1. Accounts Receivable Ledger Project (ARL) BCCC sub-Committee on CARM Updated and New Scenarios
July 5, 2012
Version 0.2

2. PURPOSE
To provide examples of how ARL will affect the commercial process between Importers, Brokers, and the CBSA.
Through the CARM initiative, the CBSA aims to address a number of problems in an
effort to improve accountability and client service and streamline processes for
Agency operations.
The CBSA is committed to delivering border services in an open and
transparent manner so that the commercial importing process is more predictable
and consistent.
As a result, the Agency has responded with a number of key initiatives including a three year improvement strategy. Through these initiatives, the CBSA has committed to work closely with the trade community to find ways to simplify and streamline commercial processes and programs.

3. TABLE OF CONTENTS 1. New process (non-CSA); 2. Reconciliation process;
- Automatic Allocation of Incoming Payments
3. Late Accounting;
4. Offset;
5. GST Option;
6. Importer Direct Security (IDS) Option
5/6a : Importer pays duties & taxes
5/6b : Importer doesn’t pay
5/6c : Both Broker & Importer pay
7. B2-1 Detailed Adjustment Statement (DAS)
7a: B2-1 (DAS) - No Broker involved
7b: B2-1 (DAS) – Broker(s) involved
8. RMD Corrector
9. Transactions appears on wrong broker account
9a: Broker’s transaction appears on another Broker’s account – CBSA error
9b: Importer’s transaction appear on another Importer’s account – CBSA error
9c: Importer’s transaction appears on another Importer’s account – Broker error
10. Importer transacts with the wrong Broker
11. Daily Notice (DN) / Statement of account (SOA)
Importer DN – Guy & Mike’s Imports Inc.
Importer DN – New Age Tech Inc.
Broker DN - National Brokers Inc.
Broker DN – The Best Brokers Inc.
Importer SOA – Guy & Mike’s Imports Inc.
Broker SOA – The Best Brokers Inc.
Correction / DN Override
12. Importer submits Paper B3 in a CBSA office with no keying access to CCS
13. Cash B3
14. Temporary Admission Permit (E29B) Arrival

4. Scenario 1: NEW PROCESS (Non-CSA)
Clients import commercial goods into Canada.
Proper import/release documentation is provided; goods are released.
Importers and/or Brokers submit CBSA coding form (B3) by the final accounting due date.
ARL will generate a Daily Notice (DN) of all recorded transactions for that day, including B3’s per final accounting date.
Brokers and Importers using RPPP will receive DN’s. If there are no transactions, no DN will be generated.
While DNs will be populated per accounting date for B3s, the Statement of Account (SOA) will be populated using the B3 release dates. As such, the DNs will be used to reconcile transactions while the SOA will be used to confirm monthly payments due.
On the 10th of every month, Importers and Brokers will receive a SOA displaying daily summary totals of financial activity for each day of the previous calendar month. For Brokers, SOAs will be broken down by client.
Brokers/Importers may pay electronically via their Financial Institution (FI), or provide payment at a CBSA office by the 15th day of the month following the month of release/issuance. If the 15th falls on a w/e or holiday, payment is due by the 1st business day following the 15th.
Payments made will appear as transactions on the CBSA clients’ following DN.
Through the CARM initiative, the CBSA aims to address a number of problems in an
effort to improve accountability and client service and streamline processes for
Agency operations.
The CBSA is committed to delivering border services in an open and
transparent manner so that the commercial importing process is more predictable
and consistent.
As a result, the Agency has responded with a number of key initiatives including a three year improvement strategy. Through these initiatives, the CBSA has committed to work closely with the trade community to find ways to simplify and streamline commercial processes and programs.

