On May 27, 2023 the Canada Border Services Agency (the “CBSA”) introduced amendments (the “Amendments”) to the Valuation for Duty Regulations (the “Regulations”), which will alter existing Canadian customs valuation rules. The Amendments intend to clarify the “sale” used to establish the value for duty under the transaction value method for all goods imported into Canada. Effectively, the Amendments propose a “last sale” approach to customs valuation, which has the potential to increase the declared value for duty of imported goods, directly increasing duties and taxes owing, and indirectly increasing the cost of doing business in Canada.
Source Baker & McKenzie
