Open
Source verified August 10, 2026
Drawback Program
Refund of duties on imported goods exported or destroyed
Funding available
Varies by project
Deadline
Open continuously
Location
Canada
Overview
The Drawback Program helps Canadian companies recover duties paid on imported commercial goods that are later exported from Canada. Eligible situations include goods exported in the same condition, goods used to produce exports, and certain obsolete or surplus goods that are destroyed.
/100
Opportunity Score
Moderate potential, but conditions must align.
At a glance
Funding available
Financing goals
- Access new markets
Eligible Funding
- Varies by project
Funds Providers
Eligible candidates
Eligible Industries
- All industries
Location
- Canada
Legal structures
- Sole proprietorship
- For-profit business
Annual revenue
- All revenue ranges
Organisation size
- All organization sizes
Audience
- Canadians
Next Steps
1
Determine your project
2
Validate your eligibility
Activities funded
- Exporting imported commercial goods in the same condition.
- Using imported goods to produce other goods for export.
- Destroying imported goods that are obsolete or surplus, or using imported goods to manufacture goods that are obsolete or surplus.
Documents Needed
- Form K32, Drawback Claim.
- Supporting documentation establishing that the goods qualify.
- Export sales invoice and proof of export, such as a bill of lading or other shipping document.
- Form K32A or Form K32B, or equivalent waivers, when the claimant is not the importer or not the exporter, or when more than one person is eligible to file.
- For destroyed goods, a certified Form E15, Certificate of Destruction/Exportation, or qualifying third-party documentation.
Official resources
Eligibility
Who is eligible?
- Canadian companies that import commercial goods for export
- Canadian companies that import goods to manufacture products for export
- Canadian companies dealing with obsolete or surplus imported goods that are destroyed or manufactured into other obsolete or surplus goods
Who is not eligible
- The purchaser of a motor vehicle is not entitled to file a drawback claim under the Exported Motor Vehicles Drawback Regulations.
Eligible expenses
- Duties paid on imported commercial goods that are later exported in the same condition.
- Duties paid on imported goods consumed or expended through a manufacturing process when the resulting goods are eventually exported.
- Duties paid on obsolete or surplus imported goods that are destroyed in Canada under the Obsolete or Surplus Goods Program.
Ineligible Costs and Activities
- GST/HST cannot be refunded through drawback.
- Goods affected by CUSMA restrictions may not qualify for drawback in some cases.
Eligible geographic areas
- Canada
How to apply
- Export or destroy the goods before filing the claim.
- Complete Form K32, Drawback Claim.
- Attach supporting documentation establishing that the goods qualify, including proof of export or destruction as applicable.
- Submit waivers from all other eligible claimants when more than one person is eligible to file.
- Submit the claim through the CARM Client Portal.
Processing and Agreement
- The CBSA will strive to process drawback claims no later than 90 calendar days from the date of receipt of a correctly completed and supported application.
- When more than one person is eligible to file a drawback claim, waivers must be submitted for all claimants before the CBSA can process the claim.
- Claims are subject to verification by CBSA officials.
- The claimant may be contacted by letter or telephone for clarification or further information, or may be visited by a CBSA officer.
- If approved, the CBSA may issue a full or partial refund, and any balance owing after a partial refund is paid after verification.
Additional information
- Commercial goods may also be eligible for drawbacks under the Obsolete or Surplus Goods Program.
- For a vehicle you plan to export, arrangements must be made with the importer, car dealer, or manufacturer to file the claim.
- You may be able to reduce the vehicle purchase price by the drawback amount.
Frequently Asked Questions about the Drawback Program Program
What is the Drawback Program?
The Drawback Program helps Canadian companies recover duties paid on imported commercial goods that are later exported from Canada. Eligible situations include goods exported in the same condition, goods used to produce exports, and certain obsolete or surplus goods that are destroyed.
Who is eligible for the Drawback Program program?
To be eligible for the Drawback Program program, you must:
Import commercial goods later exported in the same condition
Import goods used to produce other goods for export
Destroy imported goods that are obsolete or surplus
What expenses are eligible under Drawback Program?
Exporting imported commercial goods in the same condition.
Using imported goods to produce other goods for export.
Destroying imported goods that are obsolete or surplus, or using imported goods to manufacture goods that are obsolete or surplus.
Who can I contact for more information about the Drawback Program?
You can contact Canada Border Services Agency (CBSA).
Where is the Drawback Program available?
The Drawback Program program is available across Canada.
Who are the financial supporters of the Drawback Program?
Drawback Program is funded by Canada Border Services Agency (CBSA)