5. Scenario 2: RECONCILIATION PROCESS
Importers and/or Brokers will remit their payment electronically (internet banking) by the 15th. They may also elect to make their payment in person at a CBSA office.
Broker pays electronically (2 ways exist):
EDI 820 compliant where a Broker sends two files. The first file consists of the total payment made to the CBSA by that Broker while the second breaks the payment down by client account (BN15) and amount.
Internet banking. The Broker pays each account individually (BN15 and amount) via their FI. One can also use the phone banking approach, although this is less practical.
Once the payment files have been received by the CBSA in ARL, the original global payment is recorded on the account (Broker). This global amount is then redistributed to the Importers’ accounts as per the second payment file received.
Broker pays in person at a CBSA office:
The Broker (or employee of) waits at the CBSA counter to be served by a BSO or cashier and provides a cheque for the global amount, covered along with a detailed list of client accounts (BN15) and amounts.
The BSO or cashier will retrieve the Broker account in ARL, post the cheque amount, and manually enter each account and amount provided for proper automatic redistribution.
If an error occurs, (i.e. where an account (BN15) does not exist), the Broker will be required to correct the error immediately in order to continue this process.
Once complete, the BSO or cashier will generate a Cash Receipt for the global amount, in the name of the Broker. As this manual process is extensive, the CBSA strongly recommends that Brokers provide electronic payment.
ARL will automatically redistribute the recorded amounts to the proper accounts.
Clearing transactions will be automatically done using the CBSA pre-defined payment allocation rules (see page 7).
In order to clear only the transactions related to a specific Broker, ARL will cross-reference transactions with the Broker ASEC provided within the transaction numbers.
*** Importer Direct Security Option will be discussed in a later slide.

6. Scenario 2: RECONCILIATION PROCESS (2nd slide)
Importer pays electronically (2 ways):
EDI 820 compliant where an Importer sends a file consisting of the total payment made to the CBSA by that Importer (account (BN15) and amount).
Internet banking. The Importer pays each account individually (BN15 and amount) via their FI. One can also use the phone banking approach, although this is less practical.
Importer pays in person at a CBSA office:
The Importer waits at the CBSA counter to be served by a BSO or cashier and provides a cheque (or other acceptable form of payment along with a his client account (BN15) or SOA.
The BSO or cashier will retrieve the Importer account in ARL, and post the payment amount manually.
Once complete, the BSO or cashier will generate a Cash Receipt for the amount paid, in the name of the Importer.
Clearing transactions will be automatically done using the following CBSA pre-defined payment allocation rules. For details of these rules, see page 7.
*** Note: If an Importer wishes to pay for a specific transaction, he/she must go to a CBSA office that has ARL and pay by cash, cheque, money order, or credit card, as per pre-existing payment rules.

7. Automatic Allocation of Incoming Payments
The allocation process will match incoming payments and clear outstanding transactions that are due based on the following rules:
A payment for a single transaction may be made at an ARL office;
Transactions that have a status of Secured or Appealed will be excluded from the allocation process; and
Only transactions that are ‘due’ will be reviewed for clearing with incoming payments. If a transaction is not due, it will be ignored for allocation purposes.
Then:
Credit Transactions (B2-1 AP, miscellaneous credits, K32 credits)
Administrative Charges (Dishonoured payments (NSF) – Fee of $15 and other various charges)
Penalties (K9, LAP and NPA)
Interest Charges for Overdue Amounts
Unsecured Transactions B3, miscellaneous invoices and B2-1 AR
Unapplied residual payment (In cases where there is a residual value for the payment and the following transactions are outstanding but not yet due, the residual amount will be applied to these transactions: K9, NPA or B2-1AR)

8. Scenario 3: LATE ACCOUNTING
Once commercial goods have been imported using RPPP, Importer/Broker submits B3 after the final accounting due date.
A late accounting penalty (LAP) is generated for the late transaction. (LAP cancellation or waivers may still be done as per the current process).
If a cancellation is applied, a credit will appear on the client’s following DN, in the form of a transaction reversal (see page 31 for an example of a transaction reversal).
The SOA is generated according to B3 release date and other transactions according to issue date, which means the cancelled LAP amount will not appear since its “issuance” was in the previous month.
This is true as long as the cancellation is made before the SOA population date (10th of the month following issuance).
If the cancellation is performed after the 10th, the amount will form part of the current SOA but a credit of this same amount will be credited on the following SOA.
Through the CARM initiative, the CBSA aims to address a number of problems in an
effort to improve accountability and client service and streamline processes for
Agency operations.
The CBSA is committed to delivering border services in an open and
transparent manner so that the commercial importing process is more predictable
and consistent.
As a result, the Agency has responded with a number of key initiatives including a three year improvement strategy. Through these initiatives, the CBSA has committed to work closely with the trade community to find ways to simplify and streamline commercial processes and programs.

