Administrative Monetary Penalty System
C161
Contravention
Person who is required by subsection 40(3) of the Customs Act to keep records in respect of commercial goods failed to keep records at the person's place of business or at such other place that may be designated by the Minister as specified in the Imported Goods Records Regulations.
Apply a penalty per written request for records basis.
Penalty
| Occurrence | Penalty |
|---|---|
| 1st | $300 |
| 2nd | $450 |
| 3rd and subsequent | $900 |
- Penalty basis
- Per written request
- Retention period
- 36 months
Guidelines
Non-compliance occurs when an audit, verification or examination determines that a licensee of a duty free shop, sufferance warehouse or bonded warehouse, who is known to keep records, failed to keep specific records that were formally requested by an officer in writing regarding the sale or disposal of commercial goods that were previously received into it.
Applied against the licensee (warehouse or DFS), certificate holder (duty deferral), courier or CSA importer.
The officer should use discretion when deciding how much time to allow the company to prove that records exist. Thirty days may be considered reasonable as a minimum.
This contravention is subject to graduated penalties and is applied on a per request basis, which will be made in writing and may involve more than one record.
Typically, only one written request for records would be made per audit, verification or examination.
The first contravention is subject to a $300 penalty.
Subsequent written requests for records later determined not to have been kept or exist will be subject to the second and third level penalties.
References
Legislation
D-Memo
D17-1-21, Maintenance of Records in Canada by Importers
Other
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