As entrepreneurs arestarting to think about how to expand the acquisition of their products and goods beyond Canada, they often do it all by themselves with an attempt to save money. However, international trade can get very complicated. While certain goods are easy to classify and import, others may need an advance ruling made by a Canada Border Services Agency (CBSA) officer for the purpose of determining its classification.
#1: I’m an amateurin Importing goods and products to Canada. Where can I find the best tariff classification?
Getting used to the Customs classification process and its tariff can go a long way inhelping to reduce the chances for misclassification which leads to penalties and heavy duties for your company or business.
You can as well see the tariff classification regarding your import on the Canada Border Services Agency (CBSA) website. Major considerations should include reasons for the goods, weight, are the goods well package?Also, ensure to check the CBSA’s list for Verification Priorities as it helps in identifying those items normally misclassified and the correct classification for the goods.
#2: Do I Need a Certificate of Origin always?
Certificate of Origin is needed if you want to take advantage of any lower duty rate, or preferential tariff. Preferential tariffs are meant foronly products that arecreated in a country which has certain trade agreements with Canada. Preferential tariffs do not have the samerate and are not free always. A comprehensive list ofcurrent Canada’s Free Trade Agreements (FTA’s) can be seen on the Canada Global Affairs website, or you can as well contact any Clearit Canada customs broker on import.
#3:Incase I make use a customs broker, will I need to do anything else?
Although the reason for using a customs broker is to have your paperwork processed and for clearing the goods, this does not, however,mean that they are liable forimportation. In Canada, whosoever is importing has the most responsibility for the products or goods. This implies that even if you had paid an expert and then a mistake had occurred, you will still be held responsible for your products and goods.
#4: How will I know If I am being audited?
Incase the CBSA marks your import to get audited you will definitely get a letter asking for relevant paperwork (B3, certificate of origin, cargo control document, Certificate of Origin, and others). You will then have about 30 days forsubmitting the paperwork. Make proper use of this time and have all your classifications properly rechecked.