As we approach the launch of the second phase of CARM, it is important that you understand the benefits of this new initiative and how it will affect you.
What is CARM?
CARM is a program that has been rolled out over the past few years by the Canadian government to help improve the efficiency of importing goods into Canada.
CARM, an acronym for CBSA Assessment and Revenue Management, is a user-friendly digital platform that will help the Canada Border Service Agency (CBSA) collect duties and taxes for anything imported into Canada.
Who is an importer?
An importer is anyone, whether an individual person or a company, that brings goods into Canada from another country intending to sell those goods and therefore is responsible for paying duties and taxes on those items.
Categories of importers include:
Both of these types of importers are required to pay duties and taxes on their imported goods.
Why is CARM being implemented?
CARM is being implemented to help simplify and modernize the way CBSA monitors imported goods and manages revenue.
Streamlining the importing process is meant to encourage importers to bring their goods into Canada, which is crucial for the economy.
The goals of CARM are:
The phase of the CARM releases
CARM is being rolled out in two phases, release 1 and release 2.
Release 1 was implemented in May 2021, and release 2 has had a few release dates but is now said to finalize in the fall of 2023.
Release 1 allows importers to do the following online:
Release 2 will expand the functions of CARM to include:
CARM Client Portal (CCP)
At release 2, anyone who brings commercial goods into Canada must have a CCP in order to continue importing. Setting up an account is simple and will ensure there is no interruption to your business.
Here is a step-by-step when setting up your CCP
You can sign up with a sign-in partner. This option lets you create an account with all the information you already have on file with the sign-in partner. Generally, it is an online banking account that is used as a sign-in partner. None of your banking information will be shared, not even which sign-in partner is being used, but it is used to verify who you are.
If you don’t want to use one of the sign-in partners, you can register for a GCKey user ID and password. You may already have a GCKey through your CRA account, but creating a new one for your CCP through the portal would be a good idea so you don’t confuse your personal accounts with business accounts.
A couple of things to consider when deciding whom to designate as the BAM to your account are:
Benefits of CARM
The benefits of using CARM are meant to streamline the overall process of importing into Canada and make it so easy that importers want to bring their products here with a no-fuss, no-muss importing system.
A couple of key benefits include:
Importing is an essential part of Canada’s economy, so implementing a system that makes the process easy to understand and use is beneficial to the people importing and the economy overall.