CBSA Issues Verification Targets for 2022

January 12, 2022

One of the enforcement functions of the Canada Border Services Agency is to conduct compliance verifications or “customs audits” to assess an importer’s compliance with, among other things, tariff classification, origin or value for duty rules.  A compliance verification could result in assessments of additional customs duties, Goods and Services Tax and other import levies, plus interest and administrative monetary penalties (AMPS).  Compliance verifications are also time consuming for the importer’s compliance professional who must assemble all the documentation from sample import transactions selected by the CBSA officer conducting the audit, and potentially file correcting entries should the CBSA determine that errors occurred during the verification period.

Importer Best Practices

An importer who takes the initiative to conduct their own internal reviews or audits before the CBSA commences an audit, can enjoy certain benefits.  For example, such an importer has the opportunity to file a voluntary disclosure and avoid any AMPS penalties.  Alternatively, the importer may in certain circumstances benefit from the CBSA’s reassessment policy which permits such an importer to be exempt from having to make correcting entries for past errors, so long as the entries are corrected going forward.

The January 2022 Verification Targets List

Given the foregoing, it is helpful for importers to know in advance the types of issues the CBSA will be targeting in their customs audits each year.  In this regard, the CBSA issues its verification targets twice a year, once in January and again in July.  The CBSA recently issued its January 2022 verification targets and as is typical, the audits focus mainly on tariff classification issues, but also a few valuation concerns.  Interestingly, the CBSA has not targeted any origin related issues for the first half of 2022.

The chart below summarizes the various verification targets by tariff classification, description, and an indication of how many companies have been selected for audit to date and the number of active cases for each target.

A. Tariff Classification Targets

Tariff ClassificationDescriptionImporters SelectedActive Cases
2.07, 16.01, 16.02Spent Fowl121 (2 rounds)39
19.02Pasta147 (3 rounds)3
20.01Pickled Vegetables151 (4 rounds) plus new round 51 plus new round
38.24Other chemical products18 (1 round)4
39.26, 42.02, 85.17Cell phone cases39 (Rounds 1-2) plus new round 3New
39.26, 42.03Gloves50 (2 rounds)9
42.02Bags60 (2 rounds)8
64.03Footwear ($30 or more per pair)195 (4 rounds)3
73.22Air heaters and hot air distributors43 (2 rounds)4
83.02Other mountings and fittings, suitable for furniture36 (2 rounds)11
84.31Parts for use with machinery of Chapter 8425 (2 rounds) plus new round 3New
85.06Batteries45 (4 rounds)5
85.13Flashlights and miners’ safety lamps37 (2 rounds)5
85.39LED Lamps2720
87.14Bicycle Parts104 (2 rounds) plus new round 3New
94.01, 94.03Furniture for non-domestic purposes132 (3 rounds)29
9403.90.00Stone table and counter tops21 (2 rounds)2
94.05Parts of Lamps253 (4 rounds)42

B. Valuation Targets

Tariff ClassificationDescriptionNo. of AuditsActive Cases
Chapters 61, 62Apparel228 (3 rounds) plus new round 41 plus new round
Chapter 64Footwear79 (2 rounds)9

C. Origin

No active cases.

For further information about the CBSA’s verification procedures and targets, please contact Greg Kanargelidis at 416-624-5182 or

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