Remission orders can create significant duty savings or refund opportunities, but they should be reviewed individually since they apply only to specific goods, countries, periods, importers, or uses.
Remission orders can change the amount of duty, surtax, or tax you pay on your imports, but only when your goods and transaction meet the order’s specific conditions.
Each order has its own scope, eligibility rules, effective dates, claim process, and documentation requirements.
In this article, we explain what remission orders are, common examples, how to claim remission, and your ongoing compliance obligations.
A remission order is a formal government measure that allows for the waiving, reduction, or refund of amounts that would otherwise be payable on specific imported goods. It may apply to an existing situation or be introduced when new duties, surtaxes, or trade measures create unusual cost pressure for certain businesses or sectors.
For commercial imports, remission orders may apply to customs duties, surtaxes, or certain taxes. In some cases, an order may also provide relief from excise taxes. An order does not usually remove duties for all importers in a sector. Instead, it may apply to a defined class of goods, a specific country, a specific period, certain importers, or a specific use.
The relief may cover all or part of the amount owed, and it may apply either at import or through a refund or adjustment after amounts have already been paid.
Remission orders on commercial goods take many forms, such as:
Remission is case-specific. To benefit from an order, your goods must meet the criteria set out in that order.
To claim remission at the time of import, the relevant special authorization code is entered in the Special Authority OIC field on the Commercial Accounting Declaration (CAD). Depending on how the shipment is accounted for, this may be done through the CARM Client Portal (CCP) or EDI/API.
If you didn’t claim relief at the time of import, you may be able to request it through the CCP by filing a CAD correction or adjustment, subject to the terms and deadline in the specific order.
Many remission orders set a two-year claim period from the date of importation, but timelines vary. Always confirm the applicable deadline against the order.
As the importer of record, you remain responsible for showing that your goods qualify for remission, even after release.
You should keep records that support tariff classification, value for duty, origin, end use, import date, importer eligibility, and any other conditions required by the remission order. Import records generally need to be maintained for six years.
If goods that received remission no longer meet the order’s conditions, or if information used to claim remission was incorrect, you may need to correct the declaration and pay any amounts owing.
CBSA may review the claim after relief is granted. If the goods did not qualify, CBSA may assess the duties, surtaxes, taxes, or other amounts owing, plus interest, and may apply Administrative Monetary Penalty System (AMPS) penalties.
At Cole International, we offer trade consulting and customs brokerage services to help Canadian importers identify duty relief opportunities and review their documentation for eligibility and compliance.
Reach out to one of our trade professionals to find out if a remission order may apply to your imports.