The Canada Border Services Agency (CBSA) publicly releases a semi-annual list of all of its active compliance verification priorities, in the interest of transparency and the promotion of self-compliance. It recently published its trade verification targets for the second half of 2016. While new targets have been added, many continue from the past. The eight new items on the list range from live plants to cell phone cases.
Types of Post-release Verification Processes
The CBSA manages compliance with the Tariff Classification, Tariff Treatment, Valuation, and Origin programs using the following two post-release verification processes:
1. Random Verifications
Random verifications are designed to measure compliance rates and revenue loss and the results may be used for many purposes, including:
- Risk assessment;
- Revenue assessment; and
- Promoting voluntary compliance.
2. Verification priorities
Targeted verification priorities are determined through a risk-based, evergreen process, meaning that new targets are added throughout the fiscal year. Verification priorities may also be carried over from previous years.
Trade Compliance Verifications ? July 2016
A summary of the current targeted priorities can be found below:
Tariff Classification (TC)HS Number(s)Curling Irons (Round 2)8516.32.10Spectacle Lenses (Round 2)9001.40.10 and 9001.50.10Furniture for Non-Domestic PurposesVarious goods of Headings 94.01 and 94.03Seaweed (Round 3)1212.21.00 and 1212.29.00Dextrins and Other Modified Starches (Round 3)3505.10.90Disposable and Protective Gloves (Round 3)3926.20.10 and 4015.19.10Coconut Milk from Asian Countries (Round 2)1106.30.00, 2008.19.90 and 222.214.171.124Batteries8506.10.10 and 8506.50.10Gazebos (Round 2)9406.00.90.20Footwear ($30 or more per pair) (Round 2)6403.59.20 and 6403.99.30Hair Extensions (Round 2)6703.00.00Machinery for Public Works8479.10.00Special Purpose Motor Vehicles8705.90.90.90Polyurethanes in Primary Forms3909.50.00Parts for Power TrainsHeading 87.08Geophysical and Oceanographic InstrumentsHeading 90.15CerealsHeading 10.08Articles of Apparel and Clothing Accessories (Round 2)Heading 39.26Bicycle PartsHeading 87.14Articles of PlasticsSubheading 3926.90Articles of Iron or SteelHeading 73.26Vices and ClampsHeading 82.05Parts for Use with Machinery of Chapter 84Heading 84.31Tubes, Pipes and HosesHeading 39.17Parts of LampsHeading 94.05Chemical Products (Round 2)Heading 38.08PastaHeading 19.02Hair Dryers and Electric Smoothing IronsHeading 85.16Cell Phone Cases (New)Headings 39.26, 42.02 and 85.17Mountings, Fittings and Similar Articles (New)Heading 83.02Stone Table and Counter Tops (New)9403.90.00Prepared Meat of Swine (New)Heading 16.02Live Plants (New)Heading 06.02Interchangeable Tools (New)Heading 82.07Air Brakes and Parts Thereof (New)Subheading 8607.21
Handkerchiefs, Towels and Related Paper Products (New)
Heading 48.18ValuationHS Number(s)Apparel (Round 2)Various goods of Chapters 61 and 62Preparations and Pastrycooks? ProductsVarious goods of Chapter 19OriginHS Number(s)T-ShirtsHeading 61.09Jewelry7113.11.90, 7113.19.90 and 7113.20.90
As your customs broker, we make every effort to provide you with the right tools and information to ensure that your company is as proactive as possible with the CBSA. In this way, we hope to help lessen your exposure to any penalties or fines.
Trade Compliance Education
As part of our ongoing efforts, we offer a number of Trade Compliance Seminars and Webinars throughout the year on trade compliance, customs audits among other subjects like, HS Tariff Classification, Free Trade Agreements and Rules of Origin, Canadian Food Inspection Agency and U.S. Food and Drug Administration. Visit our upcoming calendar today!
Trade Compliance Audit Assistance
Should your company get selected for a customs audit, Pacific Customs Brokers can help. Our Certified Trade Compliance Specialists will work with you to guide your business through the audit process and avoid incurring further penalties.
Trade Advisory Services
Our trade compliance consulting services include but are not limited to:
- Thorough HS database review with ongoing updates
- Current industry training and education to review transactions completed by customs brokers thereby minimizing errors
- Experienced counsel on valuation and origins
- Strategic advice on withstanding a customs audit
- Firm support through the challenges of the audit process
Do you have questions about CBSA?s July 2016 trade compliance verification priorities? Use the comments section below to leave us your thoughts or email Ask Your Broker .