Release Prior to Payment (RPP) – May 13, 2024

When CARM becomes the official system of record on May 13, 2024, obtaining the release of imported goods prior to accounting and payment of duties will change for importers. They will no longer be able to use a broker’s RPP security to obtain the release of imported goods before paying duties. Importers who want to obtain the release of imported goods prior to the payment of duties will be required to post their own financial security through the CCP.

1. Regulatory changes have been made and will come into force on May 13, 2024. Regulations introduced a 180-day transition period following CARM implementation to allow time for importers to obtain financial security. This will give importers and their service providers time to adapt to the new financial security model and avoid border disruptions.

2. All commercial importers with a history of accounting for commercial goods using their importer business number within the past four years will automatically benefit from RPP for a period up to 180 days following CARM implementation on May 13, 2024.

3. After May 13, 2024, new importers who do not have a history of importing commercial goods into Canada within the past four years will also be able to benefit from the transition period. For the 180-day period to apply to new importers, they will have to enroll in RPP via the CCP and select that they wish to request a lower than recommended financial security amount. This will generate a case for CBSA to review and will apply the RPP indicator for the transition period.

4. During the 180-day transition period, importers will need to ensure they are registering in the CCP and posting applicable financial security in order to avoid disruption to the release prior to payment of duties of goods they import after the 180-day transition period ends.