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

Full Document:  

Act current to 2019-07-01 and last amended on 2019-06-22. Previous Versions

PART IIImportation (continued)

Warehouses and Duty Free Shops (continued)

Marginal note:Liability of operator

  •  (1) The operator of a sufferance warehouse, bonded warehouse or duty free shop is liable for all duties or taxes levied under the Customs Tariff, the Excise Act, the Excise Act, 2001, the Excise Tax Act, the Special Import Measures Act or any other law relating to customs on goods that have been received in the warehouse or duty free shop unless the operator proves that the goods

    • (a) are still in the warehouse or duty free shop;

    • (b) have been destroyed while in the warehouse or duty free shop;

    • (c) have been removed from the warehouse or duty free shop pursuant to section 19;

    • (d) have been taken as a sample or seized under the Firearms Act or any other Act of Parliament; or

    • (e) have been released by an officer.

  • (1.1) and (1.2) [Repealed, 2002, c. 22, s. 332]

  • Marginal note:Rates

    (2) The rates of duties or taxes payable on goods under subsection (1) shall

    • (a) where the goods have been received in a sufferance warehouse, be the rates applicable to such goods at the time they were reported under section 12; and

    • (b) where the goods have been received in a bonded warehouse or duty free shop, be the rates applicable to such goods at the time they were received therein.

  • Definition of duties not to apply

    (3) The definition duties in subsection 2(1) does not apply for the purposes of subsections (1) and (2).

  • R.S., 1985, c. 1 (2nd Supp.), s. 28
  • 1993, c. 25, s. 72
  • 1995, c. 39, s. 168
  • 2001, c. 25, s. 19
  • 2002, c. 22, ss. 332, 408

 [Repealed, 1995, c. 41, s. 7]

Marginal note:Regulations

 The Governor in Council may make regulations

  • (a) prescribing qualifications as to citizenship and residence or any other qualifications that must be met by the operator of a sufferance warehouse or duty free shop;

  • (b) prescribing the terms and conditions on which licences for the operation of sufferance warehouses or duty free shops may be issued under section 24, including the security that may be required of operators of the warehouses or shops, the duration of the licences and the fees or the manner of determining fees, if any, to be paid for the licences;

  • (c) prescribing the circumstances in which licences for the operation of sufferance warehouses or duty free shops may be issued, amended, suspended, renewed, cancelled or reinstated;

  • (d) establishing standards for the operation of and the maintenance of the facilities of sufferance warehouses or duty free shops;

  • (e) prescribing the manner of acknowledging receipt of goods in sufferance warehouses or duty free shops;

  • (f) establishing the circumstances in which and the extent to which goods may be manipulated, unpacked, packed, altered or combined with other goods while in sufferance warehouses or duty free shops;

  • (g) prescribing facilities, equipment and personnel that must be provided at sufferance warehouses or duty free shops;

  • (h) prescribing the circumstances in which the operator of a sufferance warehouse may refuse goods that are brought to the warehouse for safe-keeping;

  • (i) regulating the transfer of ownership of goods in duty free shops;

  • (j) prescribing, with respect to goods, or classes of goods, that are offered for sale in a duty free shop, minimum proportions, by reference to quantity, value or other like standard, that must be of domestic origin;

  • (k) prescribing restrictions as to the classes of goods that may be received in sufferance warehouses;

  • (l) prescribing circumstances in which goods shall not be received in sufferance warehouses;

  • (m) regulating the provision of information by the operator of a duty free shop; and

  • (n) otherwise regulating the operation of sufferance warehouses or duty free shops.

  • R.S., 1985, c. 1 (2nd Supp.), s. 30
  • 1993, c. 25, s. 73
  • 1995, c. 41, s. 7

Release

Marginal note:Release

 Subject to section 19, no goods shall be removed from a customs office, sufferance warehouse, bonded warehouse or duty free shop by any person other than an officer in the performance of his or her duties under this or any other Act of Parliament unless the goods have been released by an officer or by any prescribed means.

  • R.S., 1985, c. 1 (2nd Supp.), s. 31
  • 2001, c. 25, s. 20

Accounting and Payment of Duties

Marginal note:Accounting and payment of duties

  •  (1) Subject to subsections (2) and (4) and any regulations made under subsection (6), and to section 33, no goods shall be released until

    • (a) they have been accounted for by the importer or owner thereof in the prescribed manner and, where they are to be accounted for in writing, in the prescribed form containing the prescribed information; and

    • (b) all duties thereon have been paid.

  • Marginal note:Release prior to accounting

    (2) In prescribed circumstances and under prescribed conditions, goods may be released prior to the accounting required under subsection (1) if

    • (a) the importer or owner of the goods makes an interim accounting in the prescribed manner and form and containing the prescribed information, or in the form and containing the information that is satisfactory to the Minister; or

    • (b) the goods have been authorized by an officer or by any prescribed means for delivery to, and have been received at, the place of business of the importer, owner or consignee of the goods.

  • Marginal note:Accounting after release

    (3) If goods are released under subsection (2), they shall be accounted for within the prescribed time and in the manner described in paragraph (1)(a) by, in the case of goods to which paragraph (2)(a) applies, the person who made the interim accounting under that paragraph in respect of the goods and, in the case of goods to which paragraph (2)(b) applies, by the importer or owner of the goods.

  • Marginal note:Release of goods

    (4) In such circumstances, and under such conditions, as may be prescribed, goods imported by courier or as mail may be released prior to the accounting required under subsection (1) and prior to the payment of duties thereon.

  • Marginal note:Accounting and payment of duties

    (5) Where goods are released under subsection (4),

    • (a) the person who is authorized under paragraph (6)(a) or subsection (7) to account for the goods shall, within the prescribed time, account for the goods in the manner described in paragraph (1)(a) and that person or the importer or owner of the goods shall, within the prescribed time, pay duties on the goods, or

    • (b) where there is no person authorized under paragraph (6)(a) or subsection (7) to account for the goods, the importer or owner of the goods shall, within the prescribed time, account for the goods in the manner described in paragraph (1)(a) and shall, within the prescribed time, pay duties on the goods.

  • Marginal note:Deemed accounting

    (5.1) Except in prescribed circumstances, where the importer or owner of mail that has been released as mail under subsection (4) takes delivery of the mail, the mail shall be deemed to have been accounted for under subsection (5) at the time of its release.

  • Marginal note:Regulations

    (6) The Governor in Council may make regulations

    • (a) specifying persons or classes of persons who are authorized to account for goods under this section in lieu of the importer or owner thereof and prescribing the circumstances in which and the conditions under which such persons or classes of persons are so authorized; and

    • (b) prescribing the circumstances in which goods may be released without any requirement of accounting.

  • Marginal note:Authorization to account

    (7) The Minister or an officer designated by the President for the purposes of this subsection may authorize any person not resident in Canada to account for goods under this section, in such circumstances and under such conditions as may be prescribed, in lieu of the importer or owner of those goods.

  • R.S., 1985, c. 1 (2nd Supp.), s. 32
  • 1992, c. 28, s. 5
  • 1995, c. 41, s. 8
  • 2001, c. 25, s. 21
  • 2005, c. 38, s. 63
 
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