March 2011

The purpose of this notice is to provide exporters of softwood lumber products with information on the possible availability of a refund for the surge charge imposed on exports from Alberta in October 2008.

This document includes references to potential requirements associated with proposed amendments to the Softwood Lumber Products Export Charge Act, 2006 (the Act), which have been tabled in Parliament, but not yet enacted. Nothing in this document should be taken as a representation by the Canada Revenue Agency (CRA) that the law will eventually be enacted in the manner proposed.

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 appropriate regulation, or call the number at the end of this document for additional information.

Background

Foreign Affairs and International Trade Canada, in consultation with Natural Resources Canada, has recalculated the surge trigger volumes for softwood lumber exports from Option A regions. This was undertaken since it is more accurate to use final United States shipment data to calculate the expected U.S. consumption, rather than using data previously available.

As a result, it has been determined that softwood lumber exports from Alberta in October 2008 did not exceed the surge trigger volume by more than 1%. This means that the surge charge did not apply on exports from Alberta in October 2008, as was originally announced in the Softwood Lumber Products Export Charge Notice SWLN9, Surge Charge – Alberta Region (October 2008).

Refund of Alberta Surge Charge for October 2008

Under proposed amendments to the Act, which have been tabled in Parliament, the Minister of National Revenue will have authority to extend the period for filing a refund application beyond the two years currently provided for in the Act.

The CRA will allow exporters who have paid the Alberta surge charge for October 2008 to apply for a refund of the amount paid, by filing Form B278, Softwood Lumber Products Export Charge – Application for Refund. The CRA will hold these refund applications in abeyance until the proposed amendments receive Royal Assent to provide the CRA with legal authority to process them.

Enquiries

For questions about filing a surge charge return or making a payment, please call 1-800-935-0313.

For technical enquiries about the Softwood Lumber Products Export Charge Act, 2006, please call 1-866-330-3304.

Information on export volumes and export permits may be found on the Web site of the Department of Foreign Affairs and International Trade at www.softwoodlumber.gc.ca.

All technical publications on the softwood lumber products export charge are available on the CRA Web site at www.cra.gc.ca/softwood.