CARM Client Portal: 2024 Guide for Importing to Canada

You’ve secured a deal with a new overseas supplier. The goods are en route, and you need them to restock your best-sellers. Until now, importing has been straightforward—your customs broker handled everything.

But change is coming, and that shifts in 2024. With CARM (CBSA Assessment and Revenue Management), you need to manage your imports more actively.

CARM is key to gaining control of your import operations and simplifying your business importation process.

Read on to learn how to take advantage of it.

What is the CARM Client Portal?

The CARM Client Portal (CCP), Canada’s new import management system, is mandatory for all businesses starting October 21, 2024.

It changes the game for your interaction with the Canada Border Services Agency (CBSA). If you’ve relied on your broker, CARM puts more responsibility on you.

CARM also includes useful tools that simplify your life. You’ll have the following through the CCP:

• Instead of waiting for updates, you have direct control over your import data.
• The ability to submit declarations and payments directly to the CBSA.
• Real-time insights into your duties, taxes, and import transactions.
• Tools for financial planning and decision-making.

The shift to CARM will be gradual, and key milestones are important:

• Release 1: Businesses were encouraged to voluntarily register and manage their import data.
  
  
• Release 2: In October 2024, registration becomes mandatory, and the way you file and track imports will transition to the new Commercial Accounting Declarations (CAD) system.

What Does It Mean for My Business? The Old Way vs. The CARM Way

To understand CARM’s impact, let’s compare the old processes:

The Old Way

You’ve let your customs broker handle the tricky parts of importing, submitting forms like the B3 and ensuring duties and taxes were paid.

For many e-commerce businesses, this hands-off approach was simple and effective until now.

The CARM Way

You’ll now manage your imports directly through the CARM Client Portal. It sounds overwhelming at first, but here are the key changes:

• Direct interaction with CBSA: You’ll manage all import activities through CARM’s online portal. Consider it as moving from a passive role to an active role for your imports.
  
  
• Financial responsibility: You need to track your own payments instead of your broker handling duty payments. Through CARM, you can defer duties and taxes via the Release Prior to Payment (RPP) program, but this may require securing a customs bond.
  
  
• New forms: The B3 form is gone. Now, you’ll need to familiarize yourself with 11 Commercial Accounting Declarations (CADs), each serving a different purpose depending on your import needs, whether for consumption or bonded warehouses. Learn more about converting B3 to CAD here.

If that sounds like a lot to track, don’t worry. CBSA provides detailed guides for the new forms. If you still work with a customs broker, you can delegate tasks to them through CARM’s authority system. The essential point is that it gives you more control (and responsibility).

Benefits of CARM for Ecommerce and Retail Businesses

Let’s discuss why CARM isn’t just another bureaucratic headache—it’s designed to help your business. Once you understand it, CARM offers benefits that make your importing smoother and more efficient:

• Faster clearance times: No more waiting for intermediaries to process your forms. CARM’s digital system speeds up import clearance, saving you time, delivering your products to customers faster and avoiding common shipping problems.
  
  
• Greater transparency and control: Want to know what’s happening with your imports? The CARM portal provides real-time updates on your transactions, duties, and taxes, giving you control.
  
  
• Improved financial management: Deferring duty and tax payments through the RPP program can improve your cash flow, benefiting small businesses with tight budgets.
  
  
• Direct engagement with CBSA: Less back-and-forth with brokers means a direct line to the CBSA. This results in fewer delays and miscommunications, keeping your imports running efficiently.
  
  
• Better data for decision-making: CARM’s data analytics tools let you track and analyze your import patterns. This helps you make smarter decisions, optimize your shipping processes with a new shipping KPI, and reduce costs over time.

Do You Need a Customs Broker to Import Goods?

So, the big question: Do you still need a customs broker? The short answer is no—you can handle imports yourself under the CARM system. But, here are a few things to consider:

• Shifting responsibility: CARM puts the customs compliance responsibility directly on you. This means you will handle tasks like submitting declarations and making payments through the CARM Client Portal.
  
  
• Flexibility: You can choose to use a broker or not. The CARM system allows you to control your broker’s authority.
  
