Customs Tariff (S.C. 1997, c. 36)

Marginal note:Application

102 An application for relief under section 101 must be

• (a) accompanied by evidence satisfactory to the Minister of Public Safety and Emergency Preparedness that the goods were exported and

  • (i) in respect of goods referred to in paragraph 101(1)(a), repairs could not have been made in Canada at the place the goods were located before their exportation or within a reasonable distance of that place,

  • (ii) in respect of equipment referred to in paragraph 101(1)(b), the equipment added could not practicably have been added in Canada, or

  • (iii) in respect of goods referred to in paragraph 101(1)(c), it would not have been practicable to do the work in Canada; or

• (b) if the application is made under subsection 101(2), made in the prescribed form and manner, with the prescribed information, at the time of the return to Canada of the goods in respect of which the application is made.

Marginal note:Release of returned goods

103 Subject to section 104, goods in respect of which relief is granted under section 101 before they are released may be released without any payment of duties.

Marginal note:Conditions for relief

104 Relief shall be granted under section 101 in respect of goods that were returned to Canada after being exported only if

• (a) relief, conditional on the exportation of the goods, was not granted in respect of any duties paid or payable; or

• (b) if an application for relief under subsection 101(1) is made, the portion of the duties, calculated in accordance with paragraph 105(1)(b), has been paid.

Marginal note:Value for duty of work abroad

• 105 (1) For the purposes of subsection 101(1), the portion of the duties in respect of which relief is granted under that subsection shall be

  • (a) the amount that, but for that subsection, would be payable in respect of the returned goods

  less

  • (b) the amount obtained by applying the rate that would, but for that subsection, be applied to determine the duties under paragraph (a) to the value of

    • (i) in respect of goods referred to in paragraph 101(1)(a), the repairs made outside Canada,

    • (ii) in respect of equipment referred to in paragraph 101(1)(b), the equipment added and related work done outside Canada, or

    • (iii) in respect of goods referred to in paragraph 101(1)(c), the work done outside Canada.

• Marginal note:Regulations

  (2) For the purposes of subsection (1), the Governor in Council may, on the recommendation of the Minister of Public Safety and Emergency Preparedness, make regulations prescribing the method of determining the value of repairs made, equipment added and work done outside Canada.

Marginal note:Temporary relief of certain duties and taxes

• 106 (1) If an application for relief is made in the prescribed circumstances by a person of a prescribed class and in the prescribed form and manner, accompanied by prescribed documents and by security of a prescribed nature in an amount fixed by the Minister of Public Safety and Emergency Preparedness, relief shall be granted from the payment of the whole or the prescribed portion, as the case may be, of any duty imposed under sections 21.1 to 21.3 or the Excise Act, 2001 or of any excise taxes that, but for this section, would be payable in respect of prescribed goods that are imported and subsequently exported after being used in Canada only for a prescribed purpose.

• Marginal note:Release of goods

  (2) If relief is granted under subsection (1), the goods may be released without the payment of the relieved duty, duties or taxes.

• Marginal note:Conditions

  (3) Relief under subsection (1) is subject to prescribed conditions and to the importer of the goods establishing to the satisfaction of the Minister of Public Safety and Emergency Preparedness that the goods are exported within one year after they are released or, if a period is prescribed, within the prescribed period after they are released.

• Marginal note:Extension of period

  (4) The Minister of Public Safety and Emergency Preparedness may, in respect of prescribed goods, extend the period of exportation by not more than six months if that Minister is satisfied that it is not practical or possible to export the goods within the period.

• Marginal note:Waiver

  (5) The Minister of Public Safety and Emergency Preparedness may waive the requirement under subsection (1) to provide security.

General

Marginal note:Effect of relief

• 107 (1) Subject to sections 95, 98.1 and 98.2, if relief is granted under section 89, 92, 101 or 106 from the payment of the whole or a portion of duties,

  • (a) no duties are payable, if the relief was from the payment of the whole; and

  • (b) the portion is not payable, if the relief was only from the payment of the portion.

• Marginal note:Effect of relief on duty paid value

  (2) Notwithstanding subsection (1), the amount of the customs duties payable on goods shall, for the purposes of determining the duty paid value of the goods, be determined as if relief had not been granted under section 89, 92, 101 or 106.

• Marginal note:Effect of relief on value under Excise Tax Act

  (3) Notwithstanding subsection (1), the amount of customs duties payable on goods shall, for the purposes of determining the value of the goods under section 215 of the Excise Tax Act, be determined as if relief had been granted under section 101 but had not been granted under section 89, 92 or 106.

Marginal note:Refund or cancellation of security

108 The Minister of Public Safety and Emergency Preparedness shall refund or cancel any security given

• (a) in respect of the issuance of a licence under section 91, when the licence is cancelled;

• (b) in respect of goods that would have been classified under tariff item No. 9993.00.00 if they had met the conditions set out in that tariff item, when the goods are accounted for under section 32 of the Customs Act and all duties payable in respect of the goods are paid;

• (c) in respect of goods of tariff item No. 9993.00.00, when the goods are destroyed in the manner that the Minister of Public Safety and Emergency Preparedness directs or the destruction is certified by a customs officer or another person designated by the President of the Canada Border Services Agency;

• (d) in respect of goods of any tariff item in respect of which security is required, other than goods of tariff item No. 9993.00.00, when the goods are exported in the manner and within the period referred to in the tariff item in respect of which security was given or within the period established or extended by the regulations;

• (e) in respect of goods of tariff item No. 9993.00.00, when the goods are exported, destroyed, consumed or expended in the manner and within the period referred to in that tariff item or within the period established or extended by the regulations; and

• (f) in respect of an application for relief under section 106, if

  • (i) the goods in respect of which the application was made are not exported within the period referred to in subsection 106(3) or (4), as the case may be, the goods are accounted for under section 32 of the Customs Act, and all duties and taxes payable in respect of the goods are paid,

  • (ii) the goods in respect of which the application was made are destroyed in the manner that the Minister of Public Safety and Emergency Preparedness directs, or

  • (iii) the goods in respect of which the application was made are exported within the period referred to in subsection 106(3) or (4), as the case may be.

