Skip to main content

Bill C-11

If you have any questions or comments regarding the accessibility of this publication, please contact us at accessible@parl.gc.ca.

PDF

RECOMMENDATION

His Excellency the Governor General recommends to the House of Commons the appropriation of public revenue under the circumstances, in the manner and for the purposes set out in a measure entitled ``An Act respecting the imposition of duties of customs and other charges, to give effect to the International Convention on the Harmonized Commodity Description and Coding System, to provide relief against the imposition of certain duties of customs or other charges, to provide for other related matters and to amend or repeal certain Acts in consequence thereof''.

SUMMARY

This enactment replaces the Customs Tariff to simplify its application. The key elements of the enactment are the following:

    (a) rationalization of the provisions, such as by deleting provisions that are no longer relevant, and the addition of new provisions, such as expanded authority for the Governor in Council to reduce duties on inputs for manufacturing and service sectors and a transitional authority to correct errors and omissions that may have been made in the development of the new tariff schedule;

    (b) rate reductions on a wide range of goods, mostly manufacturing inputs;

    (c) the elimination of a large number of concessionary tariff codes and regulations and the conversion of many others to regular provisions in the tariff schedule;

    (d) the replacement of the Machinery Remission Program with duty-free and dutiable tariff provisions in the tariff schedule;

    (e) the rounding down of decimal rates and the elimination of most rates that fall below two per cent;

    (f) the harmonization of rates on certain competing goods and the rectification of certain tariff anomalies;

    (g) the elimination of a wide range of administrative procedures associated with certain tariff provisions;

    (h) a single consolidated tariff schedule in a more modern and flexible format; and

    (i) consequential and related amendments to other statutes, and transitional provisions.

EXPLANATORY NOTES

Customs Act

Clause 147: (1) The definitions ``bonded warehouse'', ``duties'', ``preferential tariff treatment under CCFTA'', ``preferential tariff treatment under CIFTA'', ``preferential tariff treatment under NAFTA'', ``prescribed'' and ``tariff classification'' in subsection 2(1) read as follows:

``bonded warehouse'' means a place licensed as a bonded warehouse by the Minister under subsection 81(1) of the Customs Tariff;

``duties'' means any duties or taxes levied or imposed on imported goods under the Customs Tariff, the Excise Tax Act, the Excise Act, the Special Import Measures Act or any other law relating to customs, but, for the purposes of subsection 3(1), paragraphs 58(2)(b), 62(1)(b) and 65(1)(b), sections 69 and 73 and subsections 74(1), 75(2) and 76(1), does not include taxes imposed under Part IX of the Excise Tax Act;

``preferential tariff treatment under CCFTA'' means, in respect of goods, entitlement to the benefit of the Chile Tariff, as defined in subsection 2(1) of the Customs Tariff;

``preferential tariff treatment under CIFTA'' means, in respect of goods, entitlement to the benefit of the Canada-Israel Free Trade Agreement Tariff, as defined in subsection 2(1) of the Customs Tariff;

``preferential tariff treatment under NAFTA'' means, in respect of goods, entitlement to the benefit of the United States Tariff, the Mexico Tariff or the Mexico-United States Tariff of Schedules I and II to the Customs Tariff;

``prescribed'' means

      (a) in the case of a form, the information to be given on a form or the manner of filing a form, authorized by the Minister, and

      (b) in any other case, prescribed by regulation or determined in accordance with rules prescribed by regulation;

``tariff classification'' means the classification of imported goods under a tariff item in Schedule I to the Customs Tariff and, where applicable, under a code in Schedule II or VII to that Act or under any order made pursuant to section 62 or 68 of that Act;

(2) The relevant portion of subsection 2(1.1) reads as follows:

(1.1) For the purposes of the definition ``designated goods'' in subsection (1) and subsection 89(5),

(3) The definitions ``diamonds'', ``pearls'' and ``precious and semi-precious stones'' in subsection 2(1.1) read as follows:

``diamonds'' means goods for personal use or for adornment of the person and classified under subheading Nos. 7102.10, 7102.31 and 7102.39 of Schedule I to the Customs Tariff;

``pearls'' means goods for personal use or for adornment of the person and classified under heading No. 71.01 of Schedule I to the Customs Tariff;

``precious and semi-precious stones'' means goods for personal use or for adornment of the person and classified under heading No. 71.03 of Schedule I to the Customs Tariff;

(4) Subsection 2(3) reads as follows:

(3) Any power, duty or function of the Deputy Minister under this Act may be exercised or performed by any person authorized by the Deputy Minister to do so and, if so exercised or performed, shall be deemed to have been exercised or performed by the Deputy Minister.

Clause 148: New.

Clause 149: (1) New.

(2) The relevant portion of subsection 12(7) reads as follows:

(7) Goods described in tariff item No. 9813.00.00 or 9814.00.00 of Schedule I to the Customs Tariff

Clause 150: (1) The relevant portion of subsection 19(1) reads as follows:

19. (1) Subject to section 20, any person who is authorized by an officer to do so may

    ...

    (c) where such goods are designated as ships' stores by regulations made under paragraph 95(1)(g) of the Customs Tariff, remove them or cause them to be removed from a customs office or sufferance warehouse for use on board a conveyance of a class of conveyances prescribed under that paragraph in accordance with regulations made under that paragraph;

(2) The relevant portion of subsection 19(2) reads as follows:

(2) Subject to section 20, where goods that have been reported under section 12 have been described in the prescribed form at a customs office designated for that purpose, any person who is authorized by an officer to do so may

    ...

    (c) where the goods are designated as ships' stores by regulations made under paragraph 95(1)(g) of the Customs Tariff, remove them or cause them to be removed from a bonded warehouse for use on board a conveyance of a class of conveyances prescribed under that paragraph in accordance with regulations made under that paragraph;

Clause 151: The relevant portion of subsection 20(2) reads as follows:

(2) Every person who transports or causes to be transported within Canada goods that have been imported but have not been released is liable for all duties thereon unless he proves, within such time as may be prescribed, that the goods were

    ...

    (c) where the goods are designated as ships' stores by regulations made under paragraph 95(1)(g) of the Customs Tariff, received on board a conveyance of a class of conveyances prescribed under that paragraph for use on the conveyance in accordance with regulations made under that paragraph;

Clause 152: Subsections 32.2(4) to (8) are new. Subsections 32.2(2) and (3) read as follows:

(2) A correction to a declaration of origin for goods made under this section is not part of an accounting for the goods under subsection 32(1), (3) or (5).

(3) For greater certainty, this section does not apply where a correction to a declaration of origin would result in a claim for a refund of duties.

Clause 153: Section 33.1 reads as follows:

33.1 Every person who fails to account for imported goods when and in the manner required under this Part or under the regulations made under this Act is liable to a penalty of $100 for each failure to so account.

Clause 154: Subsections 33.4(3) and (4) read as follows:

(3) For the purposes of subsection (1), any duties in respect of goods payable under paragraph 58(2)(a), 62(1)(a) or 65(1)(a) shall be deemed to have become payable on the day duties became payable in respect of the goods under this Part.

(4) Where an amount of duties in respect of goods that is payable by a person under paragraph 58(2)(a), 62(1)(a) or 65(1)(a) in accordance with a determination, appraisal, re-determination or re-appraisal is paid by the person within thirty days after the day (in this subsection referred to as the ``decision day'') the determination, appraisal, re-determination or re-appraisal, as the case may be, is made, interest shall not be payable under subsection (1) on the amount for the period beginning on the day after the decision day and ending on the day the amount is paid.

Clause 155: Section 35.01 reads as follows:

35.01 No person shall import goods that are required to be marked by any regulations made pursuant to section 63.1 of the Customs Tariff unless the goods are marked in accordance with those regulations.

Clause 156: The relevant portion of subsection 35.02(2) reads as follows:

(2) The Minister or any officer designated by the Minister for the purposes of this section may, by notice served personally or by registered mail, require any person

    (a) to mark the imported goods with respect to which there has been a failure to comply with section 35.01 in accordance with the regulations made pursuant to section 63.1 of the Customs Tariff within such reasonable time as may be stipulated in the notice; or

Clause 157: Subsection 37(2) reads as follows:

(2) Goods, other than goods of a class prescribed by regulations made under subparagraph 95(1)(f)(xii) of the Customs Tariff, that have not been removed from a bonded warehouse within such time as may be prescribed by regulations made under subparagraph 95(1)(f)(xi) of that Act may be deposited by an officer in a place of safe-keeping designated by the Minister for that purpose.

Clause 158: Subsection 39.1(2) reads as follows:

(2) Goods of a class prescribed by regulations made under subparagraph 95(1)(f)(xii) of the Customs Tariff that have not been removed from a bonded warehouse within such period of time as may be prescribed by regulations made under subparagraph 95(1)(f)(xi) of that Act are, at the end of that period of time, forfeit.

