As a result of ongoing efforts by the Canada Border Services Agency (CBSA) to modernize customs procedures for imports in Canada, there have been some changes that will impact you as a retailer if you are importing orders into Canada (orders shipped from outside Canada, into Canada).
The CBSA Assessment and Revenue Management (CARM) system changes launched externally on October 21, 2024, with a 180-day transition for importers to post security and access the RPP Program. Following stakeholder feedback, this transition was extended by 30 days, ending on May 20, 2025.
We strongly recommend you get your business set up earlier than later, to ensure a smooth and seamless transition for your international imports.
What is CARM?
The CBSA Assessment and Revenue Management (CARM) project was first launched on May 13, 2021. The purpose of CARM is to modernize the collection of duties and taxes on goods imported into Canada. The focus of the first phase was to allow importers, brokers, etc. to register their business accounts on the CARM Client Portal (CCP). This is an online self-service tool intended to simplify the way the industry transacts with the CBSA, by replacing many existing paper based processes.
If you have a customs broker, some of this information will be relevant for them, as they will be the party in charge of processing your imports. However, specific attention is drawn to requirements 2 and 3 below, as these requirements apply solely to the importer, and not the customs broker.
The newest update launched May 20, 2025, and is intended to expand the features of the CCP by allowing users to:
- Submit, correct, and adjust an electronic commercial accounting declaration (CAD) that will replace the current customs coding form (B3) and request for adjustment form (B2)
- Post and monitor security to participate in the Release Prior to Payment (RPP) program, as importers will no longer be able to rely on their customs’ brokers bond to participate in the RPP program
- Register for a Business Number and enroll in various CBSA commercial programs
- Electronically manage appeals and compliance actions
How will this impact Canadian orders on Faire?
Orders that are shipped from a location outside of Canada to a Canadian address undergo customs clearance procedures on their arrival at the Canadian customs border.
Prior to the May 2025 launch, these orders can be released to importers prior to the payment of import duties and fees. This is known as the Release Prior to Payment Program (RPP).
What’s changing :
- Before October 2024: Until now, you have been able to rely on the financial security that has been posted by the customs broker in order to receive imported shipments, before having to pay import duties and fees.
- After May 2025: With the implementation of CARM Release 2, you (as the importer) will be required to post your own financial security. You will no longer be able to use the brokers’ security. There are different options available with respect to how you can post financial security. For further information, please refer to the CBSA’s CARM: Release schedule, features and benefits, under the question: What options are available in October 2024 to post a financial security?
What next steps should I take?
-
Register with the CCP - In preparation of CARM Release 2, all importers should first register and become familiar with the CCP, to benefit from a 180-day transition period. During this transition period, commercial importers will be able to obtain RPP of duties and taxes even if they have not yet posted their own financial security. Users can register with the CCP on the CARM Client portal
- We strongly recommend that you register with the CCP by the end of April, to ensure that you are eligible for the 180-day transition period.
- Acquire a Canadian Business Number (BN) (if not already registered) - You will now have to acquire a valid BN and Import-Export (RM) program account number before importing goods into Canada. For more on this process, please visit the Canada Revenue Agency (CRA) website.
- Delegation of Authority - The broker used to clear your imported order through Canadian customs needs to receive delegated authority via your CCP in order to clear your imported order. You can expect to receive an access request through your CCP from the broker.You will then need to respond for the broker to be able to clear your imported order.
- Obtain an RPP Bond - You will be required to post your own financial security (ex: surety bond or cash deposit) with the CBSA for the release of the goods you import, prior to accounting and payment of all applicable duties and taxes.
- Power of Attorney (PoA) - If you do not already have an account with the customs broker, then they will likely contact you to confirm some details before being able to clear your imported order. You may receive a phone call from the relevant broker so that they can meet this requirement. As such, you should ensure that the contact information you have entered in your account settings is linked to someone who can respond on behalf of your business.
For more information relating to the CARM import requirement changes, including responses to some FAQs and advice on posting financial security, please visit the CBSA website.
Where can I get more guidance about CARM?
Aside from the CBSA website, we recommend :
- Checking the very detailed resources in the CBSA CARM2 Google drive as these will most likely answer any specific question or blocker you encounter, and guide you through the CARM portal set up.
- You can also contact the CBSA directly with questions on this email: cbsa.carm_engagement-engagement_de_la_gcra.asfc@cbsa-asfc.gc.ca