Administrative Monetary Penalty System
C360

Contravention

Person (Importer) failed to account, or failed to provide interim accounting for imported goods at time of the release request.

Penalty

Occurrence Penalty
1st $2,000
2nd $4,000
3rd and subsequent $8,000
Penalty basis
Per shipment
Retention period
12 months

Guidelines

Failure to account for goods upon submission of a release request significantly impairs the CBSA’s ability to risk assess the admissibility of the good(s) ensuring the health, safety and security of Canadians.

Non-compliance occurs when it is found during an examination of goods based on a referral of the release request (e.g. RMD, PARS, B3) that goods are not accounted for by the importer at time of interim accounting or presentation of a B3, prior to the release of the goods at a customs office.

Applied against the importer.

Additional paperwork presented by the carrier at time of report in accordance with subsection 12 (1) of the Customs Act, does not exempt the importer from fulfilling their obligations to account for all goods under subsections 32(1) and (2) of the Customs Act.

In accordance with the Broker Licensing Regulations, carriers are not permitted to account for goods on behalf of an importer. In addition to the Regulations, Memorandum D1-6-1, Authority to Act as Agent, further stipulates an agent representing an importer for purposes of accounting for goods must be licensed to transact business with the CBSA as a licensed Customs broker OR act on behalf of the importer on a casual basis and without benefit of any compensation, fee or charge. This former requirement precludes carriers from acting on behalf of the importer unless they are a licensed custom broker.

The below scenarios are provided for purposes of properly administering C360:

Scenario 1

100 televisions are accounted for on the release request. Upon examination, the shipment is found to contain 100 televisions and 10 bicycles.

Or

100 televisions were accounted for on the release request. Upon examination, the shipment is found to contain 100 computers.

C360 would apply as the bicycles and/or computers were not accounted for at all.

Scenario 2

100 televisions were accounted for on the release request. Upon examination, the shipment is found to contain 150 televisions

C005 would be the more applicable penalty in this scenario since the commodity was accounted for (and, therefore, the CBSA is able to risk assess the commodity), but the quantity was inaccurate.

The Y50, Reject Document Control, process requesting corrected or additional information is a necessary step in order to reach a final release decision and to ensure the release request is true, accurate and complete. Issuance of a Y50 does not remove the applicability of an AMP penalty being issued as a result of the related contravention occurring.

Although a penalty may be applied under this contravention all OGD admissibility requirements must be met at time of release. OGDs may also apply their own administrative monetary penalties.

For failure to provide permits, licences, certificates, other documents or information that is required by OGDs, see C071. However, should circumstances arise where an undeclared commodity also results in failure to provide permits, licences, certificates, other documents or information that would have otherwise been required at time of release, C360 should be applied in lieu of C071.

For contraventions relating to undervaluation through false written receipts or information, see C348.

For failure by a carrier to report goods under subsection 12 (1), see C021.

For failure by a person who does not use the services of a carrier to report goods under subsections 12 (1) and (3), see C366.

For failure to account for imported goods found during a trade compliance verification or audit, see C070.

For administrative type errors, see C005.

References

Legislation

Customs Act, section 7.1

D-Memo

Other

Accounting for Imported Goods and Payment of Duties Regulations

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