Canada-U.S. Blog Trade Lawyers Cyndee Todgham Cherniak and Susan K. Ross

Tag Archives: tariff classification

What We Have is a Failure to Communicate: Computer Programmers Should Not be Expected to Know Customs and Trade Compliance

Posted in AMPs, Corporate Counsel, Cross-border deals, Cross-border trade, Customs Law, Export Controls & Economic Sanctions, Exports, GST/HST, Imports Restrictions, origin, Sales Taxes, tariff classification, Tax, valuation

This is a common problem – too common.  The people in the company responsible for customs and trade compliance do not work closely with the computer programmers as software is being developed — and mistakes are made.  The computer programmer does his or her job in preparing the code, but does not have any knowledge… Continue Reading

Ask Questions Before You Market Access into Canada?

Posted in AMPs, Canada's Federal Government, Corporate Counsel, Cross-border trade, Customs Law, GST/HST, origin, Sales Taxes, tariff classification, valuation

Many U.S. and foreign companies that sell goods on Internet-based retail platforms (both in-house platforms and Amazon-type platforms) should ask more questions as they access Canada’s consumer market.  Often, the first question asked by the foreign company is how to access the Canadian market (as they see dollar signs).  After they foreign company figures out… Continue Reading

Non-Resident Importers Having Difficulties Dealing With The CBSA

Posted in Canada's Federal Government, Corporate Counsel, Cross-border deals, Cross-border trade, Customs Law, GST/HST, origin, tariff classification, valuation

Last week, I was informed by four different U.S. non-resident importers (or their representatives) that the non-resident companies were frustrated in their dealings with the Canada Border Services Agency (“CBSA”) – to the point that they may cease selling to Canadian customers.  While some of the complaints were more connected with customs brokers, many of the complaints… Continue Reading

Are You Ready for CETA?: 20 Questions That Canadian Importers Should Be Asking

Posted in Canada's Federal Government, Canada-EU CETA, Corporate Counsel, Cross-border trade, Customs Law, Imports Restrictions, origin, tariff classification, Trade Agreeements, valuation

The Canada-European Union Comprehensive Economic and Trade Agreement (“Canada-EU CETA”) is a free trade agreement between Canada and the 28 countries of the European Union.  The Canada-EU CETA is Canada’s largest free trade agreement since NAFTA.   There are opportunities for Canadian importers to save the customs duties on goods that they are currently importing… Continue Reading

What Is An H.S. Tariff Classification Number?

Posted in Cross-border trade, Customs Law, Imports Restrictions, tariff classification

An H.S. Tariff Classification Number is a 10 digit number that must be provided on import documentation in order to communicate what is the good that is being imported. Theoretically, every type of good is covered by the H.S. Tariff Classification Numbers and each good can be matched with a number.  The Canada Border Services Agency… Continue Reading

What Did The Supreme Court of Canada Say About Appeals of CITT Tariff Classification Decisions?

Posted in Uncategorized

On September 29, 2016, the Supreme Court of Canada upheld a decision of the Canadian International Trade Tribunal (“CITT”) as reasonable.  In Attorney General of Canada v. Igloo Vikski Inc., the majority of the Supreme Court of Canada held that imported hockey gloves should be classified as “gloves, mittens and mitts” under tariff item 6216.00.00 and… Continue Reading

How Canadian! The Supreme Court of Canada’s First Tariff Classification Decision Is For Hockey Gloves

Posted in Customs Law, Legal Developments, tariff classification

On September 29, 2016, hours before Canada won the World Cup of Hockey, the Supreme Court of Canada issued its first tariff classification decision since Canada signed the International Convention on the Harmonized Commodity Description and Coding System in 1998. At the heart of the decision was the proper tariff classification for goalie gloves, known… Continue Reading

Let’s Shed Some Lights On The Subject: The CBSA Is Targetting Lamps

Posted in Customs Law, tariff classification

On July 11, 2016, the Canada Border Services Agency (“CBSA”) announced their audit priorities for the second half of 2016.  One of the priorities for tariff classification verifications is “parts of lamps”.  Parts of lamps were first announced as a verification priority in 2015.  The CBSA takes the position that parts of lamps are classified… Continue Reading

What Are The Pros And Cons Of Being A Non-Resident Importer Into Canada?

Posted in Cross-border trade, Customs Law, GST/HST, Imports Restrictions, Intellectual Property, origin, Sales Taxes, tariff classification, valuation

The Internet enables foreign companies to market and sell to Canadian consumers without setting up in Canada.  A common question of foreign sellers with opportunities to sell to Canadians is “Should I sell into Canada as a non-resident importer?” Before answering this question, we must go back to the basics. What is an importer?  The… Continue Reading

What Is The Difference Between A Red/Green Olive And A Black Olive?

