Cole Blog

CBSA compliance verification trends - May 2024

Written by Audit Response Unit (ARU) - Cole International | May 8, 2024 11:00:00 AM

The Canada Border Services Agency (CBSA) prioritizes certain industries and products for audits to ensure ongoing compliance verification. Cole’s Audit Response Unit keeps track of CBSA trade compliance verification trends that we see emerging throughout the year. We share our industry knowledge regularly to keep you up to date and prepared for important trends in customs compliance.

Stay prepared for compliance

Preparation is key when you’re importing goods that have been targeted for compliance verification by the CBSA.

Products on the CBSA’s priority list are much more likely to be audited compared to goods that aren't prioritized. Knowing which goods are being targeted will help you stay prepared to ensure compliance, giving you the chance to account for added costs, adjusted sales prices, and potential delays at the border.

If you aren’t prepared and the CBSA determines that you're not complying with regulations, you may be facing duties, taxes, and additional penalties.

Compliance verification trends update – May 2024

Over the past few months, we have noticed that the following products have been trending for increased CBSA compliance verification:

Spice mixtures - Spice mixtures that contain non-spice ingredients do not belong in chapter 9 of the Harmonized System. These types of spice mixtures could fall into heading 21.03 as mixed seasonings, with a possible duty rate of 9.5%.

Granite products - If granite stone is polished, the CBSA feels that this product is better classified as finished stone, which has a duty rate of 6.5%. Granite stones that haven’t been polished aren’t classified as finished stone, carrying a lower duty rate of 3.5%.

Dehumidifiers – Dehumidifiers with a weight of less than 20 kg can be classified under heading 85.09. Dehumidifiers weighing more than 20 kg could fall under heading 8479.89.20.22 with a duty rate of 7.5%.  

How to respond to compliance trends

When the goods you're importing have been targeted as a priority for compliance verification, our audit specialists recommend that you conduct an internal review to ensure your imports have accurate and complete documentation.

It's a good idea to gather paperwork and information about your imports, such as:

  • Previous verification results
  • Copies of past rulings provided by Customs
  • Copies of previous communications or opinions provided by Customs
  • Detailed technical information for your products
  • Previous product classifications, origins of goods, and other related documentation

If you notice any errors or omissions in your previous paperwork and documentation, it's a good idea to voluntarily disclose mistakes instead of waiting for the CBSA to notice.

Work with an experienced audit professional

Cole's dedicated Audit Response Unit includes experienced customs professionals who stay current on verification trends. They understand the potential risks and costs of facing an audit, working with you to respond effectively and prevent issues in the future.

Contact our Audit Response Unit now.

Information provided by: Audit Response Unit (ARU) - Cole International

Watching audit trends. It's what we do.