Customs Post-Clearance Audits

The assessment of customs payments on importations is based upon the Customs import declaration that the importer submits at the time of importation.

The declaration is verified and, based upon selection criteria, Customs officers may examine the imported goods prior to release, but there are some elements of the import declaration that cannot be adequately verified at the time of importation. For this reason, audits may be conducted at some time after the importation of the goods to verify the accuracy of the Customs import declaration.

Records of Import:

1. It is mandatory that the owner of the goods and anyone who causes goods to be imported retain all relevant records in relation to those goods for a period of 6 years from the date of import.
2. If the owner or other person is selected for Customs audit these records will be examined by Customs officers to ensure compliance with the Customs Act. Anyone who fails to retain these records carries severe penalties.

Legal Authority for Customs Post-Clearance Audits

The legal authority for the conduct by the Customs Authority of post-clearance audits is based under Customs Rules & Regulations Section 10.

In line with Customs Rules & Regulations Section 10, it states the following:

10. Review and Audits

10.1 Periodic Reviews and Audits. The of Customs may conduct periodic reviews and audits of ports, CFS sites, provisional inspection sites and all documents relating to the handling of import and export merchandise. The review and audit shall be conducted in the following manner if necessary with personnel from the division of Tax.

10.1.1 Timing. Reviews and Audits may be with or without notification. In initiating such reviews or audits, the Director or his designee shall take care not to unreasonably interrupt the operations of the particular business under review.

10.1.2 Identification. Customs Officer shall identify himself to a business employee upon arrival and present the proper identification informing the individual of the purpose of his visit. Management of the business shall be informed of the visit at that time.

10.1.3 Production. The business being reviewed or audited shall make every effort to assist the Customs including, but not limited to, making work space available, assigning a knowledgeable employee to assist and producing the required documents.

10.1.4 Safety. The business being reviewed or audited shall ensure the safety of Officers on the premises.

10.1.5 Report. The Chief shall prepare a written report subsequent to a review and audit, a copy of which will be made available to the business concerned. This report shall include the name of the business, the beginning date of the inspection and findings and recommendations. The copy of the report shall be submitted to the Director of the Bureau.

10.1.6 Compliance. Within 30 days of receipt of the report, the business concerned shall provide a detailed explanation regarding the findings of the report to the Director with a copy to the Chief of Customs. Failure to provide an explanation shall result in the automatic imposition of recoveries, penalties and fines suggested in the report.