AMPS: The Unwanted Consequence of ACI eManifest Non-Compliance

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By Jan Brock, ABC Customs Brokers Aug 06, 2015

1. Zero-rated AMPS

Highway carriers travelling into Canada should be well aware of the fact that the ACI eManifest six month period for zero-rated AMPS is now in force. During this time, the Canada Border Services Agency may issue non-monetary Administrative Monetary Penalty System (AMPS) penalties wherein no monies will be owed to the CBSA. The penalty will instead serve as a warning to carriers to correct the issue that led to the infraction and to prepare to fully comply with ACI eManifest requirements.

CBSA has also been issuing a Notice of Non-Compliance to carriers who do not comply with Advanced Commercial Information eManifest reporting requirements at the primary inspection line.

How will zero-rated AMPS be enforced?

During the zero-rated period from July 10, 2015 to January 10, 2016,  CBSA is promoting ACI eManifest compliance through monitoring and client outreach.

Word to the wise

For anyone in the business of importing or transporting goods into Canada, it is very important that you take this time to implement a compliance protocol.  Work out the bugs in filing ACI eManifest submissions, learn to identify errors, omissions, or other non-compliance and provide updated accurate information immediately. Doing so will only ensure a more efficient journey through CBSA without delays and monetary penalties.

2. Monetary AMPS

Beginning January 11, 2016, highway carriers will be expected to be in full compliance with the eManifest. Carriers who do not comply may be issued monetary Administrative Monetary Penalty System (AMPS) penalties.

How will AMPS be enforced?

The application of monetary penalties will be centralized and issued exclusively by the ACI Policy Unit in CBSA Headquarters in Ottawa. This is intended to promote accuracy of application, fairness and client outreach. Monitoring of client compliance will be achieved by referrals from CBSA Ports, Region Operational reviews and HQ monitoring post-arrival compliance.

Monetary penalties will range from $250 to $8000 Canadian dollars per shipment. AMPS are progressive, i.e. the first, second, third, and subsequent occurrences of the same contravention by the same carrier receive progressively higher penalty amounts.

ACI AMPS may be applied for

• Failing to send the required conveyance and cargo data at least one hour in advance of the truck’s arrival at the border
• Providing incomplete, inaccurate or untrue information, or
• Failing to notify CBSA that the conveyance or cargo data submitted has changed.

Carriers risk more than penalties for repeated non-compliance

Carriers who repeatedly fail to comply with the eManifest requirements or who frequently submit data amendments or delete transmissions may also risk having this information included in their overall CBSA risk score potentially resulting in an extended delay in the carrier’s shipments to pass through customs.

How to strengthen your eManifest compliance

It is important for importers, carriers and freight forwarders to implement a customs compliance program within their own businesses. This should include procedures for self-assessment of compliance in advance of January 10, 2016 when CBSA could issue a penalty for non-compliance. Now is the time for early detection of customs reporting errors, facilitating corrections and amendments and voluntary disclosures as necessary in order to mitigate the risk of penalties in 2016.

Carriers are encouraged to communicate with shippers and customers the necessity to provide information to carriers in advance and ensure descriptions and piece counts are accurate for all goods.  Cooperation amongst all parties involved in the importation of goods into Canada will be critical to ensure that the correct information gets to the correct location at the correct time. Failure to do so leads to delays at the border and potential fines for the carriers.

How to file eManifest correctly

Our ACI eManifest Seminars are 90-minute sessions where we answer questions, offer practical solutions and help with the ACI eManifest regulations in effect. These sessions are presented by Jan Brock, recently retired Chief of Operations with Canada Border Services Agency for the Pacific Highway and Abbotsford Huntingdon Commercial Operations.

For details and to register »

ABC Customs Brokers' eManifest filing services assist you in submitting all relevant information to Canada Customs within the required time period to ensure your trucks cross the border as quickly and efficiently as possible.

Have questions?

If you have any questions about ACI eManifest, please do not hesitate to contact our Carrier Relations Liaison at 855.542.6644 or via email at carrierhelpdesk@abccustoms.com.