Clause 159: The relevant portion of subsection 40(3) reads as follows:

(3) Every person who is

    ...

    (c) granted a certificate under section 80.1 of the Customs Tariff, or

    (d) granted a licence under section 81 of that Act,

Clause 160: New.

Clause 161: The relevant portion of subsection 42.1(1) reads as follows:

42.1 (1) Any officer, or any officer within a class of officers, designated by the Minister for the purposes of this section, or any person, or any person within a class of persons, designated by the Minister to act on behalf of such an officer, may, subject to the prescribed conditions,

    ...

    (b) enter any prescribed premises or place at any reasonable time to verify the amount, if any, of

      (i) a relief under section 80 of the Customs Tariff from the payment of any duties payable in respect of imported goods that are subsequently exported to a NAFTA country, or

      (ii) a drawback under section 100 of the Customs Tariff of duties paid in respect of imported goods that are subsequently exported to a NAFTA country.

Clause 162: Subsection 42.2(1) reads as follows:

42.2 (1) On completion of a verification of origin under paragraph 42.1(1)(a), an officer designated under subsection 42.1(1) shall provide the exporter or producer whose goods are subject to the verification of origin with a statement as to whether the goods are eligible, under the regulations made under section 13 of the Customs Tariff, for the preferential tariff treatment that was claimed.

Clause 163: Subsections 42.3(2) to (4) read as follows:

(2) Subject to subsection (4), a re-determination of origin shall not take effect until notice of it is given to the importer of the goods and any person who completed and signed a Certificate of Origin for the goods if the result of the re-determination of origin made under section 61 as applied by subsection 57.2(4) in respect of goods for which preferential tariff treatment under NAFTA or preferential tariff treatment under CCFTA is claimed and that are the subject of a verification of origin under this Act is that

    (a) the goods are not eligible for that preferential tariff treatment on the basis of the tariff classification or value of one or more materials used in their production; and

    (b) that tariff classification or value differs from the tariff classification or value applied to those materials by the NAFTA country from which the goods were exported or from Chile, as the case may be.

(3) A re-determination of origin referred to in subsection (2) shall not be applied to goods imported before the date on which the notice was given if the customs administration of the NAFTA country from which the goods were exported or of Chile, as the case may be, has, before that date,

    (a) given an advance ruling under Article 509 of NAFTA or Article E-09 of CCFTA, as the case may be, or given another ruling referred to in paragraph 12 of Article 506 of NAFTA or paragraph 12 of Article E-06 of CCFTA, as the case may be, on the tariff classification or value of the materials referred to in subsection (2); or

    (b) given consistent treatment with respect to the tariff classification or value of the materials referred to in subsection (2) on their importation into the NAFTA country or Chile, as the case may be.

(4) The date on which a re-determination of origin referred to in subsection (2) takes effect shall be postponed for a period not exceeding ninety days, if the importer of the goods that are the subject of the re-determination or any person who completed and signed a Certificate of Origin for the goods establishes to the satisfaction of the Minister that the importer or the person, as the case may be, has relied in good faith, to the detriment of the importer or person, on the tariff classification or value applied to the materials referred to in that subsection by the customs administration of the NAFTA country from which the goods were exported or of Chile, as the case may be.

Clause 164: Subsection 42.4(2) reads as follows:

(2) Notwithstanding subsection 25.2(5.1) and section 25.7 of the Customs Tariff, the Minister may, subject to the prescribed conditions, deny or withdraw preferential tariff treatment under NAFTA or preferential tariff treatment under CCFTA in respect of goods for which that treatment is claimed if the exporter or producer of the goods has made false representations that identical goods exported or produced by that exporter or producer and for which that treatment was claimed were eligible for that treatment.

Clause 165: Section 57.01 reads as follows:

57.01 (1) Any officer, or any officer within a class of officers, designated by the Minister for the purposes of this section may, at any time before or within thirty days after goods imported from a NAFTA country are accounted for under subsection 32(1), (3) or (5), in the prescribed manner and subject to the prescribed conditions, make a determination as to whether the goods have been marked in the manner referred to in section 35.01 and shall give notice of the determination to the prescribed class of persons.

(2) Where an officer does not make a determination under subsection (1) in respect of goods imported from a NAFTA country within thirty days after the time the goods are accounted for under subsection 32(1), (3) or (5), a determination as to whether the goods have been marked in the manner referred to in section 35.01 shall be deemed to have been made in accordance with any representations that have been made in respect of the marking of the goods by the person who accounted for the goods.

Clause 166: The heading before section 57.1 and sections 57.1 to 64 read as follows:

Determination and Re-determination of Origin

57.1 For the purposes of section 57.2, the origin of imported goods shall be determined in accordance with section 13 of the Customs Tariff and the regulations thereunder.

57.2 (1) An officer may determine the origin of imported goods at any time before or within thirty days after they are accounted for under subsection 32(1), (3) or (5).

(1.1) Where an officer makes a determination under subsection (1), the officer shall give notice of the determination to any person who has completed and signed a Certificate of Origin for the goods that were the subject of the determination, in addition to the person who accounted for the goods under subsection 32(1), (3) or (5).

(2) Where an officer does not make a determination under subsection (1) in respect of imported goods, a determination of the origin of the goods shall be deemed to have been made under this section thirty days after the time the goods were accounted for under subsection 32(1), (3) or (5) in accordance with any representations made at that time in respect of the origin of goods by the person accounting for the goods.

(3) Subject to subsection (4), a determination of the origin of imported goods under this section is final unless, in the case of goods other than goods for which preferential tariff treatment under a free trade agreement is claimed, a re-determination of the origin of the imported goods is made by the Minister within two years after they are accounted for under subsection 32(1), (3) or (5).

(4) Subject to this section, sections 58 to 72 apply, with any modifications that the circumstances require, in respect of a determina tion of origin under this section as to the origin of goods for which preferential tariff treatment under a free trade agreement is claimed as if it were a determination of the tariff classification of the goods, and, for greater certainty, any matter that may be prescribed in relation to a request referred to in subsection 60(2) or 63(2) may be prescribed in relation to a request for a re-determination or further re-determination of the origin of the goods.

(5) In addition to the importer or any person who is liable to pay duties owing on the goods, other than a person authorized under paragraph 32(6)(a) or subsection 32(7) to account for the goods, any person who has completed and signed a Certificate of Origin for goods for which preferential tariff treatment under a free trade agreement is claimed that are the subject of a determination of origin under this section is entitled to request a re-determination of the origin of those goods under subsection 60(1) as applied by subsection (4).

(6) In addition to the person who accounted for the goods under subsection 32(1), (3) or (5), the importer of the goods or the person who was the owner of the goods at the time of release, any person who has completed and signed a Certificate of Origin for goods for which preferential tariff treatment under a free trade agreement is claimed that are the subject of a determination of origin under this section is entitled to be given notice of the re-determination of the origin of those goods under section 61 or 64 as applied by subsection (4), as the case may be.

(7) In the case of a re-determination by a designated officer of the origin of goods for which preferential tariff treatment under a free trade agreement is claimed that are the subject of a determination of origin under this section, the reference in subsection 62(1) to ``the person who was given notice of the decision under that section'' and the reference in subsection 62(2) to ``the person referred to in that subsection'' shall be read as a reference to

    (a) in the case of a re-determination under section 60, ``the importer or any person liable to pay duties owing on the goods (other than a person authorized under paragraph 32(6)(a) or subsection 32(7) to account for the goods)''; and

    (b) in the case of a re-determination under section 61, ``the person who accounted for the goods under subsection 32(1), (3) or (5), the importer of the goods or the person who was the owner of the goods at the time of release''.

(8) In the case of a re-determination by the Deputy Minister of the origin of goods for which preferential tariff treatment under a free trade agreement is claimed that are the subject of a determination of origin under this section, the reference in subsection 65(1) to ``the person who is given notice of the decision under that section'' and the reference in subsection 65(2) to ``the person'' shall be read as a reference to

    (a) in the case of a re-determination under section 63 of a re-determination by a designated officer under section 60, ``the importer or any person liable to pay duties owing on the goods (other than a person authorized under paragraph 32(6)(a) or subsection 32(7) to account for the goods)''; and

    (b) in the case of a re-determination under section 63 of a re-determination by a designated officer under section 61 or in the case of a re-determination under section 64, ``the person who accounted for the goods under subsection 32(1), (3) or (5), the importer of the goods or the person who was the owner of the goods at the time of release''.

Determination of Tariff Classification and Appraisal for Value

58. (1) An officer may determine the tariff classification and appraise the value for duty of imported goods at any time before or within thirty days after they are accounted for under subsection 32(1), (3) or (5).

