A REALLY Useful Tool - ACE

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I’m at the point in teaching my 16-year-old daughter to drive that we’re now out on highways, making the long drives to practice staying in lanes, merging onto expressways, and staying within the speed limit, so we have time to talk a little about things other than watching out for bicyclists and what to do if a squirrel jumps out in front of you (bye, bye squirrel). Lately, we’ve been chatting about TV shows she used to watch when she was little – Teletubbies, Zoboomafoo, and, a perennial favorite, Thomas the Tank Engine. Sir Topham Hatt, the director of the railway, reserves his highest praise for the trains in very unique situations, such as pulling a load of school children up a steep hill, or helping a larger engine push an extremely heavy load of coal. At the conclusion of the episode, he would intone, “You are a Really Useful Engine.”

 
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Topics: Import Consulting, HS Classification

Are You a Target for the CBSA This Year?

blog-target-031115Customs Audits……Stop rolling your eyes like you did when your Father told you good things come to those who wait” or “Rome wasn’t built in a day.”

Customs audits happen more regularly than your Father’s platitudes. I have worked with importers on some audits that have resulted in some minor changes. Yet there are others that take up lots of time, money, and resources. All of this trouble and drama can be avoided with a little preventative maintenance.

The usual issues for the CBSA are classification, valuation and preferential trade agreements. These are three things that as an importer you should have a good handle on. The CBSA is even kind enough to provide us with a list of the types of imported products they are targeting and what they are targeting them for. The link below takes you a list of items that the CBSA will be auditing this year. 

http://cbsa-asfc.gc.ca/import/verification/menu-eng.html

It also tells you whether they are auditing for classification or valuation. You can click on a target to expand it and get a detailed description including the number of audits performed, value of reassessments and the fines that have been levied as a result of the audits. This is just like a dashboard light coming on telling you that you need gas. You don’t need that. You have that big gauge. Yet people still run out of gas.

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Topics: Export Consulting, Import Consulting, North America, HS Classification

Surprise! It’s End Use

End_UseIt’s that time of year where you get out the fall or winter jacket as the temperatures begin to drop. Well at least they do in Canada. There is almost nothing better than reaching into one of the pockets and finding a 10 or 20 dollar bill. The thoughts race through your mind as you gaze upon your new found treasure. Ahh found money.

Maybe I could buy something nice for someone….

Maybe I could place a bet on my favorite team….Or better still the underdog….

Maybe I could save it for a rainy day…Nah that’s just way too sensible.

Found money can turn up in the most unlikely places. The Canadian Customs Tariff has a whole chapter dedicated to found money, but most people never think to look there. Chapter 99 is titled “Special Classifications – Commercial”. What exactly does that mean? Housed in Chapter 99 are Harmonized System (H.S.) classifications that are tied to certain conditions; for the most part a specific end use. Goods imported into Canada that are normally dutiable may have an applicable Chapter 99 classification that would render them duty free provided they meet the criteria of the Chapter 99 classification.

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Topics: North America, HS Classification

Compliance Training: Like a Birthday at Work but You Don't Have to Sing

18-training-081914Over the last two weeks, requests for training seminars and workshops have really accelerated.  It might be our charming speakers, the nice weather, or perhaps, unbeknownst to me of course, that they are serving sangria at lunch. Regardless of the reason I thought I would touch on some of the unsung benefits of HTS Classification training. 

If you are in compliance, at some point in your career you have asked an engineer for the type of screw in a machine. Maybe you asked what it was made out of, or the head type, and they looked at you quizzically and likely ignored your request. They may have given you the look that said… “Those regulatory people must be fun at parties...”  (We are, but only because the Tariff drives us to drink).  For those lucky people with apparel classification, we need to know the thread count… really we do.

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Topics: HS Classification, Compliance Training

How to Build a Compliance Manual

11Compliance manuals are excellent vehicles to help importers and exporters ensure that they are doing everything they can to operate in conformity with the various laws and regulations under which they operate. The trick, however, is in deciding what actually needs to go into the manual.

A good jumping off point is to take a realistic look at the way your enterprise operates, and then ascertain what kinds of risk your various activities present to a regulator.

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Topics: Duty Drawback, Export Consulting, Import Consulting, HS Classification, Compliance Training