9. Scenario 4: OFFSET
A Broker or Importer submits an Adjustment Request (B2) for a refund on a specific transaction; the B2 is assessed by the CBSA.
A B2-1 Detailed Adjustment Statement (DAS) is created to adjust the client account as required, resulting in a refund owing to the client.
The B2-1 is sent to the Importer (and/or Broker). The refund amount will be recorded in the client’s account and will appear as a negative transaction on the client’s DN as well as on the Broker’s DN (in that client’s section) on the following day.
The B2-1 credit amount will form part of the Importer’s daily summary total on his SOA and will be reflected in the same manner on the Broker’s SOA, in that client’s section.
If the total amount due on the SOA is less than the approved refund(s), ARL will automatically perform a query of the Importer’s account and calculate the new debt (1st to 15th of month in which the SOA is generated) owed to date.
If the debt is of the same value or greater than the residual credit, the credit will be kept and appear as an offset on the following DN.
If the debt is smaller than the residual credit, an amount equal to the « new debt » amount will be used as an offset, and a cheque will be sent to the client for the residual credit if it is above the determined threshold.
Through the CARM initiative, the CBSA aims to address a number of problems in an
effort to improve accountability and client service and streamline processes for
Agency operations.
The CBSA is committed to delivering border services in an open and
transparent manner so that the commercial importing process is more predictable
and consistent.
As a result, the Agency has responded with a number of key initiatives including a three year improvement strategy. Through these initiatives, the CBSA has committed to work closely with the trade community to find ways to simplify and streamline commercial processes and programs.

10. Scenario 5: GST OPTION
Upon importation of commercial goods using RPPP, the Broker and Importer agree to use the GST Option for a specific transaction.
Broker submits B3 on behalf of his client, coding Field 6 of the B3 with a “G” for the GST Option used.
The ARL will generate a DN of all recorded transactions to the Importer/Broker on the following day.
Both the Broker’s and Importer’s DN will show this transaction with a « G » in the GST/IDS Option column.
The Broker SOA will show the following 3 lines:
« Total Payable » for that Importer (only the portion where this specific Broker was used);
« GST/IDS Option » amount where the Importer is directly responsible to pay the CBSA;
« Difference » amount between the first two. This last amount is to be decided on who will pay it, the Broker or the Importer; this is the Importer’s discretion.
The Importer will have the same lines but the amounts may be different, as they will be for all transactions, not only for a specific Broker.

11. Scenario 6: IMPORTER DIRECT SECURITY (IDS) Option
Upon importation of commercial goods using RPPP, the Importer (having their own account security) uses a Broker to provide their B3.
Two scenarios may occur:
First, the Broker completes the B3 and uses the Importer’s own transaction number (Importer ASEC as 1st 5 digits). In this case, field 6 is to be left blank. The transaction will be posted to the Importer account and will only appear on the Importer DN (ARL uses the ASEC form, the transaction number, along with the BN15 in field one of the B3).
Second, the Broker completes the B3 using their own transaction number (Broker ASEC as 1st 5 digits). The Broker will insert the letter “I” in field 6 of the B3, indicating that this Importer has his own ASEC. The transaction will be posted to the Importer account and will appear on both the Importer and Broker DN.
The Broker SOA will show the following 3 lines:
« Total Payable » for that Importer (only the portion where this specific Broker was used);
« GST/IDS Option » amount where the Importer is directly responsible to pay the CBSA;
« Difference » amount between the first two. This last amount is to be decided on who will pay it, the Broker or the Importer; this is the Importer’s discretion.
The Importer will have the same lines but the amounts may be different, as they will be for all transactions, not only for a specific Broker.
* Note: The transaction amount described in the 1st of 2 scenarios above will not appear on the Broker SOA.

12. Scenario 5/6 a: GST or IDS OPTION (Importer PAYS)
On the 10th of the month, the Importer will receive a SOA displaying:
« Total Payable »;
« GST/IDS Option » amount where the Importer is directly responsible to pay the CBSA;
« Difference » amount between the first two. This last amount is to be decided on who will pay it, the Broker or the Importer; this is the Importer’s discretion.
The Broker will also receive a SOA, broken down by client, with the same 3 lines per client. Note that the amounts may vary as the Importer may use many Brokers.
The options for payment are:
The Importer pays only the GST/IDS Option amount indicated on their SOA while the Broker(s) pays the balance(s);
The Importer pays the « Total Payable »; no payment required by the Broker.
A third option may occur but should not: the Broker pays the « Total Payable » amount. GST and IDS Options allows the Broker to provide a lesser amount of security. This implies that their security does not cover the duties & taxes for IDS option transactions nor does it to the GST portion of a « GST option » transaction. As such, payment is required directly by the Importer. D-Memo(s) will be edited to reflect such change.
Payment made by the Importer will appear on their following DN and SOA.
Payment made by the Broker will appear on their DN and SOA as well as on the Importer’s.
Through the CARM initiative, the CBSA aims to address a number of problems in an
effort to improve accountability and client service and streamline processes for
Agency operations.
The CBSA is committed to delivering border services in an open and
transparent manner so that the commercial importing process is more predictable
and consistent.
As a result, the Agency has responded with a number of key initiatives including a three year improvement strategy. Through these initiatives, the CBSA has committed to work closely with the trade community to find ways to simplify and streamline commercial processes and programs.