DIVISION 3Obsolete or Surplus Goods

Marginal note:Definition of obsolete or surplus goods

109 In this Division, obsolete or surplus goods means goods that are

• (a) found to be obsolete or surplus

  • (i) in the case of imported goods, by their importer or owner, or

  • (ii) in any other case, by their manufacturer, producer or owner;

• (b) not used in Canada;

• (c) destroyed in such manner as the Minister of Public Safety and Emergency Preparedness may direct; and

• (d) not damaged before their destruction.

Marginal note:Relief for obsolete or surplus goods

110 If an application is made in accordance with section 111, a refund shall be granted of

• (a) all duties, other than the goods and services tax, paid in respect of imported obsolete or surplus goods;

• (b) all duties, other than taxes imposed under the Excise Tax Act, paid in respect of imported goods processed in Canada, if the goods that result from the processing become obsolete or surplus goods; and

• (c) all duties, other than taxes imposed under the Excise Tax Act, paid in respect of imported goods, other than fuel or plant equipment, that are directly consumed or expended in the processing in Canada of goods that become obsolete or surplus goods.

Marginal note:Application

111 An application under section 110 must be

• (a) made in the prescribed form and manner, with the prescribed information,

  • (i) if the obsolete or surplus goods were imported, by the importer or owner of those goods, or

  • (ii) in any other case, by the manufacturer, producer or owner of the obsolete or surplus goods;

• (b) accompanied by a waiver referred to in section 119, if applicable, and by the prescribed documents; and

• (c) made within five years, or such other time as may be prescribed, after the goods in respect of which it is made are released.

Marginal note:Regulations

112 The Governor in Council may, on the recommendation of the Minister of Public Safety and Emergency Preparedness, make regulations prescribing documents that must accompany an application under section 110 and the period within which such an application must be made.

DIVISION 4Additional Relief

Marginal note:Refund or drawback

• 113 (1) Subject to subsection (2), sections 96, 98.1 and 98.2 and any regulations made under subsection (4), a refund or drawback shall be granted of all or a portion of duties if

  • (a) relief or a refund of all or a portion of the duties could have been, but was not, granted under section 89 or 101;

  • (b) all or a portion of the duties was paid; and

  • (c) an application is made in accordance with subsection (3) and section 119.

• Marginal note:No refund

  (2) No refund or drawback of the duties imposed on tobacco products or vaping products under the Excise Act, 2001 shall be granted under subsection (1), except if a refund of the whole or the portion of the duties is required to be granted under Division 3.

• Marginal note:Application

  (3) For the purposes of subsection (1), an application must

  • (a) be supported by such evidence as the Minister of Public Safety and Emergency Preparedness may require;

  • (b) be made by a prescribed person or by a person belonging to a prescribed class of persons;

  • (c) be made in the prescribed form and manner, with the prescribed information, within four years, or within such other time as may be prescribed, after the goods in respect of which it is made are released; and

  • (d) if the goods have not been exported or deemed exported for the purposes of relief under section 89, disclose the number of the certificate issued under section 90.

• Marginal note:Regulations

  (4) For the purposes of this section, the Governor in Council may, on the recommendation of the Minister of Public Safety and Emergency Preparedness, make regulations prescribing

  • (a) the circumstances in which, and the classes of goods in respect of which, a refund or drawback of duties levied under sections 21.1 to 21.3 or under the Special Import Measures Act, a surtax or temporary duty imposed under Division 4 of Part 2, a tax levied under the Excise Tax Act or a duty levied under the Excise Act, 2001 may not be granted under subsection (1);

  • (b) the portion of duties paid that may be granted as a refund or drawback under subsection (1);

  • (c) the persons or classes of persons who may make an application for a refund or drawback under subsection (1);

  • (d) the uses to which goods may be put or operations that goods may undergo after which the goods will be considered to be in the same condition;

  • (e) goods that are considered to be of the same class;

  • (f) the time within which an application for a refund or drawback must be made;

  • (g) the circumstances in which an application for a refund or drawback may be made;

  • (h) restrictions as to the classes of goods for which a refund or drawback may be granted; and

  • (i) the circumstances in which a refund or drawback may not be granted.

• Marginal note:Designated goods

  (5) Despite the exception in subsection 89(2), a refund or drawback of duties or taxes levied or imposed under sections 21.1 to 21.3, the Excise Act, 2001 or the Excise Tax Act shall be granted under paragraph (1)(a) on designated goods.

Marginal note:Overpayment of refund or drawback

• 114 (1) If a refund or drawback is granted under section 110 or 113 to a person who is not eligible for the refund or drawback or in an amount exceeding the amount for which the person is eligible, that person shall pay to Her Majesty in right of Canada, on the day that the refund or drawback is received,

  • (a) any amount for which the person is not eligible; and

  • (b) any interest granted under section 127 on the amount referred to in paragraph (a).

• Marginal note:Debt to Her Majesty

  (2) An amount referred to in subsection (1), while it remains unpaid, is deemed to be a debt owing to Her Majesty in right of Canada under the Customs Act.