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Export Charge Rate for June 2010 Reduced to 0% - Registrants Must Continue to File Returns
May 2010
The purpose of this notice is to provide registrants under the Softwood Lumber Products Export Charge Act, 2006 with information on their continuing requirement to file a monthly return during a month when the export charge rate is 0%.
The information in this notice is for reference purposes only and does not replace the Act or its regulations. Should there be any discrepancy between the information in this notice and that contained in the Act or its regulations, the legislative provisions apply. As the information in this publication may not completely address your particular situation, you may wish to refer to the Act or regulations, or call the number at the end of this document for additional information.
Pursuant to paragraphs 12(3)(a) and 12(4)(a) of the Softwood Lumber Products Export Charge Act, 2006 (the Act), if the reference price for a month is more than US $355, the export charge rate is 0%, which results in no export charge being payable in that month. Should exports from a region operating under Option A exceed its surge trigger volume, the surge charge imposed under section 14 of the Act is also 0%.
The reference price applicable for June 2010 is $361, resulting in an export charge rate of 0% for that month. June 2010 is the first month that the export charge rate is 0% since the implementation of the Act in October of 2006.
Monthly rate changes are not normally announced by the Canada Revenue Agency (CRA) with the issuance of a notice as it is generally incumbent on a registrant to ensure it is aware of, and uses, the correct export charge rate applicable for a particular month and region.
To find out the export charge rate for each month for each region, registrants can visit the CRA softwood lumber Web page by calendar year under “Export charge rates” at: http://www.cra-arc.gc.ca/softwood/. Rates are updated approximately two weeks prior to the beginning of each month.
Filing of monthly returns
Section 26 of the Act imposes a requirement on all softwood lumber registrants to complete and file a monthly B275 Softwood Lumber Products Export Charge Return on or before the last day of the month following the month to which the charge applies. The return shall be completed containing all the information prescribed in the return.
The requirement to file the return continues even when there is no export charge payable, including a month when there have been no exports to the United States of softwood lumber products.
Subsection 51(4) of the Act does not permit a refund to be paid until all returns, and other records, have been filed with the CRA. Also, under section 65 of the Act, failure to file a return could result in a $250 penalty being levied for each return not filed.
Export Permits
For information about the continuing requirements to obtain Export Permits under the Export and Import Permits Act during a month when the export charge rate is 0%, please contact:
Softwood Lumber
Export and Import Controls
Foreign Affairs and International Trade Canada
4th Floor, Tower C
Lester B. Pearson Building
125 Sussex Drive
Ottawa ON K1A 0G2
Help Desk at 1-877-808-8838 or, in Ottawa, at 613-944-1265
E-mail at softwood.boisdoeuvre@international.gc.ca
Fax: 1-613-944-8950
Enquiries
For technical enquiries about the Softwood Lumber Products Export Charge Act, 2006, please call 1-866-330-3304.
All technical publications on the softwood lumber products export charge are available on the CRA Web site at www.cra.gc.ca/softwood.
