{"id":15096,"date":"2023-07-12T05:01:55","date_gmt":"2023-07-12T12:01:55","guid":{"rendered":"https:\/\/michaeljbrumm.com\/dcl-v3\/?p=15096"},"modified":"2024-05-08T08:53:07","modified_gmt":"2024-05-08T15:53:07","slug":"what-is-carm","status":"publish","type":"post","link":"https:\/\/michaeljbrumm.com\/dcl-v3\/blog\/shipping\/what-is-carm\/","title":{"rendered":"What is CARM and Does it Apply to my Ecommerce Business?"},"content":{"rendered":"

The Canada Border Services Agency (CBSA) is in the process of instituting a new program to streamline how duties and taxes are collected for cross border shipments. This new program is called the <\/span>Canada Assessment and Revenue Management<\/span><\/a> (CARM) project and its aim is to modernize how merchants’ <\/span>imports goods into Canada<\/span><\/a>.<\/span>\u00a0<\/span><\/p>\n

CARM is set to launch in October 2023 and brands shipping into Canada will be required to make significant changes prior to that date. Ultimately with this new program, merchants will take on more responsibility for their importation process, products, and customs fees associated.\u00a0<\/span>\u00a0<\/span><\/p>\n

The TL;DR on CARM\u00a0<\/span><\/b>\u00a0<\/span><\/p>\n

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  1. CARM project will launch in Oct 2023<\/span>\u00a0<\/span><\/li>\n<\/ol>\n
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    1. CARM is changing the way B2B and commercial shipments clear customs in Canada<\/span>\u00a0<\/span><\/li>\n<\/ol>\n
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      1. Customs brokers will no longer be able to release B2B shipments on their own surety bond, known as Release Prior to Payment (RPP)<\/span>\u00a0<\/span><\/li>\n<\/ol>\n
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        1. The importer will be responsible for paying duties and taxes and must provide \u201cfinancial security\u201d through a surety bond or a cash deposit<\/span>\u00a0<\/span><\/li>\n<\/ol>\n
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          1. The importer can be a Canadian retailer, a US brand, or a third party<\/span>\u00a0<\/span><\/li>\n<\/ol>\n

            What\u2019s Changing with CARM?<\/span><\/b>\u00a0<\/span><\/p>\n

            Beginning in October 2023, all <\/span>commercial shipments to Canada<\/span><\/a> will require the shipper to pay duties and taxes through the CARM client portal.\u00a0<\/span>\u00a0<\/span><\/p>\n

            The two main changes to note are:<\/span>\u00a0<\/span><\/p>\n