Relieving duties on supplies for government contracts

If you supply goods for export under a contract to the Canadian Commercial Corporation (CCC), the Canadian International Development Agency (CIDA), or for joint Canada/NAFTA government projects, you may be able to import these goods without paying duties under the duties relief program. If you have already paid the duties, you could qualify for a drawback (refund) of the import duties you paid.

Goods deemed exported

Goods that you deliver to satisfy a contractual agreement under CCC, CIDA, or joint Canada/NAFTA government projects are deemed exported. If you have any questions, contact your local customs office for clarification.

Drawbacks

A drawback is a refund of the duties paid on imported goods which are, in this case, eventually supplied under one of the above contracts. You can supply goods as is or, before they are supplied, you can further manufacture or use them in a limited manner without affecting the refund amount.

Claiming a drawback

You can claim a drawback if you are the importer, exporter, owner, or producer of the goods. If more than one person is eligible to claim a drawback, we need waivers from the other eligible claimants before we can process your claim.

To claim a drawback, complete Form K32 or K32-1, Drawback Claim, and attach documents establishing that the goods qualify. Send the package to your local customs office.

Duties relief program

The duties relief program allows qualified companies to import goods without paying duties, as long as they eventually supply the goods under a contract. Before you deliver the goods, you can further manufacture them or use them in a limited manner without having to pay duties.

Applying for duties relief

If you want to apply for duties relief, complete Form K90, Duties Relief Application, and send it to your local customs office.

We will review your application and an officer many visit you. During this visit, the officer will confirm that you qualify for the program, and that you are aware of your obligations. When we approve your application, we will issue a unique certificate number which identifies you as a duties relief program participant. For more information on the duties relief program see the information sheet called Importing Without Paying the Duties or contact your local customs office.

Time limits

In most cases, you have to present your claim no later than four years after you import the goods. You cannot file a claim until the imported goods have been supplied.

For more information, see the information sheet called Claiming a Drawback on Exported Goods, or contact your local customs office.

More information

For more information on this program or for help preparing your claim, contact your local customs office.