AMPS (Administrative Monetary Penalty System) is Canada Customs and Revenue Agency’s penalty system to address non-compliance with customs requirements.

The AMPS penalties are designed to address non-compliance with Canada's trade and border legislation. Under the authority of the Customs Act, the AMPS provides for penalties for contraventions of the Customs Act, Customs Tariff, and any regulations thereunder including contraventions of the terms and conditions of licensing agreements and undertakings. The AMPS penalties largely replace the use of seizure and ascertained forfeitures as enforcement tools.

Non compliance is detrimental to the economic well being of Canada. To increase compliance, customs has moved away from transaction verification and has increased the use of periodic verification. 

AMPS Penalties, while designed to be corrective, could have a serious effect on your company’s financial well being where errors are recurring. It could also result in the loss of import privileges and an increased targeting of your imports for examination and audit.

BCB recommends that every importer assess their level of compliance by reviewing their customs related systems, processes and documents.

• Consult with BCB and other service providers, or with the Canada Border Service Agency to verify tariff classification, tariff treatment and valuation of the goods you import
• Can you produce the customs documents and supporting documentation, including certificates of origin that are needed to verify your import and export transactions
• Ensure that your imported goods comply with the requirements of other agencies, i.e. The Canadian Food Inspection Agency or Transport Canada
• Find out if the goods you import are subject to dumping or counter-vailing duties

Verify the links between your customs program and your accounting systems and procedures

• Are there system links between your customs documents, purchasing, receiving, vendors invoice, and payables processes
• Conduct your own “mini” audit

Assess your level of compliance and develop a compliance plan

Examine your current level of compliance and come up with a plan that addresses any shortcomings in your processes. Assign responsibility and develop a plan for monitoring compliance over time.