13. Scenario 5/6b: GST or IDS OPTION (NO PAYMENT)
On the 10th of the month, the Importer will receive a SOA displaying:
« Total Payable »;
« GST/IDS Option » amount where the Importer is directly responsible to pay the CBSA;
« Difference » amount between the first two. This last amount is to be decided on who will pay it, the Broker or the Importer; Importer discretion.
The Broker will also receive a SOA, broken down by client, with the same 3 lines per client. Note that the amounts may vary as the Importer may use many Brokers.
No payment is provided for the GST/IDS Option amount.
The amount owed becomes an outstanding amount that will be reflected on the Importer’s following SOA in the « Unpaid Balance Forward » line.
A Notice of Penalty Assessment (NPA) will be issued against the Importer for non-payment and will be posted on the Importer’s DN & SOA until paid. Once the NPA is paid, it will appear as « Paid » on their DN.
Arrears interest will be calculated and charged on the outstanding amount until the total amount is paid in full. Interest will be posted on the Importer’s SOA.

14. Scenario 5/6c: GST or IDS OPTION (PAYMENT BY BOTH)
On the 10th of the month, the Importer will receive a SOA displaying:
« Total Payable »;
« GST/IDS Option » amount where the Importer is directly responsible to pay to the CBSA;
« Difference » amount between the first two. This last amount is to be decided on who will pay it, the Broker or the Importer; this is the Importer’s discretion.
The Broker will also receive a SOA, broken down by client, with the same 3 lines per client. Note that the amounts may vary as the Importer may use many Brokers.
The Importer pays the GST/IDS Option amount directly to the CBSA; mistakenly, so does the Broker.
The ARL will post both payments to the Importer account.
A manual process will be required to clarify the transaction(s) in error.

15. Scenario 7: B2-1 DETAILED ADJUSTMENT STATEMENT (DAS)
Client arrives at a CBSA office to release commercial goods.
Proper import/release documentation is provided; goods are released.
Broker submits coding form (B3) on behalf of his client.
After the final accounting is provided, reason is found to request an adjustment to the original accounting documentation.
A Broker or Importer submits an Adjustment Request (B2) for that transaction.
The B2 is assessed by the CBSA…

16. Scenario 7a: B2-1 (DAS) – NO BROKER INVOLVED
The B2-1 is sent to the Importer while the adjustment amount is posted on the Importer’s DN.
If the adjustment is a credit, the refund will be applied as an offset to the Importer’s account.
If the adjustment is a debit, the transaction will appear in the « Other Transactions » section, with a specific due date (30 days from issuance) for that transaction. Note that this « Other Transactions » section is dedicated to transactions with individual due dates.
On the 10th of the month following the B2-1 posting, the Importer will receive a SOA displaying daily summary totals of financial activity for each day of the previous calendar month, but also including the specific B2-1 in the « Other Transactions » section.
As this transaction was initiated by the Importer, a Broker will not see this transaction appear on their DN or SOA.
The Importer may pay electronically via their FI or provide payment at a CBSA office on or before the B2-1 due date.

17. Scenario 7b: B2-1 (DAS) – BROKER(S) INVOLVED
The B2-1 is sent to the Importer and/or to the Broker responsible for the B2 Adjustment Request (B2 Broker) while the adjustment amount is posted on their DNs.
If the adjustment is a credit, the refund will be applied as an offset to the Importer’s account.
If the adjustment is a debit, the transaction will appear in the « Other Transactions » section, with a specific due date (30 days from issuance) for that transaction.
On the 10th of the month following the B2-1 posting, the Importer and the B2 Broker will receive a SOA displaying daily summary totals of financial activity for each day of the previous calendar month, but also including the specific B2-1 in the « Other Transactions » section.
The Broker’s SOA will be broken down by client.
Brokers/Importers may pay electronically via their Financial Institution (FI), or provide payment at a CBSA office by the 15th day of the month following the month of release/issuance. If the 15th falls on a w/e or holiday, payment is due by the 1st business day following the 15th.
*** Note that the Broker responsible for the original B3 (if different from the B2 Broker) will not be notified as their involvement ended upon payment of that transaction.