(2) Where a determination or appraisal is made under subsection (1) in respect of goods, the person who accounts for the goods shall, in accordance with the determination or appraisal,

    (a) pay any amount owing as duties in respect of the goods or, where a request is made under section 60, give security satisfactory to the Minister in respect of that amount and any interest owing or that may become owing on that amount; or

    (b) be given a refund of any duties paid in excess of the duties owing in respect of the goods.

(3) Any amount owing by or to a person under subsection (2) or 66(3) in respect of goods, other than an amount in respect of which security is given, is payable within thirty days after the day the determination or appraisal is made, whether or not a request is made under section 60.

(4) For the purposes of paragraph (2)(a), the amount owing as duties in respect of goods under subsection (2) does not include any amount owing in respect thereof pursuant to section 32 or 33.

(5) Where an officer does not make a determination or an appraisal under subsection (1) in respect of goods, a determination of the tariff classification and an appraisal of the value for duty of the goods shall, for the purposes of sections 60, 61 and 63, be deemed to have been made thirty days after the time the goods were accounted for under subsection 32(1), (3) or (5) in accordance with any representations made at that time in respect of the tariff classification or value for duty by the person accounting for the goods.

(6) A determination of tariff classification or an appraisal of value for duty is not subject to review or to be restrained, prohibited, removed, set aside or otherwise dealt with except to the extent and in the manner provided by sections 60 to 65.

re-determination and re-appraisal by Designated Officer

59. Any officer, or any officer within a class of officers, designated by the Minister for the purposes of this section (in sections 60 and 61 referred to as a ``designated officer'') may make re-determinations of tariff classifications or re-appraisals of value for duty under sections 60 and 61.

60. (1) The importer or any person who is liable to pay duties owing on imported goods (other than a person authorized under paragraph 32(6)(a) or subsection 32(7) to account for the goods) may, after all amounts owing in respect of the goods as duties and interest have been paid or security satisfactory to the Minister has been given in respect of the total amount owing,

    (a) within ninety days, or

    (b) where the Minister deems it advisable, within two years

after the time the determination or appraisal was made in respect of the goods under section 58, request a re-determination of the tariff classifi cation or a re-appraisal of the value for duty.

(2) A request under this section shall be made to a designated officer in the prescribed manner and in the prescribed form containing the prescribed information.

(3) On receipt of a request under this section, a designated officer shall, with all due dispatch, re-determine the tariff classification or re-appraise the value for duty, as the case may be, and give notice of his decision to the person who made the request.

61. A designated officer may, after imported goods have been released,

    (a) within ninety days,

    (b) where it was not possible for an officer to make a determination or an appraisal under subsection 58(1) because of insufficient information, within two years,

    (c) where, on the basis of an audit or examination under section 42 or a verification of origin under this Act, the designated officer deems it advisable, within two years,

    (d) in the case of a verification of origin under this Act where an election to average has been made under the regulations made pursuant to section 13 of the Customs Tariff, such further time as may be prescribed, or

    (e) where the Minister deems it advisable, within two years

after the time a marking determination was made in respect of the goods under section 57.01 or a determination or an appraisal was made in re spect of the goods under section 58, re-determine the marking deter mination, re-determine the tariff classification or re-appraise the value for duty of the goods and, where the designated officer makes such a re- determination or re-appraisal, the designated officer shall immediately give notice of that decision to

    (f) the person who accounted for the goods under subsection 32(1), (3) or (5), the importer of the goods or the person who was the owner of the goods at the time of release, and

    (g) persons who are members of the prescribed class, in the case of a re-determination of a marking determination.

62. (1) Where a re-determination, other than a re-determination of a marking determination, or re-appraisal is made under section 60 or 61 in respect of goods, the person who was given notice of the decision under that section shall, in accordance with the decision,

    (a) pay any additional amount owing as duties in respect of the goods or, where a request is made under section 63, give security satisfactory to the Minister in respect of that amount and any interest owing or that may become owing on that amount; or

    (b) be given a refund of any duties and interest paid (other than interest that was paid by reason of duties not being paid in accordance with subsection 32(5) or section 33) in excess of the duties and interest owing in respect of the goods.

(2) Any amount owing by or to a person under subsection (1) or 66(3) in respect of goods, other than an amount in respect of which security is given, is payable within thirty days after the day the person referred to in that subsection is given notice of the decision, whether or not a request is made under section 63.

(3) A re-determination or a re-appraisal under section 60 or 61 is not subject to review or to be restrained, prohibited, removed, set aside or otherwise dealt with except to the extent and in the manner provided by section 63 or 64.

re-determination and re-appraisal by Deputy Minister

63. (1) Any person may

    (a) within ninety days after the time the person was given an advance ruling under section 43.1, notice of a marking determination under section 57.01 or notice of a decision under section 60 or 61, or

    (b) where the Minister deems it advisable, within two years after the time an advance ruling was given under section 43.1, a marking determination was made under section 57.01 or a determination or appraisal was made under section 58,

request a review of the advance ruling, a re-determination of the mark ing determination, a further re-determination of the tariff classification or marking determination or a further re-appraisal of the value for duty re-determined or re-appraised under section 60 or 61.

(2) A request under this section shall be made to the Deputy Minister in the prescribed manner and in the prescribed form containing the prescribed information.

(3) On receipt of a request under this section, the Deputy Minister shall, with all due dispatch, affirm, revise or reverse the advance ruling, re-determine the marking determination or tariff classification or re-appraise the value for duty, as the case may be, and give notice of that decision to the person who made the request.

64. The Deputy Minister may re-determine the tariff classification or marking determination or re-appraise the value for duty of imported goods

    (a) in the case of a determination of a tariff classification or an appraisal of value for duty, within two years after the time the determination or appraisal was made under section 58, where the Minister deems it advisable,

    (a.1) in the case of a marking determination, within two years after the time the determination was made under section 57.01, where the Minister deems it advisable,

    (a.2) in the case of a determination of origin, if a verification of origin of those goods under this Act is conducted after a refund is granted under paragraph 74(1)(c.1) or (c.11),

      (i) within two years after the determination of origin was made under section 57.2, or

      (ii) if an election to average has been made under section 13 of the Customs Tariff, within any further time that may be prescribed,

    (b) at any time after a re-determination or re-appraisal was made under subsection 63(3), but before an appeal under section 67 is heard, on the recommendation of the Attorney General for Canada, where the re-determination or re-appraisal would reduce duties payable on the goods,

    (c) at any time, where the person who accounted for the goods under subsection 32(1), (3) or (5) or a person who was given notice of a marking determination under section 57.01 has failed to comply with any of the provisions of this Act or the regulations or has committed an offence under this Act in respect of the goods,

    (c.1) at any time, where the person who accounted for the goods under subsection 32(1), (3) or (5) has made an application for remission in accordance with section 76 of the Customs Tariff,

    (d) at any time, where the re-determination or re-appraisal would give effect to a decision of the Canadian International Trade Tribunal, the Federal Court of Appeal or the Supreme Court of Canada made in respect of the goods, and

    (e) at any time, where the re-determination or re-appraisal would give effect in respect of the goods, in this paragraph referred to as the ``subsequent goods'', to a decision of the Canadian International Trade Tribunal, the Federal Court of Appeal or the Supreme Court of Canada, or of the Deputy Minister under paragraph (b), made in respect of

      (i) other like goods of the same importer or owner imported on or prior to the date of importation of the subsequent goods, where the decision relates to the tariff classification of those other goods, or

      (ii) other goods of the same importer or owner imported on or prior to the date of importation of the subsequent goods, where the decision relates to the manner of determining the value for duty of those other goods,

and, where the Deputy Minister makes a re-determination or re-apprais al under this section, the Deputy Minister shall immediately give notice of that decision to the person who accounted for the goods under sub section 32(1), (3) or (5), the importer of the goods or the person who was the owner of the goods at the time of release, or, in the case of a redeter mination of a marking determination under paragraph (a.1), to persons who are members of the prescribed class.

Clause 167: (1) The relevant portion of subsection 65(1) reads as follows:

65. (1) Where a re-determination, other than a re-determination of a marking determination, or re-appraisal is made under section 63 or 64 in respect of goods, the person who is given notice of the decision under that section shall, in accordance with the decision,

(2) Subsection 65(3) reads as follows:

(3) A re-determination or a re-appraisal under section 63 or 64 is not subject to review or to be restrained, prohibited, removed, set aside or otherwise dealt with except to the extent and in the manner provided by section 67.

Clause 168: Sections 65.1 and 66 read as follows:

65.1 (1) Where a person (in this subsection referred to as the ``applicant'') to whom a notice of a decision under section 60, 61, 63 or 64 was given would be entitled under paragraph 62(1)(b) or 65(1)(b) to a refund of an amount if the applicant had been the person who paid the amount, the amount may be paid to the applicant and any amount so paid to the applicant shall be deemed to have been refunded to the applicant under that paragraph.

