Dear valued clients,

The CARM RPP (release prior to payment) transition period provided by CBSA when CARM launched on October 21, 2024 is coming to a close on April 19, 2025. It’s imperative that all importers currently utilizing RPP through the grace period provided by CBSA start the process of posting the required security to continue on the RPP program.

The RPP program allows participants to obtain the release of goods from the CBSA before the final accounting and payment of duties and taxes. Importers must post financial security themselves to participate in the RPP program, as they can no longer use financial security posted by their broker. Without RPP an importer must pay duties and taxes at the time of importation at the point of entry where the goods are released.

Importers must provide a financial security (written security agreement or security deposit) that is equal or higher than the requirement calculated by the CBSA. The required amount will be visible to the importer in their CARM Client Portal. The requirement is based on their highest monthly account receivable (inclusive of duties, taxes (GST included)) balance from the previous 12 months for each program account (RM).

Financial security posted in the form of a written security agreement: obtained from a financial security provider, must be in an amount that is at least 50% of the required financial security calculated by the CBSA, a minimum of CAN $5,000 per program account (RM), prior to entering written security agreement details into CARM, participants must first contact their financial security provider (for example surety provider, bank) to establish a written security agreement. You cannot obtain a written security agreement from the portal. Ensure to verify with the provider on their preferred method to transit the agreement information to the CARM system.

Financial security posted in the form of a security deposit: can be made on the CARM Client Portal by the importer, and must be 100% of the requirement calculated by the CBSA. There is no minimum requirement for a deposit. ( Importers opting for this form of security will need to provide a screenshot of their bond list on the CCP (CARM Client Portal) once completed).

There is a maximum financial security amount of CAN $10 million per program account (RM) for all forms of security.

Importers not on the RPP program will need to pay any applicable duties and taxes to CBSA at the time of importation at the port of entry where the goods are released.

For clients still unregistered on the CARM program on April 1, 2025 your account will be placed on hold until registration is completed.

Please reach out to your sales representative or dedicated CARM team for assistance with posting RPP security or CARM registration services.

Sincerely,
Near North Customs Brokers Inc.