August 2009


On July 8, 2009, the Valuation Division of the Canada Border Services Agency ("CBSA") issued a major new policy document that targets for inclusion in the value for duty of imported goods virtually all payments made between related parties. The document is published as Customs Memorandum D13-4-13, "Post-Importation Payments or Fees – Subsequent Proceeds (Customs Act, Section 48)" . It is the official announcement of a policy that has been gaining ground for several years among customs auditors that have sought to characterize various related party payments as part of the price paid or payable for imported goods and, therefore, subject to duty.