(2) Where an amount in respect of goods has been refunded to a person under paragraph 62(1)(b) or 65(1)(b), no other person shall be entitled to a refund of an amount in respect of the goods under paragraph 62(1)(b) or 65(1)(b).

66. (1) Where a person has paid an amount on account of duties expected to be owing under paragraph 58(2)(a), 62(1)(a) or 65(1)(a) and the amount so paid exceeds the amount of duties, if any, owing under that paragraph as a result of a determination, appraisal, re-determination or re-appraisal, the person shall be paid, in addition to the excess amount, interest at the prescribed rate for the period beginning on the first day after the day the amount was paid and ending on the day the determination, appraisal, re-determination or re-apprais al, as the case may be, was made, calculated on the excess amount.

(2) Where, as a result of a determination, appraisal, re-determination or re-appraisal made in respect of goods, a person is required under paragraph 58(2)(a), 62(1)(a) or 65(1)(a) to pay an amount owing as duties in respect of the goods and the person gives security under that paragraph pending a subsequent re-determination or re-appraisal in respect of the goods, the interest payable under subsection 33.4(1) on any amount owing as a result of the subsequent re-determination or re-appraisal shall be computed at the prescribed rate rather than at the specified rate for the period beginning on the first day after the day the security was given and ending on the day the subsequent re-determina tion or re-appraisal is made.

(3) Any person who is given a refund under paragraph 58(2)(b), 62(1)(b) or 65(1)(b) of an amount paid shall be given, in addition to the refund, interest at the prescribed rate for the period beginning on the first day after the day the amount was paid and ending on the day the refund is given, calculated on the amount of the refund.

Clause 169: Subsection 67(1) reads as follows:

67. (1) A person who deems himself aggrieved by a decision of the Deputy Minister made pursuant to section 63 or 64 may appeal from the decision to the Canadian International Trade Tribunal by filing a notice of appeal in writing with the Deputy Minister and the Secretary of the Canadian International Trade Tribunal within ninety days after the time notice of the decision was given.

Clause 170: Subsection 69(2) reads as follows:

(2) Where a refund is given under subsection (1), the person who is given the refund shall,

    (a) if a re-determination or a re-appraisal is made by the Deputy Minister under paragraph 64(d) pursuant to which any portion of the amount refunded is owing as duties and interest, pay interest at the prescribed rate for the period beginning on the first day after the day the refund is given and ending on the day the amount of the refund found to be owing as duties and interest has been paid in full, calculated on the outstanding balance of that amount of the refund, except that where the amount of the refund found to be owing is paid within thirty days after the day the re-determination or re-appraisal is made, interest shall not be payable on that amount from that day to the day the amount is paid; or

    (b) if a re-determination or re-appraisal is made by the Deputy Minister under paragraph 64(d) pursuant to which all or any portion of the amount refunded is not owing as duties and interest, be given interest at the prescribed rate for the period beginning on the day after the amount refunded was originally paid by that person and ending on the day it was refunded, calculated on the amount of the refund found not to be owing.

Clause 171: Subsection 70(1) reads as follows:

70. (1) The Deputy Minister may refer to the Canadian International Trade Tribunal for its opinion any questions relating to the tariff classification or value for duty of any goods or class of goods.

Clause 172: Subsection 71(1) reads as follows:

71. (1) Where the release of goods has been refused on the ground that the goods have been determined to be prohibited goods as described in code 9956 or 9957 of Schedule VII to the Customs Tariff, re-determination may be requested under sections 60 and 63 or made under section 64 and appeals may be taken under sections 67 and 68 in respect of the determination, subject to the following modifications:

    (a) paragraphs 64(d) and (e) shall be deemed to include a reference to the court; and

    (b) in sections 67 and 68, the expression ``court'' shall be deemed to be substituted for the expression ``Canadian International Trade Tribunal'' and the expression ``clerk of the court'' shall be deemed to be substituted for the expression ``Secretary of the Canadian International Trade Tribunal''.

Clause 173: Sections 72 to 72.2 read as follows:

72. No security may be given under paragraph 58(2)(a), 62(1)(a) or 65(1)(a) or subsection 69(1) in respect of any amount owing as surtaxes levied under section 59 or 59.1 of the Customs Tariff, temporary duties levied under section 60.1, 60.11, 60.12, 60.13, 60.2, 60.3, 60.4 or 60.41 of that Act or surcharges levied under section 61 of that Act.

72.1 (1) Notwithstanding paragraphs 60(1)(a) and (b), a request for a re-determination of the tariff classification of imported goods affected by a retroactive order of the Governor in Council made pursuant to sections 68 and 136 or 129 and 136 of the Customs Tariff, may be made under section 60 at any time before July 1, 1992.

(2) A designated officer may re-determine under subsection 60(3), and thereafter the Deputy Minister may further re-determine under subsection 63(3), the tariff classification of imported goods in order to give effect to a retroactive order of the Governor in Council referred to in subsection (1), notwithstanding any prior re-determination of the tariff classification of the goods.

72.2 Notwithstanding sections 60, 61, 63 and 64, no re-determina tion of the tariff classification of imported goods classified under heading No. 98.26 of Schedule I to the Customs Tariff may be made unless the re-determination is to

    (a) change the classification of the goods to another tariff item under that heading; or

    (b) change the classification of all those goods accounted for under the same accounting document to tariff items in Chapters 1 to 97 of Schedule I to the Customs Tariff.

Clause 174: The headings before section 73 read as follows:

PART IV

ABATEMENTS, REFUNDS, DRAWBACKS AND REMISSIONS

Abatements and Refunds

Clause 175: (1) and (2) Paragraphs 74(1)(e) to (g) are new. The relevant portion of subsection 74(1) reads as follows:

74. (1) Subject to this section, section 75 and any regulations made under section 81, the Minister may grant to any person who paid duties on imported goods pursuant to this Act a refund of the whole or part of the duties paid thereon where

    ...

    (d) duties have been overpaid or paid in error on the goods for any reason, other than

      (i) an erroneous determination as to the origin of goods for which preferential tariff treatment under a free trade agreement was claimed,

      (ii) an erroneous determination of tariff classification,

      (iii) an erroneous appraisal of value for duty, or

      (iv) the existence of the circumstances described in paragraph (c.1) or (c.11).

(3) Subsections 74(1.1) and (2) read as follows:

(1.1) For greater certainty, if the circumstances described in paragraph (1)(c.1) or (c.11) exist, a request for a re-determination of origin may not be made under subsection 60(1) as applied by subsection 57.2(4).

(2) No refund shall be granted under paragraphs (1)(a) to (c) in respect of a claim unless written notice of the claim and the reason therefor is given to an officer within the prescribed time.

(4) The relevant portion of subsection 74(3) reads as follows:

(3) No refund shall be granted under subsection (1) in respect of a claim unless

    ...

    (b) an application for the refund, including such evidence in support of the application as may be prescribed, is made to an officer in the prescribed manner and in the prescribed form containing the prescribed information within

      (i) in the case of an application for a refund under paragraph (1)(a), (b), (c), (c.11) or (d), two years after the goods were accounted for under subsection 32(1), (3) or (5), and

      (ii) in the case of an application for a refund under paragraph (1)(c.1), one year after the goods were accounted for under subsection 32(1), (3) or (5).

(5) Subsections 74(4) to (6) read as follows:

(4) A denial of an application for a refund under paragraph (1)(c.1) or (c.11) on the ground that the goods on which the claimant has paid duties are not eligible for preferential tariff treatment under a free trade agreement because the goods are not eligible for that tariff treatment under the regulations made under section 13 of the Customs Tariff at the time they were accounted for under subsection 32(1), (3) or (5) of this Act shall, for the purposes of this Act, be treated as if it were a re-determination of origin under subsection 60(3) as applied by subsection 57.2(4).

(5) For greater certainty, a denial of an application for a refund under paragraph (1)(c.1) or (c.11) on the basis that complete or accurate documentation has not been provided or on any ground other than the ground specified in subsection (4), as the case may be, shall not, for the purposes of this Act, be treated as if it were a re-determination of origin under this Act.

(6) The granting of a refund under paragraph (1)(c.1) or (c.11) shall, for the purposes of this Act, other than section 66, be treated in the same manner as if it were a re-determination of origin under subsection 60(3) as applied by subsection 57.2(4).

Clause 176: Section 74.1 reads as follows:

74.1 The Minister may grant a refund of duties under paragraph 74(1)(d) in respect of imported goods on which the customs duties are reduced or removed by a retroactive order of the Governor in Council made pursuant to sections 68 and 136 or 129 and 136 of the Customs Tariff if, notwithstanding the limitation period described in paragraph 74(3)(b), an application for the refund is made before July 1, 1992.

