CBSA Notification on Voluntary Disclosure of Unreported Goods Transiting Through the U.S.

Canada Border Services Agency (CBSA) issued Customs Notice 15-035 to advise exporters of a grace period for voluntarily disclosing undeclared exports that should have been reported to the Canada Border Services Agency (CBSA).

The CBSA is offering a six-month grace period, from December 1, 2015 to June 1, 2016, to companies who wish to voluntarily disclose exported shipments that transited through the U.S. prior to the issuance of this customs notice that should have been reported, but were not. Companies that report eligible unreported goods using this process will not be penalized.

CBSA has noted that a large number of businesses have been exporting goods to Mexico and other countries, transiting through the U.S. in the highway mode, without declaring them to the Agency.

Goods transiting through the U.S. to a subsequent destination for consumption must be reported on an export declaration. Because the ultimate destination of the goods is a country other than the U.S., they must be reported if their value is CAN$2,000 or more.

In addition, if the goods are controlled, other than by a General Export Permit, the appropriate permit/licence/certificate and an export declaration must be presented to the CBSA before the exportation, regardless of the value of the goods.

CBSA D20 Memoranda series provides details on Export Reporting requirements and Maintenance of Records and Books.