What Are the CBSA CARM Releases and What is a CBSA Commercial Accounting Declaration (CAD)?

Many in the Canadian customs industry are monitoring the CBSA CARM program. The initiative which transforms how the Canada Border Services Agency (CBSA) assesses, collects, manages and reports on import revenue and trade information. Brokers and importers are keeping a close watch on the release schedule as well as new forms and procecsses such as Commercial Accounting Declaration (CAD).

The Commercial Accounting Declaration (CAD) is a new EDI format. This electronic document replaces the current Canada customs coding B3 form and the Canada customs adjustment request B2 form. When the CARM initiative is fully introduced, users will be able make corrections and adjustments to the CAD. Full functionality that enables corrections and adjustments to the CAD will not be offered until Release 2.

When the CARM Client Portal goes live, importers, customs brokers, and some trade consultants will be able to log-on to the CARM Client Portal which features:

• The ability to set up a Pre-authorized Debit (PAD) to remit payment in addition to credit card or Automated Clearing House (ACH) withdrawal
• Statements of Account (SoAs) and basic client transaction transmission 
• The ability to delegate access to business accounts, individuals and/or legal entities  
• Rulings requests 
• A new onboarding process 

When Release 2 is implemented, more robust functionality will be implemented. Release 2 features:

• The introduction of a new Commercial Accounting Declaration (CAD)
  • The CAD enhances and replaces the current B3 customs coding and B2 adjustment request forms 
  • The release process itself will not be impacted (except for B3 Type C release entries where the CAD will be presented as part of release package instead of a B3 form)
• Duties and taxes will be automatically calculated based on information presented on the CAD 
• Delegation of authority must be performed to enable a customs broker to submit a CAD on behalf of the importer 
• The ability to submit, correct, or adjust a CAD
  • Changes to a CAD can be performed manually via the CARM Client Portal, via EDI, or through a technology provider such as Descartes 
  • Electronic versioning of the CAD replaces the legacy paper B2 adjustment process 
  • A correction period will be introduced that will allow changes between CAD submission and the payment 
  • Mass adjustments can be submitted without prior CBSA approval in certain scenarios