported, as long as the new owner is also a Duties Relief Program participant. You will transfer all liability, such as paying duties and reporting non-compliance, to the new owner.
Continuous Intake
Eligibility:
Applicants must
1. Be a company that import commercial goods under the following conditions:
a. The goods are later exported as-is, or
b. The goods are used to produce other goods for export
2. If goods are exported to the United States or Mexico: Exported goods affected by the limitations, drawback or relief of customs duties
cannot exceed:
a. the lesser of the total amount of customs duties paid or owed on the goods imported
into Canada; and
b. the total amount of customs duties paid on the exported good in the CUSMA country
where the good was imported. This is known as the “lesser of the two duties” concept.
Application Steps:
Applicants must:
1. Complete Form K90, Duties Relief Application
2. send it to your local CBSA office.
Documentation Needed:
Applicants must submit:
1. Form K90
2. Duties Relief Application,
Other Things to Note:
About the author
Maurice
