Let's Shed Some Lights On The Subject: The CBSA Is Targetting Lamps

On July 11, 2016, the Canada Border Services Agency (“CBSA”) announced their audit priorities for the second half of 2016.  One of the priorities for tariff classification verifications is “parts of lamps.  Parts of lamps were first announced as a verification priority in 2015.  The CBSA takes the position that parts of lamps are classified in HS Code Heading 94.05. This issue is relevant because the MFN rate of duty under the Customs Tariff for lamps and accessories is generally between 5-7%.  Certain other H.S. Codes used by importers has duty free rates.

The CBSA gets support from recent Canadian International Trade Tribunal (“CITT”) cases such as:

• Liteline Corporation v. The Canada Border Services Agency, AP-2014-029 (February 1, 2016);