Customs Bonded Warehouses

Memorandum D7-4-4

Guidelines and General Information

1. CBWs are facilities licensed and regulated by the Canada Border Services Agency (CBSA), and operated by the private sector. Goods in a CBW are considered to be imported into Canada but have not been released from the CBSA. Imported and domestic goods destined for export may be placed in a CBW provided that the goods are readily identifiable.

2. These facilities provide, with a few exceptions, for the complete deferral of customs duties, anti-dumping and countervailing duties, excise duties and taxes including the Goods and Services Tax (GST) and the Harmonized Sales Tax (HST) on imported goods. This deferral continues up to the point the goods are released for Canadian domestic consumption or are exported.

3. CBWs may consist of:

• (a) private warehouses operated by individuals or companies for the storage of their own in bond goods; or
• (b) public warehouses operated by entrepreneurs for the storage of goods imported by various importers.

4. This program will be of benefit to persons who:

• (a) import goods into Canada and wish to defer, with some exceptions for up to four years, the payment of duties and taxes until the goods are released for Canadian consumption;
• (b) consolidate imported and domestic goods for export;
• (c) perform the operations listed in paragraph 5 and 6; and
• (d) import goods temporarily for display at conventions, exhibitions or trade shows.