In Canada, the CBSA has no legal authority to issue wage garnishment orders or “Requirements to Pay” to employers to recover deportation costs. Under the Immigration and Refugee Protection Act (IRPA), removal costs are strictly recovered from the foreign national when they seek to return to Canada. While employers may receive garnishments from the CRA or CBSA for customs-related tax liabilities, they never face liability for an employee’s deportation costs.
When an individual is deported from Canada, they are required to pay the federal government for the cost of their removal. Some business owners fear or mistakenly believe that the Canada Border Services Agency (CBSA) can garnish a worker’s wages or issue a formal “Requirement to Pay” to their employer to recover these deportation expenses. This is a common legal myth. Under Canadian immigration law, there is absolutely no mechanism to garnish active wages for removal costs.
The rules are governed by the Immigration and Refugee Protection Act (IRPA) and the Immigration and Refugee Protection Regulations (IRPR). 📝 The federal government has clarified that removal costs are collected solely from the foreign national if and when they attempt to return to Canada in the future. While employers do face strict garnishments (Requirements to Pay) from the Canada Revenue Agency (CRA) or CBSA for business tax or customs duty liabilities, they are entirely exempt from any financial liability regarding an employee’s deportation. In this guide, we clarify the rules and dispel the confusion around CBSA garnishment demands.
Step-by-Step Process for Handling a CBSA Garnishment Order
Receiving a demand for an employee’s wages can be intimidating. You must treat a CBSA Requirement to Pay with the same urgency as a demand from the Canada Revenue Agency (CRA). Here are the standard steps a Canadian employer should take.
Step 1: Verifying the Source of the Garnishment
If your business receives a federal garnishment order, your first step is to identify the originating agency and the legal basis of the debt. The Canada Revenue Agency (CRA) frequently issues “Requirements to Pay” for outstanding payroll taxes, corporate tax, or GST/HST. The CBSA may also issue orders under the Customs Act to recover duties on imported commercial goods. However, if any notice claims to demand funds for a worker’s deportation costs under the IRPA, it is legally invalid.
Step 2: Understanding the Non-Recovery of Removal Costs
Under the updated IRPR rules (including federal changes under SOR/2024-284), removal costs are strictly non-recoverable from employers. 💰 The federal government’s policy establishes that removal costs are only repaid when a previously removed foreign national applies for an Authorization to Return to Canada (ARC). Because active employees by definition cannot have already been deported, and because no active wage garnishment exists for removal, employers have no legal obligation or mechanism to withhold pay for these costs.
Step 3: Handling Valid CBSA and CRA Demands
If the garnishment is a valid “Requirement to Pay” for customs duties or tax arrears under the Customs Act or Income Tax Act, the corporation must strictly comply. Deductions must be calculated according to the formula specified in the order, and the collected funds must be remitted directly to the Receiver General for Canada. Failing to comply with a valid tax or customs garnishment makes the corporation personally liable for the debt.
How Much Does it Cost to Ignore a Garnishment in Canada?
While you cannot be billed for an employee’s deportation, understanding actual removal costs and the penalties for ignoring valid tax or customs garnishments is essential for corporate compliance. 💵
- Foreign National’s Deportation Debt: Under the updated IRPR fee schedule, a deported individual must pay $3,840 CAD (for unescorted removals) or $12,880 CAD (for escorted air removals) to the government, but this debt is strictly personal and cannot be transferred to the employer.
- Ignored Tax/Customs Garnishment Penalty: If an employer ignores a valid CRA or CBSA tax/customs “Requirement to Pay,” the business becomes legally liable for 100% of the employee’s or company’s tax debt, which can result in corporate bank freezes.
- Legal Consultation Fees: Retaining a corporate tax or immigration lawyer to respond to invalid or complex federal garnishment notices generally costs between $1,500 and $3,500 CAD.
How Long Does the Garnishment Process Take?
Because there is no mechanism to garnish active wages for deportation, an employer will never face a timeline for removal cost collection. ⏱️ For valid CRA or CBSA customs and tax garnishments, the withholding must continue on every pay period until the corporate or employee tax debt is fully paid off, or until the worker’s employment is terminated. For foreign nationals seeking to return to Canada, resolving their deportation debt takes as long as the ARC visa application processing, which typically spans 6 to 12 months.
Comparison: Complying vs. Ignoring a Garnishment
| Scenario | Immediate Consequence | Long-Term Impact on the Business |
|---|---|---|
| Deportation / Removal Costs | No garnishment or billing is sent to the employer. | Zero liability; the debt rests solely with the foreign national seeking return. |
| Valid CRA / Customs Garnishment | Employer must withhold wages and remit them to the government. | Strict compliance protects the business from liability and asset freezes. |
| Ignoring a Valid Tax Order | CRA enforces the debt directly against the corporation. | The company legally inherits the employee’s tax debt, harming corporate credit. |
Frequently Asked Questions (FAQ)
Can the CBSA force me to pay for an employee’s deportation flight?
No. Under the IRPA and the Immigration and Refugee Protection Regulations (IRPR), employers have no legal obligation to pay or be garnished for an employee’s deportation flight or detention costs. This is entirely the responsibility of the foreign national.
When are deportation costs actually recovered by the government?
According to federal regulations (such as SOR/2024-284), removal fees are only recovered if and when the deported individual applies for an Authorization to Return to Canada (ARC). If they do not seek to return, the government has no mechanism to collect these funds from them or anyone else.
What are the official removal costs under the current regulations?
Under the updated schedule, the standard removal cost is $3,840 CAD for unescorted removals or removals under escort other than by air. For complex removals under air escort, the fee is $12,880 CAD. These costs are waived if the foreign national is under 18 years old.
What kind of garnishments can the CBSA or CRA send to employers?
Employers may receive “Requirements to Pay” from the CRA or the CBSA under the Customs Act for tax arrears, unpaid customs duties, or corporate penalties. These are legally binding, and ignoring them will make your corporation liable for the debt.
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