Posted in Agriculture, Customs Law, tariff classification

The answer to this question is found in the recent Canadian International Trade Tribunal (“Tribunal”) tariff classification appeal case of Délices de la Forêt Inc. v. President of the Canada Border Services Agency (“CBSA”), AP-2015-018. The issue in this case was whether green and red olives in brine in a glass jar were properly classified… Continue Reading

How To Apply For An Advance Customs Ruling in Canada

Posted in Cross-border deals, Cross-border trade, Customs Law, tariff classification

Many importers in Canada want to minimize the risk of an assessment of customs duties for getting a tariff classification incorrect. If an importer or exporter or foreign producer of goods cannot figure out how the Canada Border Services Agency (“CBSA”) would classify a good for customs duty tariff classification purposes, sometimes the best thing… Continue Reading

Do Your Employees Know Enough To Complete A Certificate Of Origin Properly?

Posted in Cross-border trade, Customs Law, origin, tariff classification, Uncategorized, valuation

Let’s face the truth, the legal department does not sign off on certificates of origin.  In most companies exporting their goods, it is the sales department or the logistics department that prepares and signs the certificates of origin.  In many companies, the certificate of origin is just a piece of paper that has to be… Continue Reading

What Is A “Blanket Authorization” And Why Does It Matter?

Posted in Customs Law, origin, tariff classification, Uncategorized, valuation

According to the Canadian International Trade Tribunal (“CITT”) in Worldpac Canada v. President of the Canada Border Services Agency, AP-2014-021 (Order and Reasons released on February 18, 2016 and posted on the CITT website on March 8, 2016), a “blanket authorization” is a “mechanism involving a specific process by which an importer can apply to… Continue Reading

How To Apply For An Advance Customs Ruling in Canada

Posted in Cross-border deals, Cross-border trade, Customs Law, tariff classification

Many importers in Canada want to minimize the risk of an assessment of customs duties for getting a tariff classification incorrect.  If an importer or exporter or foreign producer of goods cannot figure out how the Canada Border Services Agency (“CBSA”) would classify a good for customs duty tariff classification purposes, sometimes the best thing… Continue Reading

Pet Toys Are Not Classified For Customs Purposes The Same As Humans’ Toys in Canada

Posted in Customs Law, tariff classification

Even though I am amused at my puppy playing with her toys, the Canada Border Services Agency (“CBSA”) does not classify pet toys under H.S. Code 95.03 unless there is an identical toy for humans.  In Pet Valu Canada Inc v D/MNR (CITT File No. AP-97-017 and AP-97-053, AP-97-102, and AP-97-118) (which is an old… Continue Reading

What Are The Canada Border Services Agency’s 2016 Verification Priorities?

Posted in Cross-border trade, Customs Law, origin, tariff classification, valuation

Is your import company going to be audited by the Canada Border Services Agency (“CBSA”) in 2016?  It is hard to predict whether you will be the lucky person to host the CBSA at your business.  The chances increase exponentially if you import one of the goods that the CBSA has listed as a priority. … Continue Reading

How To File A Tariff Classification Appeal in Canada

Posted in Customs Law, tariff classification

If the Canada Border Services Agency (“CBSA”) has made an error during a tariff classification verification, the importer may file a request for re-determination to appeal the assessment of duties.  In most cases, the CBSA changes the tariff classification from duty-free (i.e., 0%) to a higher duty rate (e.g., 10%) and issues a detailed adjustment… Continue Reading

Removing Confusion Over Tariff Classification of “Religious Articles”

Posted in Customs Law, tariff classification, Uncategorized

On August 27, 2015, the Canada Border Services Agency (“CBSA”) reissued D-Memorandum D-14-15-12 “Interpretation of Tariff Item 9986.00.00”, which supercedes the previous version.  The new and improved version is much longer than the previous May 29, 1998 version. Goods that are properly classified pursuant to H.S. item number 9986.00.00.00 enter Canada duty free regardless of… Continue Reading

Dear Duck Dynasty, The Canada Border Services Agency Issues D-Memo on Decoy Calls

Posted in Customs Law, Legal Developments

On August 27, 2015, the Canada Border Services Agency (“CBSA”) issued D-Memorandum D10-14-65 “Tariff Classification of Decoy Calls“.  I did not realize that there was an issue relating specifically to decoy calls.  The issue was serious enough that the CBSA issued a specific administrative policy statement. The CBSA states that: “As heading 92.08 covers, among other… Continue Reading