Clause 177: Section 77 reads as follows:

77. (1) Subject to this section, where duties have been paid on imported goods and before any use is made of the goods in Canada other than by their incorporation into other goods the goods or the other goods into which they have been incorporated are

    (a) sold or otherwise disposed of to a person who would have been entitled to obtain release of the goods free of duty or at a reduced rate of duty, or

    (b) diverted to a use that would have entitled a person to obtain release of the goods free of duty or at a reduced rate of duty,

the Minister may make a refund to the person by whom the duties were paid, in an amount equal to the difference between the duties paid there on and the duties, if any, that would have been payable on the goods if at the time the goods were released they had been released to the person to whom they were sold or otherwise disposed of or released for the use to which they were diverted.

(2) For the purposes of subsection (1), ``duties'' does not include duties or taxes levied under the Excise Tax Act, the Excise Act or the Special Import Measures Act.

(3) No refund shall be granted under this section unless an application for the refund, supported by such evidence as the Minister may require, is made to an officer in the prescribed manner and in the prescribed form containing the prescribed information within two years after the goods are accounted for pursuant to subsection 32(1), (3) or (5).

Clause 178: Subsection 80(1) reads as follows:

80. (1) Any person who is granted a refund of duties (other than amounts in respect of duty levied under the Special Import Measures Act) under section 74, 76, 77 or 79 shall be granted, in addition to the refund, interest on the refund at the prescribed rate for the period beginning on the ninety-first day after the day an application for the refund is received in accordance with paragraph 74(3)(b) or subsection 77(3), as the case may be, and ending on the day the refund is granted.

Clause 179: Section 80.1 reads as follows:

80.1 (1) Notwithstanding subsection 80(1), any person who, under paragraph 74(1)(d), is granted a refund of duties on imported goods on which the customs duties are reduced or removed by a retroactive order of the Governor in Council made pursuant to sections 68 and 136 or 129 and 136 of the Customs Tariff shall be granted, in addition to the refund, interest at the prescribed rate for the period beginning on the day after the day the duties were paid and ending on the day the refund is granted, calculated on the amount of the refund.

(2) Any person who, before the coming into force of this section, was granted a refund under paragraph 74(1)(d) of duties on imported goods on which the customs duties are reduced or removed by a retroactive order of the Governor in Council referred to in subsection (1) shall be granted interest on the refund in an amount calculated in the manner set out in that subsection, less any interest already granted on the refund.

Clause 180: New.

Clause 181: The headings before section 88 and sections 88 to 94 read as follows:

Drawbacks

Diversions

88. (1) Subject to any regulations made under section 94, where imported goods have been released free of duty or at a reduced rate of duty and are sold or otherwise disposed of to a person who was not entitled to any or as great an exemption, the person who purchased or otherwise acquired the goods and the person who sold or otherwise disposed of the goods

    (a) shall, within ninety days after the time of the sale or other disposition, report the sale or other disposition to an officer at a customs office and account for the goods in the prescribed manner and in the prescribed form containing the prescribed information; and

    (b) are, from the time of the sale or other disposition, jointly and severally liable to pay as duties or additional duties on the goods an amount equal to the amount of duties that would be payable on like goods imported in like condition at the time of the sale or other disposition at a rate of duty equal to

      (i) the rate of duty applicable to like goods at the time of the sale or other disposition,

    minus

      (ii) the rate of duty applied in calculating the duties, if any, already paid in respect of the goods.

(2) Where duties or additional duties are owing under subsection (1) in respect of imported goods that at the time the goods were released were the property of a country other than Canada and were subsequent ly sold or otherwise disposed of on behalf of the government of that country in accordance with an agreement between the government of that country and the Government of Canada, the Minister may determine a rate of duty, which rate shall, for the purpose of calculating the amount of duties or additional duties owing under that subsection in respect of the goods, be deemed to be the rate of duty applicable to like goods at the time of the sale or other disposition.

89. (1) Subject to any regulation made under section 94, where imported goods have been released free of duty or at a reduced rate of duty and are diverted to a use other than that for which they were released, the person who diverted the goods

    (a) shall, within ninety days after the time of the diversion, report the diversion to an officer at a customs office and account for the goods in the prescribed manner and in the prescribed form containing the prescribed information; and

    (b) is, from the time of the diversion, liable to pay as duties or additional duties on the goods an amount equal to the amount of duties that would be payable on like goods imported in like condition at the time of the diversion at a rate of duty equal to

      (i) the rate of duty applicable to like goods at the time of the diversion,

    minus

      (ii) the rate of duty applied in calculating the duties, if any, already paid in respect of the goods.

(2) Subject to subsection (3), subsection (1) applies in respect of goods removed as ships' stores from a customs office, sufferance warehouse or bonded warehouse under paragraph 19(1)(c) or (2)(c) as if the goods were released free of duty at the time they were so removed.

(3) Subsection (1) does not apply in respect of tobacco products or designated goods removed as ships' stores from a customs office, sufferance warehouse or bonded warehouse under paragraph 19(1)(c) or (2)(c).

(4) Where tobacco products or designated goods have been removed as ships' stores from a customs office, sufferance warehouse or bonded warehouse under paragraph 19(1)(c) or (2)(c) and the tobacco products or designated goods are diverted to another use, the person who diverted the tobacco products or designated goods

    (a) shall, at the time of the diversion, report the diversion to an officer at a customs office and account for the tobacco products or designated goods in the prescribed manner and in the prescribed form; and

    (b) is, from the time of the diversion, liable to pay as duties on the tobacco products or designated goods an amount equal to the amount of duties that would be payable on like tobacco products or designated goods imported in like condition at the time of the diversion at a rate of duty applicable to like tobacco products or designated goods at the time of the diversion.

(5) In this section, ``designated goods'' does not include diamonds, pearls or precious and semi-precious stones.

90. For the purposes of section 88 and subsection 89(1), ``duties'' does not include duties or taxes levied under the Excise Tax Act, the Excise Act or the Special Import Measures Act.

91. Sections 88 and 89 apply with respect to goods in respect of which a refund has been granted under section 77 as if

    (a) the goods were released free of duty or at a reduced rate of duty at the time the refund was paid; and

    (b) the rate of duty, if any, applicable to like goods at the time of the sale or other disposition or of the diversion, as the case may be, that resulted in the refund made in respect of the goods under section 77 were the rate of duty referred to in subparagraph 88(1)(b)(ii) or 89(1)(b)(ii).

93. (1) Any person who is liable under section 88, 89 or 91 to pay an amount of duties or additional duties shall pay, in addition to the amount, interest at the specified rate for the period beginning on the first day after the day the person became liable to pay the amount and ending on the day the amount has been paid in full, calculated on the outstanding balance of the amount.

(2) Where a person pays the total amount of duties, or additional duties, owing under section 88, subsection 89(1) or section 91 within ninety days after the day the person became liable to pay the amount, interest on the amount shall not be payable by the person under subsection (1).

(3) Any person who fails to make a report in respect of goods as required by paragraph 88(1)(a) or 89(1)(a) within the time set out in that paragraph is liable to pay a penalty of 6% per year of an amount equal to the duties or additional duties payable on the goods under paragraph 88(1)(b) or 89(1)(b), as the case may be, for the period beginning on the first day after the time within which the report was so required to be made and ending on the day the report is made.

(4) For the purposes of subsections (1) and (3), an amount of duties or additional duties does not include any amount in respect of duty levied under the Special Import Measures Act.

(5) A person who is liable under section 88, 89 or 91 to pay an amount in respect of duty levied under the Special Import Measures Act shall pay, in addition to that amount, interest at the prescribed rate in respect of each month or fraction of a month in the period beginning on the ninety-first day after the day the duties or additional duties became payable and ending on the day the amount has been paid in full, calculated on the outstanding balance of the amount.

94. The Governor in Council may make regulations prescribing

    (a) time limits for the application of sections 88 to 91 and the classes of goods in respect of which, or the circumstances in which, such limits shall apply; and

    (b) the circumstances in which certain goods would be exempted from the operation of those sections, and the classes of goods in respect of which, the length of time for which and the conditions under which such exemptions shall apply.

Clause 182: The relevant portion of section 109.1 reads as follows:

109.1 Every person who fails to comply

    (a) with the terms and conditions on which a licence was issued under section 24 of this Act or section 81 of the Customs Tariff, or

    (b) with a regulation made under section 30 or 40 of this Act or paragraphs 95(1)(f) to (i) or subsection 95(3) of the Customs Tariff,

Clause 183: Section 109.11 reads as follows:

109.11 (1) In this section, ``duties payable'' means duties that have not been paid but does not include, for the purposes of calculating a penalty under subsection (2) or (3) in respect of a failure to comply with subsection 103(1), (2) or (2.1), 105(1) or 105.1(1) of the Customs Tariff, an amount in respect of duty levied under the Special Import Measures Act.

