Understanding the CARM basics is now essential if your business imports inventory into Canada, whether that’s Amazon FBA stock, Shopify fulfillment inventory, or Walmart Marketplace shipments. CARM is the system the Canada Border Services Agency (CBSA) now uses to manage importer accounts, and getting familiar with it early helps you avoid delays at the border.
CARM Basics: What Is CARM?
CARM stands for CBSA Assessment and Revenue Management. It’s the digital system CBSA uses to assess and collect duties and taxes on commercial goods imported into Canada. As of October 21, 2024, CARM became mandatory. It replaced the older Customs Commercial System.
In practice, this means every commercial importer, including non-resident e-commerce sellers, needs an active account in the CARM Client Portal (CCP) before shipments can clear customs.
What Is the CARM Client Portal?
The CARM Client Portal is the online platform where importers manage their relationship with CBSA directly. Through the portal, businesses can:
• Register their Business Number (BN) and import/export (RM) account
• View statements of account and transaction history
• Submit commercial accounting declarations
• Post financial security for duties and taxes
• Delegate authority to a customs broker to act on their behalf
This is a meaningful shift from how things used to work. Previously, many importers relied entirely on their customs broker to manage releases and payments. Under CARM, several of those responsibilities now sit with the importer directly.
What Changed for Importers Under CARM
So, what actually changed? A few key differences matter most for importers:
You must register yourself. Your customs broker cannot create your CARM account on your behalf. Instead, you register your business, then formally delegate authority to your broker through the portal.
You need your own financial security. Before CARM, many importers relied on their broker’s bond to release goods before duties were paid. That option is gone.
As a result, importers now need to post their own bond or cash deposit to keep using the Release Prior to Payment (RPP) program.
Non-residents may need extra steps. Non-resident importers typically need to obtain their Business Number through the CRA first. In addition, non-resident accounts may require extra documentation on file with CBSA.
Notifications matter. CBSA now sends many time-sensitive compliance actions directly through the portal. A missed notification can still count as official communication, so check your account regularly.
Why the CARM Basics Matter for E-Commerce Sellers
For non-resident sellers importing inventory into Canada, CARM connects directly to a few other compliance pieces.
Import/export (RM) accounts: these are registered and managed through CARM. This is the same RM account tied to Non-Resident Importer (NRI) status.
Shipment delays: without an active CARM account, shipments generally cannot clear into Canada. That can mean delayed inventory at Amazon FBA warehouses or other Canadian fulfillment centres.
Financial responsibility: duties and tax liability now sit with the importer of record directly. This reinforces the importance of proper GST/HST registration and import GST recovery planning.
In short, sellers who import regularly, rather than relying entirely on a marketplace’s own import program, feel these requirements the most.
Getting Started with CARM Registration
So, how do you actually get started? At a high level, registering involves:
• Creating sign-in credentials for the CARM Client Portal
• Registering your business using your Business Number (BN9)
• Enrolling in the import/export (RM) program
• Posting financial security if you want Release Prior to Payment privileges
• Delegating authority to your customs broker so they can keep acting on your behalf
For non-resident businesses, this process can involve additional documentation. You can find the official registration steps directly on the CBSA CARM Client Portal page. Setup timelines vary depending on how closely your business information matches what’s on file with the CRA, so it helps to start early.
Canadian Sales Tax Solutions specializes in helping Amazon, Walmart, and Shopify sellers navigate Canadian tax compliance. We assist non-resident businesses with GST registration, GST filing, import GST recovery, ITC claims, provincial registrations, audit support, and ongoing compliance management throughout Canada.
If your business imports inventory into Canada or sells through Amazon Canada, Walmart Canada, Shopify, or other online marketplaces, understanding Canadian sales tax compliance requirements is essential. Canadian Sales Tax Solutions provides expert guidance for non-resident online sellers requiring GST and HST registration, provincial registrations and filing, tax payment assistance, import GST recovery, ITC claims, audit support, and ongoing Canadian tax compliance services. We help e-commerce businesses manage compliance efficiently so they can focus on growth in the Canadian market.
For expert help with Canadian sales tax registration, filing, payment, audit support, and e-commerce compliance services, contact Canadian Sales Tax Solutions: