Canada Opens Consultations on New Reporting Rules for Importers and Exporters to Combat Financial Crime
Trade Update • Dec. 10, 2024
raft amendments to Canada’s Anti-Money Laundering (AML) and Anti-Terrorist Financing (ATF) framework were published for public consultation. These proposed changes outline the implementation of financial crime measures introduced in the Federal Budgets from 2022 to 2024.
Amendments
The draft amendments aim to address some critical areas, including:
- New compliance requirements for factoring companies, cheque-cashing businesses, and financing and leasing companies.
- Enhanced reporting obligations for import and export transactions.
- Improved beneficial ownership discrepancy reporting standards.
These measures are designed to strengthen Canada’s ability to combat financial crimes and align its regulatory framework with evolving global standards.
Deadlines
Key Compliance Deadline
The amendments are set to come into force on October 1, 2025, providing businesses with a clear timeline to adapt their compliance programs. Organizations operating in affected sectors should assess their current AML/ATF controls and prepare for these regulatory updates to avoid potential penalties.
Public Consultation Deadline
Businesses, industry stakeholders, and the general public are encouraged to review the proposed amendments and provide their feedback. Submissions must be sent to Canada’s Department of Finance by December 30, 2024.
Next Steps
- Review the Draft Amendments: Access the proposals here and here.
- Assess Impacts: Determine how the changes may affect your operations.
- Engage Experts: Consult with your Customs Broker to ensure your compliance measures align with the new compliance requirements.
- Submit Feedback: Share your views with the Department of Finance through their comment areas in each section for proposal here and here before the December 30, 2024 deadline.
Proactive engagement and preparation will be critical to navigating these changes and maintaining compliance with Canada’s strengthened AML/ATF framework.
Questions about compliance to Canada’s Anti-Money Laundering (AML) and Anti-Terrorist Financing (ATF) reporting? Email us at: gts@ghy.com, or call: +1 (800) 667-0771.
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