CARM 103 FAQs
Delmar CARM 103 FAQs
Q: I presently provide customs documents to Delmar via email for each shipment. Will this change once CARM is fully released?
A: There will be no change in the way importers deliver documents to Delmar for customs clearance.
Q: Who selected the July 25, 2020 to July 24, 2021 time period to determine the highest amount of duties and taxes to calculate the Continuous Surety Bond amount required? Due to COVID-19, imports diminished and there was an increase of shipping costs during this time. Shouldn’t we choose a more "normal" import period?
A: The CBSA designated the July 2020 to July 2021 time period to have the most recent import data. If imports were lower than normal during this period, this will be corrected as CARM is implemented. If imports increase, the CBSA will ask importers to increase their bonds.
Q: If duties and taxes are fairly low for the whole year, is a bond for $25 000 or cash better for low duty and taxes firms?
A: The minimum bond amount is $25 000. Importers will have to decide whether their best option is cash or bond on a case-by-case basis.
Q: How is the cost of the bond determined? Is the $25 000 a fixed amount or is it based on financials of the company?
A: There are several factors that determine the bond cost. Importers will need to discuss this with their surety company or contact Delmar's Business Services Department at [email protected].
Q: Where on the portal can you see the bond information? Can you also see the limit of the Continuous Surety Bond?
A: This function is currently not available on the portal. However, we are sure that towards the release of R2, we will see the portal updated with this functionality.
Q: How does an employee request access to their company’s business account?
A: The employee should first create a user account by creating a GC Key or using their banking account as a sign in partner. They should then log onto the CARM portal and make a request for access to their company's business by searching for the BN9.
Q: What are the steps to determine the required bond amount?
A: To determine the required bond amount, the importer must take their highest monthly duty and tax amount and divide that number by two.
Q: Why don’t the amounts on my Brokerage Activity Statement match the amounts in the CARM portal Current Open Balance when viewed on the same date as the statement?
A: We assume you are talking about your client SOA which may have more activity on it than just your broker’s transactions. You could contact our Advisory Services department at [email protected] and we could help answer your questions or contact the CBSA CARM team.
Q: Where is the section to designate Delmar as the customs importer within the CARM Client Portal?
A: The section is located in the Third-Party Requests. Once you select it, you will see a tab with Delmar requesting access as your broker.
Q: When should we start our application for a bond given it is only needed for 2023?
A: We recommend importers start the process as soon as possible as there could be delays in issuing bonds.
Q: I am an importer and I work with freight forwarders to bring in goods into the country. Do I need to change the documents or information I provide the freight forwarder? I also see a lot of importance put on the deadline for the CAD and I want to know if this is something I will need to take action on or if this is something my freight forwarder will take care of.
A: There should be little or no change to the information importers need to provide to their customs broker. The new CAD declaration is a change to the way we deliver information to the CBSA but the information itself should remain very similar to today's process.
Q: Is there someone who can confirm the amount we would need to get for the continuous surety bond?
A: You can contact Delmar's Business Services Department at [email protected].
Q: How long does it take to obtain surety bonds?
A: Currently, the process can take up to 30 days. This time frame may increase as more and more importers request bonds.
Q: What is the definition of a “smaller” bond?
A: This will vary from importer to importer based on several financial factors, but generally anything under $100 000 would fall into this category.
Q: How often are bond values reviewed?
A: The CBSA will review bond amounts on an entry-by-entry basis.
Q: If I have a continuous bond in place that covers my highest monthly duties and taxes, will I need to re-do my bond for the monthly SOA on the 25th?
A: If you have a continuous bond in place that covers your highest monthly duties and taxes, you will not need to re-do your bond for the monthly SOA on the 25th. If you have any questions, please contact our Business Services Team at [email protected] to confirm you have the applicable bond coverage for RPP privileges.
Q: How will the CAD look like?
A: A final version of the CAD has not been released by the CBSA. Once it is available, we will share a copy with all importers.
Q: Will we have to retrieve Delmar invoices from the portal or will they be sent to us by email as they are now (via Versapay)?
A: There will be no change in the way that you receive your invoices from Delmar.
Q: Will the shipping documents that we send to Delmar be attached to each transaction on the CARM portal?
A: No, the CAD will not have the documentation attached. Documents will be held for your records by Delmar if that is the arrangement. They will also be sent with our billing invoices as they are today. Basically, the release process is not changing, only the accounting process is.
Q: If the highest duty month is $5000, will this be the amount that will be due yearly for the bond surety?
A: The bond amount is one half of your highest monthly duty and tax paid, with a minimum bond amount of $25 000.
Q: Will duties include GST payable due to the Crown?
A: Both duty and GST will be paid directly to the CBSA once Release 2 is launched in 2023.
Q: Are cash bonds paid monthly through the portal?
A: A cash bond only needs to be paid once. If your imports increase, the CBSA will notify you that you need to increase your cash deposit.
Q: How do I add an employee from my company to the CARM Portal? Will he/she have to register and then will I have to accept their request?
A: That is correct. The Primary Bam for the importer will accept the requests for access by other employees.
Q: Are we going to use the portal to request duty drawback? Is Delmar going to do that for us?
A: Yes, duty refunds and drawbacks will be filed on the CARM Portal, and Delmar can file these on your behalf.
Q: If I need $25 000 bond, how much will I need to pay?
A: Please contact our Business Services Department at [email protected].
Q: If my highest payable month is $5000, would the continuous bond be cheaper than paying the minimum bond amount of $5000?
A: Please contact our Business Services Department at [email protected].
Q: Is it cheaper to post a cash bond or pay for a continuous surety on the minimum $25 000 bond?
A: This will depend on many factors. You will need to contact our Business Services Department at [email protected] for more information.
Q: If I post a cash bond/deposit, do I need to continuously monitor this and adjust it as required?
A: The CBSA will monitor your security and advise you via the portal when it needs to be increased.
Q: Can related companies share a bond or does each BN need their own bond?
A: Each separate BN will need its own bond.
Q: Does CARM apply to LCL or FCL shipments?
A: The CARM program applies to all imports from all origins.
Q: What is the average service fee/cost of a $25 000 surety bond?
A: Please contact our Business Services Department at [email protected].
Q: We usually get a letter from the CBSA requesting an increase in bond amount. Should we still be expecting to receive this letter as guidance for the security amount?
A: The CBSA will monitor your security and advise you via the portal when it needs to be increased.
Q: Should we choose a continuous bond, will we be advised if we require increased coverage due to the duties and taxes increase of our shipments?
A: The CBSA will monitor your security and advise you via the portal when it needs to be increased.
Q: I have registered on CARM but I do not see any attachments on the transactions. Will documents be added at a later time?
A: Commercial documents will not be available on the CARM Portal.
Q: Where will Delmar’s CARM On-Demand Webinars be posted?
A: They will be posted on our website on our CARM overview page.
Q: Will we have to retrieve the CAD from CARM ourselves?
A: The CAD will be available on the portal. However, a copy will also be provided with your brokerage invoice.
Q: Will supporting documents be provided on CARM website?
A: Supporting documents will not be available on the portal.
Q: I do not have many imports in a year. What would be a minimum bond I need to have?
A: Please contact our Business Services Department at [email protected].
Q: What will be the deposit amount if I choose to post a cash bond?
A: If you choose to post a cash bond, the deposit amount will need to be the same amount as your highest amount of monthly duties and taxes between July 2020 and July 2021.