CBSA Now Requiring Use of EDI for Releases up to 500 Invoice Lines

Phase I Required EDI for 100 Lines in 2008, Phase II Required it for 250 Lines in 2011

To increase the use of EDI and help meet the eManifest requirements, CBSA introduced “Phase I” measures in April 2008. These measures required the electronic (EDI) transmission of Release on Minimal Documentation (RMD), including "Pre-Arrival Release System (PARS)" release requests, for shipments containing 100 or less invoice line items unless otherwise exempt, as set out in Memorandum D17-1-4 (September 2008, here).

Then on September 1, 2011, "Phase II" required EDI RMD/PARs releases for shipments with a total number of invoice lines of 250 or less (Customs Notice 11-004 of May 2011, here).

Now Phase III Requires EDI for 500 Lines or Less on Feb 1, 2012

"Phase III,” which further increases the use of EDI for RMD and PARS release requests, began on February 1, 2012. RMD and PARS release requests must be transmitted to the CBSA electronically (EDI) if the shipment's total number of invoice lines is 500 or less. Customs Notice 11-004 states that these EDI requirements change again on June 1, 2012 when the number moves to 999 invoice lines or less (the CBSA system capacity).

Certain EDI Exceptions for RMDs Listed in 2011 Notice

CBSA also stated in Customs Notice 11-004 that certain exceptions to transmitting RMD information electronically would remain in effect until an EDI option is introduced, and EDI Exceptions Lead Sheets would continue to be required at time of submission of paper release requests.

Exceptions to the requirement of transmitting RMD documentation using EDI are as follows:

• Goods are subject to the requirements of an OGD and there is no EDI link between the CBSA and the other government department or agency;
• The number of invoice lines contains more than 250, 500 or 999 invoice lines; depending on the phased in time lines mentioned above;
• The release is for Shortages, Entered to Arrive, Value Included, Provisional, etc. where there is no EDI option;
• There is more than one warehouse sub-location code per release transaction;
• The release transaction is covered by multiple highway cargo control numbers at the border;
• The CBSA has issued a paper Form Y50, Reject Document Control, to the importer/broker for courier/low-value shipments;
• Goods are moved into a bonded warehouse using the release on minimum documentation option (grey wrapper);
• Goods are to be released from a Queen's warehouse;
• CBSA or client system outages;
• Regulated goods qualifying for tariff classification 9813 or 9814 ("Canadian Goods Returning").

Brokers and importers were also reminded that paper RMD release requests will not be accepted if it does not meet one of the exceptions listed above. Should an EDI RMD release option not be used, submission of a B3, Canada Customs Coding Form "C" type is required. An EDI Exception Lead Sheet is not required for shipments released using the B3.

Carriers Should Provide Timely Info to Brokers/Importers to Avoid “Failed PARS”

As the CBSA continues to increase the requirement for brokers/importers to transmit release data electronically, carriers are encouraged to provide the necessary information to the broker/importer as early as possible. Timely submission of this information will assist in reducing delays experienced by highway carriers at the border (e.g., "Failed PARS").

(See ITT's Online Archives 12020615 for summary of CBSA notice stating that effective February 1, 2012, a minimum of 20 HS codes must be reported at the 10-digit level, up from a minimum of 10 then that took effect on September 1, 2011.)