  
• Complexity and time: Importing can be complicated. If you have the time and resources to learn the CARM system, do it! If you’re new to the process or already have a lot on your plate, working with a broker might be worth the cost for peace of mind.

The CBSA offers resources like webinars and guides to help you navigate CARM independently. For those who prefer expert help, customs brokers are still available.

• CARM webinars
• CBSA videos and podcasts

How to Start Using the CARM Portal

Now that you know what CARM is and its impact on your business, it’s time to get set up.

Here’s how to start using the CARM Client Portal (CCP) to prepare for the upcoming changes.

1. Register for the CARM Client Portal (CCP)

First, register your business on the CARM portal. This is mandatory for any business importing goods into Canada starting October 2024. The process is straightforward, but accuracy is key.

Ensure your business information matches the Canada Revenue Agency (CRA) records, including your legal business name, address, and business number. You need import transaction details to answer security questions during registration.

To get started, visit the CBSA website for resources and the registration link. Here’s the detailed CCP registration walkthrough:

1. On the CARM Client Portal homepage, select “Log in to the CARM Client Portal.”
2. Choose either option 1 “Continue to Sign-in Partner” or option 2 “Continue to GC Key.” Option 2 is recommended.
3. Follow the prompts to sign up for your GC Key (or sign in if you already have one).
4. After signing up, verify your email through multi-step authentication. Fill in your email and enter the code emailed to you.
5. Read and accept the terms and conditions. Then, create your profile and consider subscribing to email notifications.
6. Register your business by entering your 9-digit Business Number and RM number. Then, check the box indicating you are authorized to register this business.
7. Provide your Legal Business Name and Address as requested. Ensure it matches the CBSA’s system exactly, including punctuation.
8. The CARM portal will ask you to verify your business by answering two security questions. Choose and input your answers carefully.
9. Review and confirm the information is correct, including your business name, address, business number, recent CBSA transaction details, total duties and taxes paid, and the value of your latest Statement of Account.
10. Once you log into the CARM portal, select “Manage Pending Third Party Requests” on your homepage.
11. Approve the service providers’ requests by selecting “All Programs” and “Business Management.” Leave the last box checked, allowing your broker/service provider to see only relevant information on your behalf.
12. Review the details and select Approve for each broker/service provider you want to authorize. For those you no longer work with, leave their requests unapproved or decline them.

The CBSA recommends that at least two individuals from each business register for the CARM portal to ensure continuity and access.

The CBSA has a helpdesk for assistance or questions.

2. Understand Your Financial Obligations

With CARM, you’re financially responsible for duties, taxes, and other fees. If you’re using the Release Prior to Payment (RPP) program, which allows you to defer payments, you need a customs bond.

Think of this bond as a financial safety net for your deferred payments to the CBSA. Familiarize yourself with the financial security requirements and deadlines to avoid penalties.

3. Delegate Authority to Your Broker

If you’re using a customs broker, you need to delegate authority to them within the CARM portal. This step is essential for your broker to manage your imports on your behalf. Without this delegation, they won’t be able to help you once CARM becomes mandatory.

In the CCP, you retain full control while benefiting from your broker’s expertise and control your broker’s access.

Here’s a video on how to do it:

4. Review and Update Internal Processes

CARM changes how you’ll handle your imports, requiring an overhaul of your internal processes. Review how your business manages importing.

Ensure your workflows align with CARM’s requirements for managing import data, payments, and submitting declarations.

Conclusion

CARM is a major shift in how businesses import goods into Canada. With preparation and the right tools, you are prepared to manage the change.

You’ll gain more control over your import operations, save time, and improve your business’s efficiency. Start preparing now and take full advantage of CARM.

FAQ

What if I already work with a customs broker?

Brokers will still play a role, but you need to delegate authority to them through the CARM Client Portal for them to assist with your imports.

I’m a small business. How will I manage the added workload?

There will be a learning curve, but the CBSA provides tools and resources to help you navigate the system. Use technology solutions to simplify processes.

What happens if I don’t meet a CARM deadline?

Missing a CARM deadline could result in penalties, but the details weren’t provided. It is important to stay on top of the new timelines.

What are the consequences of not registering for CARM before the deadline?

Not registering could delay or prevent importing goods into Canada, disrupting your supply chain and harming your business.