Canadian businesses importing goods from the U.S. are facing another cost that can quickly squeeze margins: counter-tariffs at the border.
But paying the tariff is not necessarily the end of the story.
Canada has several mechanisms that may provide tariff relief.
1️⃣ Check Existing Remission First
Some imported goods already qualify for generally available remission under federal remission orders.
Depending on the product and circumstances, relief may be available for certain:
✓ Manufacturing inputs
✓ Steel inputs used in auto or aerospace manufacturing
✓ Health-care and public-safety goods
✓ Specified vehicles and other listed products
If existing remission applies, businesses generally do not need to submit an individual remission request to the Minister of Finance.
2️⃣ What If Your Product Isn’t Covered?
Businesses may request exceptional tariff remission.
Finance Canada says requests may be considered where goods used as business inputs:
➡️ cannot be sourced domestically; or
➡️ cannot reasonably be sourced from non-U.S. suppliers.
The government may consider the effect on:
• Canadian employment
• Production
• Investment
• Canadian competitors
• Business operations
Companies should be prepared to substantiate why their circumstances justify relief.
3️⃣ Goods Eventually Exported?
Additional programs may allow businesses to import qualifying commercial goods without paying tariffs or obtain refunds where imported goods are eventually exported.
⚠️ Don’t Ignore Product Classification
Before assuming a tariff applies—or paying one unnecessarily—confirm:
HS classification + country of origin + applicable tariff + available remission.
An incorrect classification can mean unnecessary duties, border delays and compliance problems.
💡 AsraniCPA Business Tip
Businesses affected by tariffs should separately track:
✓ Tariffs paid
✓ Products affected
✓ Supplier alternatives investigated
✓ Supporting import documentation
✓ Government assistance received
Good records can become critical when pursuing remission or other government support.
AsraniCPA – Your Trusted Accountant
asranicpa.ca/tax-assistant/
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