What is CARM and how does it work?
CARM, The Canada Border Services Agency (CBSA) Assessment and Review Management, is the modernization of the Canada Customs collections process. It’s a multi-year initiative to transform the collections of duties and taxes for goods imported into Canada. CARM will modernize the reporting of customs information by importers, the payment of duties and taxes, and the availability of import information online.
Before CARM, importers paid customs brokers for their duties and taxes. Now, importers will pay the government directly for duties & taxes. The intention of the project is to modernize and simplify the importing process.
Phases of CARM
Release 1 – May 25th, 2021
Release 1 launched the CARM Client Portal (CCP), a self-service tool to help facilitate the accounting and revenue management process with the CBSA. This self-service portal provides businesses with new tools so they can see their owed amounts and manage their accounts.
After registering in the CCP, all importers, brokers, and trade consultants will be able to view their statements and transactions, request a ruling, and pay online. During Release 1, importers, brokers, and trade consultants will be required to create their portal Business Account and designate a Business Account Manager (BAM). The BAM will be responsible for managing the account.
Release 2 – October 2023
Release 2, launching October 2023, will expand the functionalities of the CARM Client Portal. It will also bring significant changes to the way importers conduct commercial business.
Release 2 will add a new commercial accounting declaration that will replace the customs coding form B3. This declaration will have the ability for corrections and adjustments.
Other functionalities added to the CCP will be:
- New offsetting instructions
- Harmonized billing cycles
- Electronic management of appeals and compliance actions
- Changes to release-prior-to-payment requirements for bonds
Who Does CARM Impact?
CARM impacts all companies importing goods into Canada. Any company importing goods into Canada must register in the CCP by October 2023. The CCP will be the sole platform to communicate with the CSBA, and as of October 2023, submitting payments to customs brokers will be discontinued.
How do I register for CARM?
Step 1: Locate your 9 character Company Business Number and your RM/Importer Business Number.
Step 2: Visit the CARM Portal.
Step 3: Choose your sign-in partner or login using your GCKey User ID and password.
Step 4: Create your Personal Profile.
Step 5: Choose “Register My Business”
Step 6: Enter your Company Business Number
Step 7: Validate and review your business information. Note, you will need to have transaction information ready. This includes the total duties and taxes for 1 of your 5 most recent importations that were accounted for on a B3 (Canada Customs Coding form).
Important to note:
- The first person who registers the business in the CCP will be identified in the Portal as one of your Business Account Managers (BAM).
- The legal entity name and address must exactly match what CBSA has in their system, including any punctuation or abbreviations.
- When Release 2 goes live, it will be mandatory to participate. Make sure you’re registered by Spring 2022.
If you want to learn more about CARM, reach out to our team today.