When a person has goods (as distinguished from monetary instruments and conveyances seized at customs, the Canada Border Services Agency (“CBSA“) has established three “levels” or “degrees” of breach for the purpose of determining the penalty. These levels are described in Part 5 Chapter 2 of the Customs Enforcement Manual. Level 1 Level 1 applies to violations of lesser culpability. It will be applied where a person’s efforts to hide something from CBSA were initial and effectual. It is generally applied to offences of omission rather than commission. In the context of Non-Report and Inaccurate Information, Level 1 will be applied when: goods are not reported to CBSA or goods are reported to CBSA but inaccurate information is given concerning acquisition, entitlements, or description; the goods are not concealed; and a full disclosure of the true facts concerning the goods is made at the time of discovery. In the context of Undervaluation, Level 1 is applied when: goods are reported for a value less than their actual transaction value but no falsified documents were presented; and full disclosure is made prior to the discovery of documentary evidence. Level 2 Level 2 applies to violations where the circumstances demonstrate that the individual actively attempted to … Read More