Courier Low Value Shipments (CLVS) Compliance Activities

• Get updates on trade, Customs and regulatory changes
• Stay informed on trade compliance seminars,
  workshops and industry events

x

Canada Border Services Agency via Canadian Society of Customs Brokers Jun 15, 2015

The CBSA has provided the following statistical information on the CBSA‘s Courier Low Value Shipments (CLVS) compliance activities.

Summary Statistics on the Examinations of Shipments Under the CLVS, for Fiscal Year (FY) 2013-2014

Over 37.5 million CLVS shipments were reported for FY 2013-14; these are divided into 2 categories:

1. Category 1 = under $20.00;
2. Category 2 = $20 to $2,500.

• The number of Category 2 shipments, 25,654,639 , were more than twice those of Category 1 (11,874,176). A total of 37,528,815 shipments were reported under the CLVS program.
• Of the 37,528,815 CLVS shipments, 772,596 or 2.06% were examined for assessing compliance.
• Examinations resulted in 58, 974 Y50 rejection notices.

Y50 rejection notices are categorised by type of identified error, which include the following:

• CHANGE $ 0-20: selected when valued at $20 or less on the cargo report but determined to be over $20;
• CHANGE $ 20-2500: selected when valued between $20 and $2500 on the cargo report but determined to be over $2500;
• OGD: selected when OGD goods inadmissible for the CLVS stream are identified;
• OTHER: selected when exam reveals something other than those identified above.

Notably, the CBSA issued 7,790 Y50 rejection notices relating to OGD goods;

CBSA issued 13, 515 Y50s as a result of undervaluation, where the total declared value of $799,784 should have been declared at $13,530,283, resulting in an undervalued amount of $12,730,499.

For FY 2014-2015, 137 instances of undervaluation were deemed as significant ($10,000 or more)

On January 28, 2015, CBSA published Customs Notice CN 15-002 “New Seizure Policy for Significant Undervaluation of Commercial Goods in the Courier Low Value Shipment (CLVS) Program”, announcing the implementation of a new seizure policy addressing significant undervaluation uncovered in this import stream. The CBSA is currently not in a position to release specific information on the penalties that have been issued since its implementation.  For further reference, the CN 15-002 is here available at the following link: http://www.cbsa-asfc.gc.ca/publications/cn-ad/cn15-002-eng.html