(2) Every person who fails to comply with section 31 or subsection 88(1) or 89(1) or (4) of this Act or subsection 83.02(1), 103(1), (2) or (2.1), 105(1) or 105.1(1) of the Customs Tariff is liable to a penalty equal to the total of

    (a) an amount equal to 5% of the duties payable, and

    (b) an amount equal to the product obtained when 1% of the duties payable that were unpaid when the amount was required to be paid, is multiplied by the number of complete months, not exceeding 12, from the day on which the amount was required to be paid to the day on which the amount was paid.

(3) Every person who fails to comply with section 31 or subsection 88(1) or 89(1) or (4) of this Act or subsection 83.02(1), 103(1), (2) or (2.1), 105(1) or 105.1(1) of the Customs Tariff and by whom, at the time of failure, a penalty was payable under this subsection or subsection (2) in respect of a failure to comply in any of the three preceding years is liable to a penalty equal to the total of

    (a) an amount equal to 10% of the duties payable, and

    (b) an amount equal to the product obtained when 2% of the duties payable that were unpaid when the amount was required to be paid, is multiplied by the number of complete months, not exceeding 20, from the day on which the amount was required to be paid to the day on which the amount was paid.

Clause 184: Subsection 109.2(1) reads as follows:

109.2 (1) In this section, ``designated goods'' includes firearms, weapons, ammunition and any other goods classified under Chapter 93 of Schedule I to the Customs Tariff or code 9965 of Schedule VII to that Act.

Clause 185: The relevant portion of section 117 reads as follows:

117. An officer may, subject to this or any other Act of Parliament, return any goods that have been seized under this Act to the person from whom they were seized or to any person authorized by the person from whom they were seized on receipt of

    (a) an amount of money of a value equal to

      (i) the aggregate of the value for duty of the goods and the amount of duties levied thereon, if any, calculated at the rates applicable thereto

        (A) at the time of seizure, where the goods have not been accounted for under subsection 32(1), (2) or (5) or where duties or additional duties have become due on the goods under sections 88 to 91, or

Clause 186: The relevant portion of subsection 119(1) reads as follows:

119. (1) An officer shall, subject to this or any other Act of Parliament, return any animals or perishable goods that have been seized under this Act and have not been sold under subsection (2) to the person from whom they were seized or to any person authorized by the person from whom they were seized at the request of such person and on receipt of

    (a) an amount of money of a value equal to

      (i) the aggregate of the value for duty of the animals or perishable goods and the amount of duties levied thereon, if any, calculated at the rates applicable thereto,

        (A) at the time of seizure, where the animals or perishable goods have not been accounted for under subsection 32(1), (2) or (5) or where duties or additional duties have become due on the goods under sections 88 to 91, or

Clause 187: The relevant portion of subsection 124(2) reads as follows:

(2) For the purpose of paragraph (1)(a), an officer may demand payment in respect of goods of an amount of money of a value equal to the aggregate of the value for duty of the goods and the amount of duties levied thereon, if any, calculated at the rates applicable thereto

    (a) at the time the notice is served, where the goods have not been accounted for under subsection 32(1), (2) or (5) or where duties or additional duties have become due on the goods under sections 88 to 91; or

Clause 188: Section 126.1 reads as follows:

126.1 Sections 127 to 133 do not apply to a contravention of subsection 40(3) of this Act by a person referred to in paragraph (c) of that subsection, or to a contravention of subsection 88(1) or 89(1) of this Act, or to a contravention of subsection 83.02(1), 103(1), (2) or (2.1), 105(1) or 105.1(1) of the Customs Tariff.

Clause 189: (1) The relevant portion of subsection 133(2) reads as follows:

(2) Goods may be returned under paragraph (1)(a) on receipt of an amount of money of a value equal to

    (a) the aggregate of the value for duty of the goods and the amount of duties levied thereon, if any, calculated at the rates applicable thereto

      (i) at the time of seizure, where the goods have not been accounted for under subsection 32(1), (2) or (5) or where duties or additional duties have become due on the goods under sections 88 to 91, or

(2) The relevant portion of subsection 133(4) reads as follows:

(4) The amount of money that the Minister may demand under paragraph (1)(c) in respect of goods shall not exceed an amount equal to the aggregate of the value for duty of the goods and the amount of duties levied thereon, if any, calculated at the rates applicable thereto,

    (a) at the time of seizure or of service of the notice under section 124, where the goods have not been accounted for under subsection 32(1), (2) or (5) or where duties or additional duties have become due on the goods under sections 88 to 91; or

Clause 190: The relevant portion of subsection 147.1(6) reads as follows:

(6) Where the Corporation has entered into an agreement under subsection (3), the Corporation shall pay to the Receiver General, within the prescribed time and in the prescribed manner, as an amount due to Her Majesty in right of Canada in respect of mail to which the agreement applies, the greater of the duties collected by the Corporation in respect of the mail and the duties required to be collected in respect of the mail by the Corporation under the agreement, unless

    ...

    (b) duties have not been collected by the Corporation in respect of the mail, the mail has not been delivered and a request for a re-determination or re-appraisal has been made under section 60 in respect of the mail; or

    (c) in any other case, duties have not been collected by the Corporation in respect of the mail, the mail has not been delivered and the period in which a request for a re-determination or re-appraisal may be made under section 60 in respect of the mail has not expired.

Clause 191: The relevant portion of section 159.1 reads as follows:

159.1 Every person commits an offence who

    ...

    (c) with intent to conceal the information given by or contained in the mark, alters, defaces, removes or destroys a mark on imported goods made pursuant to the regulations made under subsection 63.1(2) of the Customs Tariff.

Canadian International Trade Tribunal Act

Clause 192: (1) The relevant portion of subsection 2(2.1) reads as follows:

(2.1) In this Act,

    ...

    (b) ``Canada-Israel Free Trade Agreement Tariff'', ``imported from Israel or another CIFTA beneficiary'' and ``Israel or another CIFTA beneficiary'' have the same meaning as in subsection 2(1) of the Customs Tariff.

(2) The relevant portion of subsection 2(3) reads as follows:

(3) In this Act,

    ...

    (b) ``Chile Tariff'' has the same meaning as in subsection 2(1) of the Customs Tariff.

Clause 193: Subsections 19.01(2) and (3) read as follows:

(2) The Tribunal shall inquire into and report to the Governor in Council on the question whether goods that are entitled to the benefit of the United States Tariff of Schedule I or II to the Customs Tariff, other than textile and apparel goods, are, as a result of the reduction of that tariff, being imported in such increased quantities and under such conditions that they alone constitute a principal cause of serious injury to domestic producers of like or directly competitive goods, where the Governor in Council, on the recommendation of the Minister, refers the question to it for inquiry and report.

(3) The Tribunal shall inquire into and report to the Governor in Council on the question whether goods that are entitled to the benefit of the Mexico Tariff, or the Mexico-United States Tariff, of Schedule I to the Customs Tariff, other than textile and apparel goods, are, as a result of the reduction of that tariff, being imported in such increased quantities and under such conditions that they alone constitute a principal cause of serious injury, or threat thereof, to domestic producers of like or directly competitive goods, where the Governor in Council, on the recommendation of the Minister, refers the question to it for inquiry and report.

Clause 194: Subsection 19.02(1) reads as follows:

19.02 (1) If an order made under subsection 59.1(1), (8) or (11) of the Customs Tariff or subsection 5(3), (3.2) or (4.1) of the Export and Import Permits Act specifies that it remains in effect for a period of more than three years, the Tribunal shall, before the mid-point of the period,

    (a) review developments since the order was made respecting the goods that are subject to the order and like or directly competitive goods produced by domestic producers;

    (b) in light of the review, prepare a report on the developments and provide advice on whether the order should remain in effect, be revoked or be amended; and

    (c) submit a copy of the report to the Governor in Council and the Minister.

Clause 195: Subsection 19.1(2) reads as follows:

(2) The Tribunal shall inquire into and report to the Governor in Council on the question whether goods that are entitled to the benefit of the United States Tariff of Schedule I to the Customs Tariff are, as a result of the reduction or elimination of that tariff, being imported in such increased quantities and under such conditions that they alone constitute a principal cause of serious injury to domestic producers of like or directly competitive goods, where the Governor in Council, on the recommendation of the Minister of Finance, refers the question to it for inquiry and report.

