Trade Compliance Verifications
July 2018

Notice - Surtax

Starting , certain goods originating from the U.S. are subject to a surtax that will apply to commercial shipments as well as goods being imported by travellers above their personal exemptions. The list of goods is available on the Department of Finance website. For more information, please refer to Customs Notice 18-08, Memorandum D16-1-1 and Frequently Asked Questions.

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The CBSA manages trade compliance with the Tariff Classification, Valuation, and Origin programs using the following two post-release verification processes:

  1. Random verifications
  2. Verification priorities

Random verifications

Random verifications are designed to measure compliance rates and revenue loss and the results may be used for many purposes, including:

Verification priorities

Targeted verification priorities are determined through a risk-based, evergreen process, meaning that new targets are added throughout the year. Verification priorities may also be carried over from previous years. The current verification priorities are:

Tariff Classification

Curling Irons (Round 3)
Harmonized System Number(s): Subheading 8516.32

Targeted Companies Cases Closed Cases in Error % Non-Compliance DAS Issued ($) Self-Adjustments by Importers ($) Penalties ($) Total ($)
15 14 7 50% $17,821 $63,172 $8,250 $89,243

Furniture for Non-Domestic Purposes (Round 2)
Harmonized System Number(s): Headings 94.01 and 94.03

Targeted Companies Cases Closed Cases in Error % Non-Compliance DAS Issued ($) Self-Adjustments by Importers ($) Penalties ($) Total ($)
30 13 13 100% $22,781 $177,174 $2,850 $202,805

Seaweed (Round 4)
Harmonized System Number(s): Heading 12.12

Dextrins and Other Modified Starches (Round 4)
Harmonized System Number(s): Heading 35.05

Targeted Companies Cases Closed Cases in Error % Non-Compliance DAS Issued ($) Self-Adjustments by Importers ($) Penalties ($) Total ($)
25 22 14 64% $19,336 $14,908 $900 $35,144

Batteries (Round 3 - new)
Harmonized System Number(s): Heading 85.06

Targeted Companies Cases Closed Cases in Error % Non-Compliance DAS Issued ($) Self-Adjustments by Importers ($) Penalties ($) Total ($)
19 18 18 100% $32,752 $119,803 $9,300 $161,855

Footwear ($30 or more per pair) (Round 3)
Harmonized System Number(s): Heading 64.03

Targeted Companies Cases Closed Cases in Error % Non-Compliance DAS Issued ($) Self-Adjustments by Importers ($) Penalties ($) Total ($)
75 63 44 70% $140,180 $1,037,242 $24,000 $1,201,422
Targeted Companies Cases Closed Cases in Error % Non-Compliance DAS Issued ($) Self-Adjustments by Importers ($) Penalties ($) Total ($)
91 39 21 54% $37,716 $96,951 $3,750 $138,417

Hair Extensions (Round 3)
Harmonized System Number(s): Heading 67.03

Targeted Companies Cases Closed Cases in Error % Non-Compliance DAS Issued ($) Self-Adjustments by Importers ($) Penalties ($) Total ($)
9 7 4 57% $6,020 $4,624 $0 $10,644

Parts for Power Trains (Round 2)
Harmonized System Number(s): Heading 87.08

Targeted Companies Cases Closed Cases in Error % Non-Compliance DAS Issued ($) Self-Adjustments by Importers ($) Penalties ($) Total ($)
8 4 3 75% $0 $382 $2,250 $2,632

Articles of Apparel and Clothing Accessories (Round 3)
Harmonized System Number(s): Heading 39.26

Targeted Companies Cases Closed Cases in Error % Non-Compliance DAS Issued ($) Self-Adjustments by Importers ($) Penalties ($) Total ($)
51 41 30 73% $118,071 $131,853 $5,400 $255,324

Bicycle Parts (Round 2)
Harmonized System Number(s): Heading 87.14

Targeted Companies Cases Closed Cases in Error % Non-Compliance DAS Issued ($) Self-Adjustments by Importers ($) Penalties ($) Total ($)
68 67 61 91% $180,728 $415,552 $101,275 $697,555
Targeted Companies Cases Closed Cases in Error % Non-Compliance DAS Issued ($) Self-Adjustments by Importers ($) Penalties ($) Total ($)
36 31 29 94% $30,898 $190,945 $22,200 $244,043