18. Scenario 8: RMD CORRECTOR
The RMD Corrector is not applicable to the ARL, since:
“The RMD Corrector may only be used in situations where following the release of goods, but prior to final accounting, changes are required to either the:
Importer business number
transaction number
cargo control number(s)
container number(s)
sub-location code
customs office (port) code of release”
Details can be found at:

19. Scenario 9: TRANSACTION APPEARS ON WRONG BROKER’S ACCOUNT
Client arrives at a CBSA office to release commercial goods.
Proper import/release documentation is provided; goods are released.
Broker submits coding form (B3) on behalf of his client.
The ARL will post and transmit a DN of all recorded transactions to the Importer/Broker on the following day.
A B3 transaction appears on a different Broker’s DN (mistakenly).

20. Scenario 9a: BROKER’S TRANSACTION APPEARS ON ANOTHER BROKER’S ACCOUNT – CBSA ERROR
Broker (Broker 1) advises a CBSA office with ARL access of the error (i.e., the transaction belongs to a different Broker (Broker 2)).
The CBSA reviews the documentation (DN) immediately, if possible.
Upon confirmation of the error, the transaction will be moved to the appropriate account or placed in a suspense account if the appropriate account cannot be found immediately.
The transaction is manually corrected. The two Brokers involved will see the adjustment on their respective DN’s. Broker 1 will see the transaction as a reversal (negative amounts) while Broker 2 will see this transaction appear as a positive amount.
Note that in order for this to appear on the appropriate SOA, the error must be corrected no later than the 9th (day prior to SOA generation).

21. Scenario 9b: IMPORTER’S TRANSACTION APPEARS ON ANOTHER IMPORTER’S ACCOUNTS – CBSA ERROR
Broker or Importer (Importer 1) advises a CBSA office that has ARL access of the error (i.e., the transaction belongs to a different Importer (Importer 2)).
The CBSA reviews the documentation (DN) immediately, if possible.
Upon confirmation of the error, the transaction will be moved to the appropriate account or placed in a suspense account if the appropriate account cannot be found immediately.
The transaction is manually corrected. The two Importers (and Broker if applicable) involved will see the adjustment on their respective DN’s. Importer 1 will see the transaction as a reversal (negative amounts) while Importer 2 will see this transaction appear as a positive amount. If a Broker is also involved, these changes will also appear on the Broker(s) DNs.
Note that in order for this to appear on the appropriate SOA, the error must be corrected no later than the 9th (day prior to SOA generation).

22. Scenario 9c: IMPORTER’S TRANSACTION APPEARS ON ANOTHER IMPORTER’S ACCOUNT – BROKER ERROR
Broker or Importer (Importer 1) advises a CBSA office that has ARL access of the error (i.e., the transaction belongs to a different Importer (Importer 2)).
The Broker or Importer files a DN Override request including supporting documentation, as per Memorandum D & D17-1-5, par 83. Note that the D-Memos will be edited to reflect that an Importer can do a DN override request.
The CBSA reviews the documentation (DN) immediately, if possible.
Upon confirmation of the error, the CBSA will override the transaction.
The transaction is manually corrected. Importer 1 (and Broker if applicable) will see a transaction reversal on their next DN while Importer 2 will see this transaction appear on their own DN.
Note that in order for this to appear on the appropriate SOA, the error must be corrected no later than the 9th (day prior to SOA generation).

23. Scenario 10: IMPORTER TRANSACTS WITH WRONG BROKER
Importer or carrier arrives at the border to release goods and goes to a different Broker (Broker B) than the Broker originally contracted (Broker A) to get the release/accounting documentation done.
Accounting documentation (B3) is created by Broker B and presented to the CBSA.
After the fact, Broker A or B realizes that the importation of goods was documented by the wrong Broker.
The CBSA will not partake in this dispute as it is not an accounting or documentation error, but rather a dispute between Brokers and respective to the Importer-Broker relationship. The CBSA received proper release and accounting documentation.
The transaction will appear on the Importer DN and Broker B’s DN, and the amount due will form part of the Importer and Broker B’s SOA for proper payment.
The CBSA will expect payment of duties & taxes on the payment due date.

