WHAT is a Voluntary Disclosure  & WHY do I have to make one?

A Voluntary disclosure is a process by which an importer may come forward voluntarily to notify the Canada Border Services Agency (CBSA) of non-compliance. This process can include: 

• Disclosing previously unreported information
• Correcting inaccurate or incomplete information

The importer is required to take all steps necessary to return to a compliant status, including full payment of all duties, taxes, and for commercial goods, any interest owing. 

Where the disclosure involves previously unreported goods, the CBSA may require that the goods be presented for inspection and value determination. In cases where the goods cannot be presented (e.g., due to damage or theft), the proof of the acquisition (i.e., receipt, sales invoice, purchase agreement or other documentation) can be accepted in lieu of the actual goods. For unreported goods, the carrier may be subject to penalties, even if the importer is not.

As the importer on record, it is important to remember that you are ultimately responsible for the accounting documentation, payment of duties and taxes, and subsequent corrections such as re-determination of classification, origin and valuation even if you use the services of a customs broker. Non-compliance with CBSA requirements may result in being assessed a monetary penalty under the Administrative Monetary Penalty System (AMPS).

Also note that it is the importer’s responsibility to file a voluntary declaration to the CBSA to account for any goods which entered Canada without a formal Customs release. If it is determined the shipment entered Canada but was not accounted for with the CBSA, we can file a voluntary declaration on your behalf at your request. We also recommend an internal review to determined where the error occurred in order to correct procedures for future shipments.

For more information on filing Voluntary Disclosures, contact us.

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