Clause 196: (1) Subsections 23(1.01) to (1.03) read as follows:

(1.01) Any domestic producer of goods that are like or directly competitive with any goods, other than textile and apparel goods, being imported into Canada and that are entitled to the benefit of the United States Tariff of Schedule I or II to the Customs Tariff, or any person or association acting on behalf of any such domestic producer, may file a written complaint with the Tribunal alleging that, as a result of the reduction of that tariff, the imported goods are being imported in such increased quantities and under such conditions as to alone constitute a cause of serious injury to domestic producers of like or directly competitive goods.

(1.02) Any domestic producer of goods that are like or directly competitive with any goods, other than textile and apparel goods, being imported into Canada and that are entitled to the benefit of the Mexico Tariff, or the Mexico-United States Tariff, of Schedule I to the Customs Tariff, or any person or association acting on behalf of any such domestic producer, may file a written complaint with the Tribunal alleging that, as a result of the reduction of that tariff, the imported goods are being imported in such increased quantities and under such conditions as to alone constitute a cause of serious injury, or threat thereof, to domestic producers of like or directly competitive goods.

(1.03) Any domestic producer of any textile and apparel goods that are like or directly competitive with any textile and apparel goods being imported into Canada and that are entitled, either under subsection 25.2(5.1) of the Customs Tariff or, in respect of goods that have been integrated into the General Agreement on Tariffs and Trade pursuant to a commitment made by Canada under any successor agreement to the Multifibre Arrangement, under subsection 25.2(7) of the Customs Tariff, to the benefit of the United States Tariff, or the Mexico Tariff, of Schedule I to that Act, or any person or association acting on behalf of any such domestic producer, may file a written complaint with the Tribunal alleging that, as a result of the reduction of that tariff, the imported goods are being imported in such increased quantities, in absolute terms or relative to the domestic market in Canada for the goods, and under such conditions as to cause serious damage, or actual threat thereof, to domestic producers of like or directly competitive textile and apparel goods.

(2) Subsections 23(1.06) and (1.1) read as follows:

(1.06) Any domestic producer of any textile and apparel goods that are like or directly competitive with any textile and apparel goods being imported into Canada and that are entitled, either under section 25.7 of the Customs Tariff or, in respect of goods that fall under the scope of the Agreement on Textiles and Clothing in Annex 1A of the World Trade Organization Agreement pursuant to a commitment made by Canada, under section 25.6 of the Customs Tariff, to the Chile Tariff, or any person or association acting on behalf of such a domestic producer, may file a written complaint with the Tribunal alleging that, as a result of that entitlement, the imported goods are being imported in such increased quantities, in absolute terms or relative to the domestic market in Canada for the goods, and under such conditions as to cause serious damage, or actual threat thereof, to domestic producers of like or directly competitive textile and apparel goods.

(1.1) Any domestic producer of goods that are like or directly competitive with any goods being imported into Canada and that are entitled to the benefit of the United States Tariff of Schedule I to the Customs Tariff, or any person or association acting on behalf of any such domestic producer, may file a written complaint with the Tribunal alleging that as a result of the reduction or elimination of that tariff, the imported goods are being imported in such increased quantities and under such conditions as to alone constitute a cause of serious injury to domestic producers of like or directly competitive goods.

Clause 197: (1) and (2) The relevant portion of subsection 26(1) reads as follows:

26. (1) Subject to subsections (4) to (7), the Tribunal shall, within thirty days after the day on which notice is given to a complainant that the complaint is properly documented, commence an inquiry into the complaint if it is satisfied

    (a) that the information provided by the complainant and any other information examined by the Tribunal disclose a reasonable indication that

      ...

      (i.1) in the case of a complaint filed under subsection 23(1.01), the goods that are entitled to the benefit of the United States Tariff of Schedule I or II to the Customs Tariff are, as a result of the reduction of that tariff, being imported in such increased quantities and under such conditions that they alone constitute a cause of serious injury to domestic producers of like or directly competitive goods,

      (i.2) in the case of a complaint filed under subsection 23(1.02), the goods that are entitled to the benefit of the Mexico Tariff, or the Mexico-United States Tariff, of Schedule I to the Customs Tariff are, as a result of the reduction of that tariff, being imported in such increased quantities and under such conditions that they alone constitute a cause of serious injury, or threat thereof, to domestic producers of like or directly competitive goods,

      (i.3) in the case of a complaint filed under subsection 23(1.03), the textile and apparel goods that are entitled to the benefit of the United States Tariff, or the Mexico Tariff, of Schedule I to the Customs Tariff are, as a result of the reduction of that tariff, being imported in such increased quantities, in absolute terms or relative to the market in Canada for the goods, and under such conditions as to cause serious damage, or actual threat thereof, to domestic producers of like or directly competitive textile and apparel goods,

      ...

      (ii) in the case of a complaint filed under subsection 23(1.1), the goods that are entitled to the benefit of the United States Tariff of Schedule I to the Customs Tariff are, as a result of the reduction or elimination of that tariff, being imported in such increased quantities and under such conditions that they alone constitute a cause of serious injury to domestic producers of like or directly competitive goods;

(3) Subsection 26(7) reads as follows:

(7) If subsection 59.1(3.1) of the Customs Tariff or subsection 5(3.1) of the Export and Import Permits Act prohibits the making of an order under subsection 59.1(1) of the Customs Tariff or subsection 5(3) of the Export and Import Permits Act in respect of any goods during any period, the Tribunal may commence an inquiry into a complaint under subsection (1) in respect of the goods no earlier than one hundred and eighty days before the end of the period.

Clause 198: (1) and (2) The relevant portion of subsection 27(1) reads as follows:

27. (1) The Tribunal shall, in an inquiry into a complaint, determine whether, having regard to any regulations made pursuant to paragraph 40(a),

    ...

    (a.1) in the case of a complaint filed under subsection 23(1.01), the goods that are entitled to the benefit of the United States Tariff of Schedule I or II to the Customs Tariff are, as a result of the reduction of that tariff, being imported in such increased quantities and under such conditions that they alone constitute a principal cause of serious injury to domestic producers of like or directly competitive goods;

    (a.2) in the case of a complaint filed under subsection 23(1.02), the goods that are entitled to the benefit of the Mexico Tariff, or the Mexico-United States Tariff, of Schedule I to the Customs Tariff are, as a result of the reduction of that tariff, being imported in such increased quantities and under such conditions that they alone constitute a principal cause of serious injury, or threat thereof, to domestic producers of like or directly competitive goods;

    (a.3) in the case of a complaint filed under subsection 23(1.03), the textile and apparel goods that are entitled to the benefit of the United States Tariff, or the Mexico Tariff, of Schedule I to the Customs Tariff are, as a result of the reduction of that tariff, being imported in such increased quantities, in absolute terms or relative to the market in Canada for the goods, and under such conditions as to cause serious damage, or actual threat thereof, to domestic producers of like or directly competitive textile and apparel goods;

    ...

    (b) in the case of a complaint filed under subsection 23(1.1), the goods that are entitled to the benefit of the United States Tariff of Schedule I to the Customs Tariff are, as a result of the reduction or elimination of that tariff, being imported in such increased quantities and under such conditions that they alone constitute a principal cause of serious injury to domestic producers of like or directly competitive goods.

Clause 199: The relevant portion of subsection 30.01(2) reads as follows:

(2) A written complaint may be filed with the Tribunal where

    (a) any goods are subject to a surtax under subsection 59.1(1) or (8) of the Customs Tariff or are included on the Import Control List pursuant to subsection 5(3) or (3.2) of the Export and Import Permits Act; and

Clause 200: The relevant portion of subsection 30.011(1) reads as follows:

30.011 (1) A written complaint may be filed with the Tribunal where

    (a) any goods are subject to a surtax under subsection 59.1(1) or (8) of the Customs Tariff or are included on the Import Control List pursuant to subsection 5(3) or (3.2) of the Export and Import Permits Act; and

Clause 201: The relevant portion of subsection 30.012(1) reads as follows:

(2) A written complaint may be filed with the Tribunal if

    (a) any goods are subject to a surtax under subsection 59.1(1) or (8) of the Customs Tariff or are included on the Import Control List pursuant to subsection 5(3) or (3.2) of the Export and Import Permits Act; and

Clause 202: Subsection 30.03(1) reads as follows:

30.03 (1) The Tribunal shall cause to be published in the Canada Gazette a notice of the expiration date of any order that imposes a surtax on any goods under subsection 59.1(1), (8) or (11) of the Customs Tariff or includes any goods on the Import Control List pursuant to subsection 5(3), (3.2) or (4.1) of the Export and Import Permits Act, but no notice shall be published if

    (a) the order is revoked or ceases to have effect under subsection 59.1(4), (5), (6), (8.4) or (9) of the Customs Tariff or subsection 5(4.4) of the Export and Import Permits Act before the expiration of the effective period specified in the order; or

    (b) the total of the effective period specified in the order and any periods during which the goods were subject to any related orders made under subsection 59.1(1), (8) or (11) of the Customs Tariff or subsection 5(3), (3.2) or (4.1) of the Export and Import Permits Act is eight years.