24. Scenarios 11: DAILY NOTICE (DN) AND STATEMENT OF ACCOUNTS (SOA)
Importer DN – Guy & Mike’s Imports Inc. (page 25)
Importer DN – New Age Tech Inc. (page 26)
Broker DN - National Brokers Inc. (page 27)
Broker DN – The Best Brokers Inc. (page 28)
Importer SOA – Guy & Mike’s Imports Inc. (page 29)
Broker SOA – The Best Brokers Inc. (page 30)
Correction / DN Override (page 31)

25. Importer DN – Guy & Mike’s Imports Inc.

26. Importer DN – New Age Tech Inc.

27. Broker DN - National Brokers Inc.

28. Broker DN – The Best Brokers Inc.

29. Importer SOA – Guy & Mike’s Imports Inc.

30. Broker SOA – The Best Brokers Inc.

31. Correction / DN Override

32. Scenario 12: IMPORTER SUBMITS PAPER B3 TO A NTO
Client arrives at a CBSA office to release commercial goods.
Proper import/release documentation is provided; goods are released.
Importer submits coding form (B3).
Port of Entry sends B3 form to another CBSA office for data entry into CCS.
Once the B3 is keyed into CCS (later date), ARL will post the transaction on the Importer’s DN the following day.
On the 10th of every month, Importers and Brokers will receive a Statement of Account (SOA) displaying daily summary totals of financial activity for each day of the previous calendar month. For Brokers, SOAs will be broken down by client.
Brokers/Importers may pay electronically via their Financial Institution (FI), or provide payment at a CBSA office by the 15th day of the month following the month of release/issuance. If the 15th falls on a w/e or holiday, payment is due by the 1st business day following the 15th.
Payments made will appear as transactions on the CBSA clients’ following DN.
Through the CARM initiative, the CBSA aims to address a number of problems in an
effort to improve accountability and client service and streamline processes for
Agency operations.
The CBSA is committed to delivering border services in an open and
transparent manner so that the commercial importing process is more predictable
and consistent.
As a result, the Agency has responded with a number of key initiatives including a three year improvement strategy. Through these initiatives, the CBSA has committed to work closely with the trade community to find ways to simplify and streamline commercial processes and programs.

33. Scenario 13: CASH B3
Client arrives at a CBSA office to release commercial goods.
Proper import/release documentation is provided.
Importer/Broker submits coding form (B3).
Payment for the B3 is received by the CBSA.
The CBSA will provide the client with a Payment Receipt (former K21).
Cash B3s will not appear on DNs but should be posted to client account.
Through the CARM initiative, the CBSA aims to address a number of problems in an
effort to improve accountability and client service and streamline processes for
Agency operations.
The CBSA is committed to delivering border services in an open and
transparent manner so that the commercial importing process is more predictable
and consistent.
As a result, the Agency has responded with a number of key initiatives including a three year improvement strategy. Through these initiatives, the CBSA has committed to work closely with the trade community to find ways to simplify and streamline commercial processes and programs.

34. Scenario 14: TEMPORARY ADMISSION PERMIT (E29B)
A client (commercial) arrives at the border with the intent of temporarily importing merchandise into Canada.
The BSO determines if a security deposit (SD) is required. If yes, he/she will obtain a SD and record the amount.
If the SD is in the form of cash, cheque or money order, the E29B information is entered in ARL as a liability.
If all imported goods identified on the E29B are being exported from Canada:
The BSO will check the E29B “Examined by me and re-exported from Canada” box/field on the form. A paper copy of the acquitted E29B will be provided to the client.
The acquittal of the E29B within ARL will trigger the refund process to the client. The refund will be in the form of an offset first and a disbursement if a residual credit remains.

35. Scenario 14: TEMPORARY ADMISSION PERMIT (E29B) EXPORT/IMPORT
If any merchandise is left in the country, duties and taxes are calculated on B3 form for the merchandise.
Any duties and taxes owing are offset against the E29B cash security deposit.
If duties and taxes owed are less than the security deposit, the Importer/exporter will not pay the duties & taxes and the same amount of the provided security deposit will be converted from liability to revenue. The remainder will be refunded (offset 1st, disbursement 2nd).
If the security deposit does not cover all duties and taxes owed:
The provided security deposit will be converted from liability to revenue.
The difference will be collected immediately unless the client or its agent has ASEC. Then, the amount due will be posted as a debit on the client’s DN.

36. CONTACT US