Articles of Plastics (Round 2)
Harmonized System Number(s): Subheading 3926.90

Targeted Companies Cases Closed Cases in Error % Non-Compliance DAS Issued ($) Self-Adjustments by Importers ($) Penalties ($) Total ($)
11 6 5 83% $75,886 $61,237 $1,050 $138,173

Vices and Clamps (Round 2)
Harmonized System Number(s): Heading 82.05

Targeted Companies Cases Closed Cases in Error % Non-Compliance DAS Issued ($) Self-Adjustments by Importers ($) Penalties ($) Total ($)
18 12 12 100% $27,650 $66,069 $300 $94,019

Parts for Use with Machinery of Chapter 84 (Round 2)
Harmonized System Number(s): Heading 84.31

Tubes, Pipes and Hoses (Round 2)
Harmonized System Number(s): Heading 39.17

Parts of Lamps (Round 2)
Harmonized System Number(s): Heading 94.05

Targeted Companies Cases Closed Cases in Error % Non-Compliance DAS Issued ($) Self-Adjustments by Importers ($) Penalties ($) Total ($)
57 53 39 74% $138,061 $721,395 $16,200 $875,656
Targeted Companies Cases Closed Cases in Error % Non-Compliance DAS Issued ($) Self-Adjustments by Importers ($) Penalties ($) Total ($)
84 55 38 69% $121,751 $466,867 $16,950 $605,568

Chemical Products (Round 3)
Harmonized System Number(s): Heading 38.08

Pasta (Round 2)
Harmonized System Number(s): Heading 19.02

Targeted Companies Cases Closed Cases in Error % Non-Compliance DAS Issued ($) Self-Adjustments by Importers ($) Penalties ($) Total ($)
105 67 43 64% $40,338 $300,487 $32,850 $373,675

Hair Dryers and Electric Smoothing Irons
Harmonized System Number(s): Heading 85.16

Targeted Companies Cases Closed Cases in Error % Non-Compliance DAS Issued ($) Self-Adjustments by Importers ($) Penalties ($) Total ($)
35 33 13 39% $26,144 $61,248 $1,950 $89,312

Cell Phone Cases (Round 2 - new)
Harmonized System Number(s): Headings 39.26, 42.02 and 85.17

Targeted Companies Cases Closed Cases in Error % Non-Compliance DAS Issued ($) Self-Adjustments by Importers ($) Penalties ($) Total ($)
23 18 18 100% $15,517 $618,584 $25,200 $659,301

Mountings, Fittings and Similar Articles
Harmonized System Number(s): Heading 83.02

Targeted Companies Cases Closed Cases in Error % Non-Compliance DAS Issued ($) Self-Adjustments by Importers ($) Penalties ($) Total ($)
41 37 25 68% $19,044 $154,685 $14,550 $188,279

Handkerchiefs, Towels and Related Paper Products
Harmonized System Number(s): Heading 48.18

Targeted Companies Cases Closed Cases in Error % Non-Compliance DAS Issued ($) Self-Adjustments by Importers ($) Penalties ($) Total ($)
30 28 15 54% $30,132 $145,799 $9,525 $185,456

Olive Oil (Round 2 - new)
Harmonized System Number(s): Headings 15.09 and 15.10

Targeted Companies Cases Closed Cases in Error % Non-Compliance DAS Issued ($) Self-Adjustments by Importers ($) Penalties ($) Total ($)
24 20 15 75% $239,389 $474,939 $5,250 $719,578

Photographic Film
Harmonized System Number(s): Heading 37.02

Targeted Companies Cases Closed Cases in Error % Non-Compliance DAS Issued ($) Self-Adjustments by Importers ($) Penalties ($) Total ($)
13 12 7 58% $7,520 $30,170 $19,050 $56,740

Stone Blocks and Slabs (Round 2 - new)
Harmonized System Number(s): Headings 25.14, 25.15 and 25.16

