The Non-Resident Importer (NRI) program enables U.S. businesses that do not have a physical presence in Canada to act as both the exporter from the U.S. and the importer of shipments into Canada. The NRI program confers many benefits including streamlining the customs clearance process and selling on a landed- cost basis so that Canadian sales resemble a domestic transaction.
In order to derive the benefits of the NRI program and begin shipping with APC Postal Logistics, you must first complete the following steps.
NRI’s must apply for and obtain a Canadian Business Number (BN) with an Import/Export Program Account.
STEP 1
Obtain a Business Number
The unique business number will have nine digits followed by the import/export program account number identified with a preceding “RM”. This number will be used on all customs documents for shipments that enter Canada.
Example: 123456789RM0002
The application is free and is typically processed within 5-7 business days.
1. Obtain a copy of Form RC1 – Request for a Business Number (BN) from the Canada Revenue Agency
(CRA).
Canada Revenue Agency: (800) 959‐5525
Form RC1: http://www.cra‐arc.gc.ca/E/pbg/tf/rc1/README.html
Guide to Obtaining a Business Number: http://www.cra‐arc.gc.ca/E/pub/tg/rc2/README.html
2. Complete parts A, D and F of the Form RC1 to register for a BN and an Import/Export Account.
3. Determine if you need to complete part B of Form RC1 to register for a GST/HST tax business number.
a. If you expect your taxable sales in Canada to be less than $30,000 annually then you do not need to register.
b. If you expect your taxable sales in Canada to be greater than $30,000 annually you can register now or at the time that your sales reach the minimum threshold. In this case you will be required to file tax returns in Canada and we recommend consulting with a competent
tax/accounting advisor familiar with Canadian law. Below, we have listed one of many reputable accounting firms that can assist NRI’s.
Aylett Grant Tax, LLP
Toronto: (416) 238‐5920 Vancouver: (604) 538‐8735 Edmonton: (780) 702‐2732 agtax.ca
Registering for a GST/HST Account:
http://www.cra‐arc.gc.ca/tx/bsnss/tpcs/gst‐tps/rgstrng/menu‐eng.html#Mandatory
Doing Business in Canada – GST/HST Information for Non‐Residents:
http://www.cra‐arc.gc.ca/E/pub/gp/rc4027/README.html
c. If you are contemplating conducting commercial activities in Canada that are more complex than the FBA Amazon program, your company may be deemed as “Carrying on Business in Canada”. In this case, you will need to register for a GST/HST tax number and we recommend consulting a competent tax/accounting advisor familiar with Canadian regulations to ensure the fiscal and legal compliance of your company’s operations in Canada. Below we have listed one
of many reputable accounting firms that can assist NRI’s.
Aylett Grant Tax, LLP
Toronto: (416) 238‐5920 Vancouver: (604) 538‐8735 Edmonton: (780) 702‐2732 agtax.ca
Carrying on Business in Canada: http://www.cra‐arc.gc.ca/E/pub/gl/p‐051r2/README.html
4. Submit your completed Form RC1 to the appropriate Tax Services Office in Canada based on the physical location of your business in the United States.
Determining Your Tax Office: http://www.cra‐arc.ca/cntct/gsthstnnrs/menu‐eng.html
STEP 2
Complete a “Letter of Undertaking” to Maintain Books and Records
NRI’s are required to maintain books and records on imports and commercial activity in Canada for a period of six (6) years from the original date of the import. A ‘letter of undertaking’ must be submitted to the
Canada Border Services Agency (CBSA) to serve as an agreement authorizing you to maintain records outside of Canada with the understanding that such records will be made available to the CBSA upon request.
You must already have a Canada Business Number to submit a “Letter of Undertaking”.
1. Complete the attached “Letter of Undertaking” template
2. Save a copy for your records
3. Send the original to the CBSA address found at the bottom of the attached template
Memorandum D17-1-21 Maintenance of Records by Importers in Canada: http://www.cbsa- asfc.gc.ca/publications/dm-md/d17/d17-1-21-eng.html
STEP 3
Contact APC Postal Logistics
Once you become a registered NRI with a Business Number, an Import/Export Program Account and an approved “Letter of Undertaking”, contact APC Postal Logistics for a shipping quote. We are ready to assist with sending your goods to the designated Amazon FBA facility for final distribution to customers in Canada.
APC Postal Logistics, LLC
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