เหตุผล CBSA
&&As per Final Report for Case Number C-2012-000086, the following table was used for the calculation of the pre-ticket costs that are to be added as part of the pre-tickets (assist).&&&&G/L Account Name&&Transportation G/L # 855000 - $95,301.62&&Other Cost G/L # 855000 - $36,511.21&&West Drive Courier - 41% of $668,109.88 G/L # 855000 - $273,925.05&&West Drive Ticket and Courier - 41% of $47,807.98 G/L# 871010 - $19,601.27&&Foreign Ticket Bureau G/L # 871500 - $287,362.60&&Total Cost $712,701.75&&Less Declared Amount $-578,993.62&&Equals Amount to be Declared $133,708.13&&&&In accordance with sub-paragraph 48(5)(a)(iii) of the Act, Winners Merchants International was directed to add the pre- ticket costs to the Price Paid or Payable. The allocated amount is an extraction of the G/L accounts for the production and transportation cost of pre-tickets. The extraction of the G/L accounts will only reflect non-domestic Purchase Orders. Winners Merchants International submits quarterly B2 adjustments with an average duty rate of 10% applied to the value of the addition (assist).&&&&During an internal compliance review of payment of duties and taxes of pre-tickets by Winners Merchants International, the following concerns were identified:&&• the method used to account for cost of production and transportation from G/L accounts based on variable percentage between non-domestic and domestic PO's quarterly,&&• no direct correlation between the G/L allocation formula and receipt of non-domestic goods,&&• an average duty rate is applied regardless of HS classification of goods,&&• domestic vendors are ordering tickets from the Foreign Ticket Bureaus for domestic POs, which are included in the total cost of production and transportation of the cost allocation formula&&• unused tickets at vendors origin are included in the cost allocation formula but not imported into Canada.&&&&Based on the above, Winners Merchants International believes it is overpaying on duties and taxes and has recommended a new calculation for CBSA approval.&&&&Winners Merchants proposed a new calculation process as follows:&&• Calculate pre-ticket unit cost table based on current Statement of Work (SOW) for each Foreign Ticket Bureau.&&• Calculate and add the average unit cost of transportation to the pre-ticket unit cost.&&• Update the current table in the accounting system that calculates duties and taxes.&&• Winners Merchants International to update table based on contracts negotiations with Foreign Ticket Bureaus.&&To calculate the new unit production cost, the average cost of each type of pre-ticket from the Foreign Ticket Bureaus was determined. To calculate the new unit transportation cost, one invoice for each quarter from the Foreign Ticket Bureaus were used to determine the average cost. The combination of these two average costs provided the new cost per unit for each pre-ticket (production and transportation). This new cost total will be added to the good upon import and as such no quarterly adjustments will not be required.&&&&New calculation&&Ticket Type&&1-Current Cost Per unit (Production only)&&2-New Cost Per Unit (Production)&&3-New Cost Per Unit (Transportation)&&4-New Cost Per Unit (Production + Transportation)&&&&A $.0035 $.0061 $.0436 $.0496&&B $.0040 $.0057 $.0436 $.0493&&C $.0046 $.0065 $.0436 $.0501&&D $.0080 $.0064 $.0436 $.0500&&E $ 0000 $.0065 $.0436 $.0501&&F $.0163 $.0186 $.0436 $.0622&&G $.0087 $.0057 $.0436 $.0493&&H $.0046 $.0102 $.0436 $.0500&&I $.0040 $.0057 $.0436 $.0493&&J $.0072 $.0102 $.0436 $.0538&&L $.0040 $.0057 $.0436 $.0493&&M $.0043 $.0062 $.0436 $.0498&&O $.0085 $.0525 $.0436 $.0961&&P $.0163 $.0186 $.0436 $.0622&&R $.0072 $.0102 $.0436 $.0538&&S $.0030 $.0039 $.0436 $.0475&&T $.0046 $.0064 $.0436 $ .0500&&U $.0046 $.0064 $.0436 $.0500&&V $.0040 $.0057 $.0436 $.0493&&&&Note: As stated in the request, the calculation for transportation is based on an average. Should the importer receive additional information in respect of the goods already imported (i.e. actual transportation cost), the invoice is the event that gives the importer reason to believe that the previous declaration is incorrect and a self-correction would be required in accordance with section 32.2 of the Act. This obligation applies to a correction that would result in either money payable to the CBSA or is revenue neutral.