Targeted Companies Cases Closed Cases in Error % Non-Compliance DAS Issued ($) Self-Adjustments by Importers ($) Penalties ($) Total ($)
25 23 20 87% $76,122 $281,008 $4,650 $361,780

Railway Equipment
Harmonized System Number(s): Heading 86.08

Targeted Companies Cases Closed Cases in Error % Non-Compliance DAS Issued ($) Self-Adjustments by Importers ($) Penalties ($) Total ($)
17 14 11 79% $27,468 $24,756 $3,150 $55,374

Sacks and Bags under Tariff Item 9903.00.00 (Round 2)
Harmonized System Number(s): Headings 39.23 and 63.05

Targeted Companies Cases Closed Cases in Error % Non-Compliance DAS Issued ($) Self-Adjustments by Importers ($) Penalties ($) Total ($)
7 5 2 40% $14,410 $50,898 $750 $66,058

Nails and Similar Articles of Iron or Steel
Harmonized System Number(s): Heading 73.17

Targeted Companies Cases Closed Cases in Error % Non-Compliance DAS Issued ($) Self-Adjustments by Importers ($) Penalties ($) Total ($)
39 28 10 36% $13,164 $6,537 $450 $20,151

Castors with Mountings of Base Metal
Harmonized System Number(s): Heading 83.02

Targeted Companies Cases Closed Cases in Error % Non-Compliance DAS Issued ($) Self-Adjustments by Importers ($) Penalties ($) Total ($)
49 32 20 63% $39,766 $89,447 $3,300 $132,513

Pickled Vegetables (Round 4 - new)
Harmonized System Number(s): Heading 20.01

Targeted Companies Cases Closed Cases in Error % Non-Compliance DAS Issued ($) Self-Adjustments by Importers ($) Penalties ($) Total ($)
24 22 12 55% $49,809 $268,553 $9,750 $328,112

Mineral Waters and Aerated Waters
Harmonized System Number(s): Heading 22.01

Gloves
Harmonized System Number(s): Headings 39.26 and 42.03

Targeted Companies Cases Closed Cases in Error % Non-Compliance DAS Issued ($) Self-Adjustments by Importers ($) Penalties ($) Total ($)
37 11 5 45% $40,820 $75,153 $300 $116,273

Pebbles, Limestone and Granules
Harmonized System Number(s): Heading 25.17

Spent Fowl
Harmonized System Number(s): Headings 02.07, 16.01 and 16.02

Safety Headgear (Round 3)
Harmonized System Number(s): Subheading 6506.10

Targeted Companies Cases Closed Cases in Error % Non-Compliance DAS Issued ($) Self-Adjustments by Importers ($) Penalties ($) Total ($)
25 8 3 38% $2,434, $24,639 $600 $27,673

Bags
Harmonized System Number(s): Heading 42.02

Import Permit Numbers
Harmonized System Number(s): Chapters 2 and 4

Other Mountings and Fittings, Suitable for Furniture (new)
Harmonized System Number(s): Heading 83.02

Air Heaters and Hot Air Distributors (new)
Harmonized System Number(s): Heading 73.22

Flashlights and Miners’ Safety Lamps (new)
Harmonized System Number(s): Heading 85.13

Valuation

Apparel (Round 3)
Harmonized System Number(s): Chapters 61 and 62

Targeted Companies Cases Closed Cases in Error % Non-Compliance DAS Issued ($) Self-Adjustments by Importers ($) Penalties ($) Total ($)
119 94 51 54% $164,948 $47,385,268 $161,600 $47,711,816
Targeted Companies Cases Closed Cases in Error % Non-Compliance DAS Issued ($) Self-Adjustments by Importers ($) Penalties ($) Total ($)
86 9 2 22% $0 $130,970 $450 $131,420

Origin

T-Shirts (Round 2)
Harmonized System Number(s): Heading 61.09

Targeted Companies Cases Closed Cases in Error % Non-Compliance DAS Issued ($) Self-Adjustments by Importers ($) Penalties ($) Total ($)
33 27 11 41% $0 $522,608 $28,050 $550,658

Bedding and Drapery (Round 2 - new)
Harmonized System Number(s): Various goods of Headings 63.01, 63.02 and 63.03

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