Clause 203: Subsection 30.04(1) reads as follows:

30.04 (1) Any domestic producer of goods that are like or directly competitive with any goods that are subject to an order referred to in subsection 30.03(1), or any person or association acting on behalf of such a domestic producer, may file with the Tribunal a written request that an extension order be made under subsection 59.1(8) of the Customs Tariff or subsection 5(3.2) of the Export and Import Permits Act because an order continues to be necessary to prevent or remedy serious injury to domestic producers of like or directly competitive goods.

Canadian Wheat Board Act

Clause 204: The relevant portion of section 46 reads as follows:

46. The Governor in Council may make regulations

    ...

    (b.1) to permit the importation into Canada of wheat or wheat products that are entitled to the benefit of the United States Tariff of Schedule I to the Customs Tariff and that are owned by a person other than the Board subject, where the Governor in Council considers it appropriate, to any of the following requirements, namely,

      (i) that the wheat be accompanied by an end-use certificate referred to in subsection 87.1(1) of the Canada Grain Act, completed by the person importing the wheat, declaring that the wheat is imported for consumption in Canada and is consigned directly to a milling, manufacturing, brewing, distilling or other processing facility for consumption at that facility,

      (ii) that the wheat be denatured in a prescribed manner, if the wheat is imported for feed use, or

      (iii) that the wheat be accompanied by a certificate issued pursuant to section 4.1 of the Seeds Act, if the wheat is imported for seed use;

    (b.2) to permit the importation into Canada of wheat or wheat products that are entitled to the benefit of the Mexico Tariff of Schedule I to the Customs Tariff and that are owned by a person other than the Board;

Copyright Act

Clause 205: Section 44 reads as follows:

44. Copies made out of Canada of any work in which copyright subsists that if made in Canada would infringe copyright and as to which the owner of the copyright gives notice in writing to the Department of National Revenue that the owner desires that the copies not be so imported into Canada, shall not be so imported, and shall be deemed to be included in Schedule VII to the Customs Tariff, and that Schedule applies accordingly.

Excise Act

Clause 206: Subsection 138(1.1) reads as follows:

(1.1) A refund or drawback of the customs duty imposed pursuant to section 36 of the Customs Tariff, in respect of spirits, wine or flavouring materials having a spirit content, on which the customs duty has been paid and not refunded and that are brought into a distillery for the purpose of blending with spirits in bond, may be granted under such terms and conditions as the Governor in Council may, by regulation, prescribe.

Export and Import Permits Act

Clause 207: (1) The definition ``goods imported from Israel or another CIFTA beneficiary'' in section 2 reads as follows:

``goods imported from Israel or another CIFTA beneficiary'' means goods that are, within the meaning of regulations made under section 58.4 of the Customs Tariff, imported from Israel or another CIFTA beneficiary;

(2) New.

Clause 208: (1) Subsections 5(3.1) to (3.3) read as follows:

(3.1) No order may be made under subsection (3) with respect to goods that have already been the subject of an order under that subsection or subsection 59.1(1) of the Customs Tariff unless, after the expiration of the order and any related orders made under subsection (3.2) or (4.1) of this section or subsection 59.1(8) or (11) of the Customs Tariff, there has elapsed a period equal to the greater of two years and the total period during which the order or orders were in effect.

(3.2) The Governor in Council may, on the recommendation of the Minister, make an extension order including on the Import Control List any goods with respect to which an order has been made under this subsection or subsection (3) or (4.1) of this section or subsection 59.1(1), (8) or (11) of the Customs Tariff if, at any time before the expiration of the order, it appears to the satisfaction of the Governor in Council, as a result of an inquiry made by the Canadian International Trade Tribunal under section 30.07 of the Canadian International Trade Tribunal Act, that

    (a) an order continues to be necessary to prevent or remedy serious injury to domestic producers of like or directly competitive goods; and

    (b) there is evidence that the domestic producers are adjusting, as determined in accordance with any regulations made under paragraph 40(b) of the Canadian International Trade Tribunal Act.

(3.3) Every extension order made under subsection (3.2) shall, subject to this section, remain in effect for the period that is specified in the order, but the total of the specified period and the periods during which the goods were previously subject to any related orders made under subsection (3), (3.2) or (4.1) of this section or subsection 59.1(1), (8) or (11) of the Customs Tariff shall not exceed eight years.

(2) The relevant portion of subsection 5(4.3) reads as follows:

(4.3) If at any time it appears to the satisfaction of the Governor in Council that it is advisable to collect information with respect to goods imported from a free trade partner, the Governor in Council may, by order, include those goods on the Import Control List in order to facilitate the collection of that information if those goods are goods

    ...

    (b) to which an order made under subsection 59.1(1) or (8) of the Customs Tariff does not apply by virtue of subsection 59.1(3) or (8.3) of that Act.

(3) Subsection 5(6) reads as follows:

(6) If for the purpose of facilitating the implementation of action taken under sections 42 to 44, paragraph 59(2)(d), section 59.1 or subsection 62(1) or 68(1) of the Customs Tariff, the Governor in Council considers it necessary to control the importation of any goods or collect information with respect to their importation, the Governor in Council may, by order, include those goods on the Import Control List for that purpose.

(4) The relevant portion of subsection 5(8) reads as follows:

(8) If goods imported from a free trade partner are included on the Import Control List by order of the Governor in Council under subsection (4.1) or (4.3), the goods are deemed to be removed from that List on the earlier of

    ...

    (b) the day on which

      ...

      (ii) in the case of an order under subsection (4.3) in respect of goods referred to in paragraph (4.3)(b), the order under subsec tion 59.1(1) or (8) of the Customs Tariff that applies to goods of the same kind imported from any other country ceases to have effect.

Clause 209: Subsection 5.2(3) reads as follows:

(3) If at any time it appears to the satisfaction of the Governor in Council that it is advisable to collect information with respect to the importation of any goods in respect of which a specified quantity is eligible for a benefit of any reduction of customs duty under subsection 25.8(1) or 60.3(3) of the Customs Tariff, the Governor in Council may, by order and without reference to that quantity, include those goods on the Import Control List in order to facilitate the collection of that information.

Clause 210: Subsection 6.1(1) reads as follows:

6.1 (1) In this section, ``originating goods'' means goods that are entitled

    (a) under subsection 25.2(5.1) of the Customs Tariff to the benefit of the United States Tariff or the Mexico Tariff; or

    (b) under section 25.7 of the Customs Tariff to the benefit of the Chile Tariff.

Importation of Intoxicating Liquors Act

Clause 211: The relevant portion of subsection 3(2) reads as follows:

(2) The provisions of subsection (1) do not apply to

    ...

    (b.01) the importation of distilled spirits in bulk into a province from a NAFTA country for the purpose of bottling by any person duly licensed by the Government of Canada to carry on the business or trade of a distiller, where the distilled spirits

      (i) are entitled to the benefit of the United States Tariff, the Mexico Tariff or the Mexico-United States Tariff of Schedules I and II to the Customs Tariff, and

      (ii) while kept by the distiller, are kept by the distiller in a place or warehouse that conforms in all respects to the requirements of the law governing such places or warehouses;

    (b.02) the importation of distilled spirits in bulk into a province from Chile for the purpose of bottling by any person duly licensed by the Government of Canada to carry on the business or trade of a distiller, where the distilled spirits

      (i) are entitled to the benefit of the Chile Tariff, as defined in subsection 2(1) of the Customs Tariff, and

      (ii) while kept by the distiller, are kept by the distiller in a place or warehouse that conforms in all respects to the requirements of the law governing such places or warehouses;

    (b.1) the importation of distilled spirits in bulk into a province from the United States for the purpose of bottling by any person duly licensed by the Government of Canada to carry on the business or trade of a distiller, where the distilled spirits

      (i) are entitled to the benefit of the United States Tariff of Schedule I to the Customs Tariff, and

      (ii) while kept by the distiller, are kept by the distiller in a place or warehouse that conforms in all respects to the requirements of the law governing such places or warehouses; or

World Trade Organization Agreement Implementation Act

Clause 212: Section 189 reads as follows:

189. Sections 144 to 188, any provision of the Special Import Measures Act as enacted by any of those sections, or any rule or regulation made under the Special Import Measures Act as amended as a result of the Agreement and any regulations under subsection 13(2) of the Customs Tariff, to the extent that they apply for the purposes of the Special Import Measures Act, apply to goods from a NAFTA country, within the meaning assigned to that expression by subsection 2(1) of the Special Import Measures Act.

Previous Page Table of Contents Next Page