What is CARM? All you need to know.

Blog posted on Crane Worldwide Logistics, November 23, 2023

CARM digital initiative – Coming in 2024

CARM is the Canada Border and Services Agency digital initiative. CARM stands for CBSA Assessment and Revenue Management. CARM is changing the way in which the Canada Border and Services Agency (CBSA) assesses as well as the collection of duties and taxes on commercial goods imported into Canada. It is important to fully understand the implications of the new digital initiative to avoid any delays or disruption.

All businesses importing into Canada need to register with CARM before May 2024

The initial launch of CARM happened in 2021, phase one allowed importers to view transactions posted to accounts, make online payments, track progress of rulings online and classify goods and estimate the cost of taxes and any duties online.

The second phase of launch will be happening in May 2024 and it will become the official system of record for the collection of duties and taxes.

The following features will be made available

  • changes to the Release Prior to Payment (RPP) program
  • electronic commercial accounting declarations that you can correct and adjust
  • harmonized billing cycles
  • new offsetting options
  • electronic management of appeals and compliance actions
  • the ability to register for a Business Number (BN9)
  • enrolment in various CBSA commercial programs

Who needs CARM? What does CARM Release 2 mean for importers into Canada?

CARM Release 2 is a significant milestone in CBSA’s efforts to modernize and streamline the customs and trade process, aimed at enhancing efficiency and security in the importation of goods into Canada. With the implementation date rapidly approaching, we want to ensure that you are well-prepared for this transition.

Key points to remember for the CARM Release 2 implementation:

  1. Implementation Date: CARM Release 2 is scheduled for May 13, 2024 at which time all importers must be compliant with the new system.
  2. Registration: If you haven’t already, make sure you are registered for a CARM Client Portal account. You will need this account to access the new system and complete your import-related transactions. Businesses must be registered on the CARM Portal prior to the CARM Release 2 launch date to avoid service disruptions. Visit the CBSA website for detailed instructions on registration.  
  3. Delegation of Authority: If you haven’t already, ensure that you have assigned delegation of authority to any employees within your organization who require access to your CARM portal as well as your customs brokers and other service providers required to continue to offer customs brokerage or trade services.
  4. Educational Resources: CBSA has provided a wealth of educational resources, including webinars, guides, and FAQs, to assist you in understanding the changes and how they will impact your import processes. These resources are available on the CBSA website as well as how to create a user account in the CARM client portal (CCP).
  5. Testing: It’s advisable to test the CARM Release 2 functionalities to ensure a smooth transition. You can participate in the CARM Release 2 sandbox environment to practice using the system before the implementation date. 
  6. Partner with Service Providers: If you work with customs brokers or other service providers, ensure they are well-informed and prepared for the transition to CARM Release 2. Collaboration with your service providers is essential for a seamless transition.
  7. Stay Informed: Continue to monitor updates from CBSA, including any changes or additional information leading up to the implementation date.

We understand that transitioning to a new system can be challenging, but CARM Release 2 promises to bring numerous benefits, including faster and more transparent customs processes. The CBSA is committed to providing support and assistance to make this transition as smooth as possible and Crane Worldwide is available to offer support and guidance during this transition.