Tax & Trade Blog

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CBSA TARGETTING CHEESE DOG TREATS

IMPORTERS OF DOG TREATS COULD FACE MASSIVE DUTY ADJUSTMENTS

The Canada Border Services Agency (“CBSA”) has listed verifying tariff classifications of cheese treats for dogs (“Cheese Treats”) as one of its compliance priorities for 2026. While it may sound niche, CBSA has identified Cheese Treats as a potential threat to Canada’s supply-managed dairy system, which is one of Canada’s most consequential – and sometimes controversial – trade barriers.

In this Customs & Trade Report, we explain what is behind this strange new CBSA effort, and why impacted importers could face significant financial risk.

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CRA DIRECTS TAXPAYER TO WRONG COURT!

PROPER JURISDICTION REQUIRED AT OUTSET OF ALL TAX DISPUTES

The question of jurisdiction (that is, which Court has the authority to hear a particular dispute) remains often confused in the administration of Canadian tax law.  While the Canada Revenue Agency (“CRA”) routinely provides directions in its decision letters about where taxpayers can appeal, a recent Tax Court of Canada (“TCC”) decision demonstrates that the CRA sometimes gets this wrong – with serious consequences for taxpayers!

More problematically, a similar scenario may now be unfolding with the Canada Border Services Agency’s (“CBSA”) appeal process for remission applications made in respect of Canada’s recent retaliatory tariffs imposed on US goods.