Customs Act (R.S.C., 1985, c. 1 (2nd Supp.))

Act current to 2014-03-16 and last amended on 2013-12-12. Previous Versions

PART IIICALCULATION OF DUTY

Duties Based on Percentage Rates

Valuation for Duty

Marginal note:Ad valorem rates of duty

 If duties, other than duties or taxes levied under the Excise Act, 2001 or the Excise Tax Act, are imposed on goods at a percentage rate, such duties shall be calculated by applying the rate to a value determined in accordance with sections 45 to 55.

  • R.S., 1985, c. 1 (2nd Supp.), s. 44;
  • 2002, c. 22, s. 335.

Interpretation

Marginal note:Definitions
  •  (1) In this section and sections 46 to 55,

    “computed value”

    « valeur reconstituée »

    “computed value” means, in respect of goods, the value of the goods determined in accordance with section 52;

    “country of export”

    « pays d’exportation »

    “country of export” means, in respect of goods, the country from which the goods are shipped directly to Canada;

    “deductive value”

    « valeur de référence »

    “deductive value” means, in respect of goods, the value of the goods determined in accordance with subsection 51(2);

    “goods of the same class or kind”

    « marchandises de même nature ou de même espèce »

    “goods of the same class or kind”, in relation to goods being appraised, means imported goods that

    • (a) are within a group or range of imported goods produced by a particular industry or industry sector that includes identical goods and similar goods in relation to the goods being appraised, and

    • (b) for the purposes of

      • (i) section 51, were produced in any country and exported from any country, and

      • (ii) section 52, were produced in and exported from the same country as the country in and from which the goods being appraised were produced and exported;

    “identical goods”

    « marchandises identiques »

    “identical goods”, in relation to goods being appraised, means imported goods that

    • (a) are the same in all respects, including physical characteristics, quality and reputation, as the goods being appraised, except for minor differences in appearance that do not affect the value of the goods,

    • (b) were produced in the same country as the country in which the goods being appraised were produced, and

    • (c) were produced by or on behalf of the person by or on behalf of whom the goods being appraised were produced,

    but does not include imported goods where engineering, development work, art work, design work, plans or sketches undertaken in Canada were supplied, directly or indirectly, by the purchaser of those imported goods free of charge or at a reduced cost for use in connection with the production and sale for export of those imported goods;

    “price paid or payable”

    « prix payé ou à payer »

    “price paid or payable”, in respect of the sale of goods for export to Canada, means the aggregate of all payments made or to be made, directly or indirectly, in respect of the goods by the purchaser to or for the benefit of the vendor;

    “produce”

    « produit »

    “produce” includes grow, manufacture and mine;

    “purchaser in Canada”

    « acheteur au Canada »

    “purchaser in Canada” has the meaning assigned by the regulations;

    “similar goods”

    « marchandises semblables »

    “similar goods”, in relation to goods being appraised, means imported goods that

    • (a) closely resemble the goods being appraised in respect of their component materials and characteristics,

    • (b) are capable of performing the same functions as, and of being commercially interchangeable with, the goods being appraised,

    • (c) were produced in the same country as the country in which the goods being appraised were produced, and

    • (d) were produced by or on behalf of the person by or on behalf of whom the goods being appraised were produced,

    but does not include imported goods where engineering, development work, art work, design work, plans or sketches undertaken in Canada were supplied, directly or indirectly, by the purchaser of those imported goods free of charge or at a reduced cost for use in connection with the production and sale for export of those imported goods;

    “sufficient information”

    « renseignements suffisants »

    “sufficient information”, in respect of the determination of any amount, difference or adjustment, means objective and quantifiable information that establishes the accuracy of the amount, difference or adjustment;

    “transaction value”

    « valeur transactionnelle »

    “transaction value”, in respect of goods, means the value of the goods determined in accordance with subsection 48(4).

  • Marginal note:Goods deemed to be identical goods or similar goods

    (2) For the purposes of this section and sections 46 to 55, where there are no identical goods or similar goods, as the case may be, in relation to goods being appraised but there are goods that would be identical goods or similar goods, as the case may be, if they were produced by or on behalf of the person by or on behalf of whom the goods being appraised were produced, those goods shall be deemed to be identical goods or similar goods, as the case may be.

  • Marginal note:Related persons

    (3) For the purposes of sections 46 to 55, persons are related to each other if

    • (a) they are individuals connected by blood relationship, marriage, common-law partnership or adoption within the meaning of subsection 251(6) of the Income Tax Act;

    • (b) one is an officer or director of the other;

    • (c) each such person is an officer or director of the same two corporations, associations, partnerships or other organizations;

    • (d) they are partners;

    • (e) one is the employer of the other;

    • (f) they directly or indirectly control or are controlled by the same person;

    • (g) one directly or indirectly controls or is controlled by the other;

    • (h) any other person directly or indirectly owns, holds or controls five per cent or more of the outstanding voting stock or shares of each such person; or

    • (i) one directly or indirectly owns, holds or controls five per cent or more of the outstanding voting stock or shares of the other.

  • R.S., 1985, c. 1 (2nd Supp.), s. 45;
  • 1995, c. 41, s. 17;
  • 2000, c. 12, s. 96.