When Canada Border Services Agency (CBSA) Assessment and Revenue Management (CARM) becomes the official system of record in May 2024, the CBSA will automatically enroll all importers with a CARM Client Portal (CCP) account or a history of importing commercial goods into Canada within the past four years and an account in good standing in the Release Prior to Payment Privileges (RPP) Program. Importers will not be required to post security at this time, they only need to post their required financial security prior to the end of the 180-day transition period.
If you have not already registered on the CCP, now is the time.
Importers not registered in the portal by May, will be required to enroll in RPP through the CCP. These importers will still be able to benefit from the transition period but will be required to request participation via CBSA’s CARM Client Support Helpdesk to do so.
How to post CARM financial security
The benefit of RPP is that it allows goods to be released into Canada before duties and taxes have been paid to the CBSA. To be eligible for RPP, an importer must post financial security using one of the following two options:
Option 1: a financial security instrument for 50% of their highest monthly accounts receivable including goods and services tax (GST) with a minimum financial security of $5,000 per import program.
Option 2: cash deposit for 100% of their highest monthly accounts receivable including GST.
New importers who have not submitted a request to participate in the transition period must provide their financial security at the time of enrollment.
Importers that have not registered in the CCP and posted security within the 180-day transition period, will not be able to import goods into Canada under the RPP program. For questions or assistance regarding registration or the RPP program, contact your Mohawk Global Representative.
By Scott Dawkins, Vice President & General Manager, Canada