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What is the purpose of a Personal Exemption when importing goods?

  1. To allow free passage of individuals

  2. To enable the importation of goods without paying regular duties and taxes

  3. To simplify the declarations process

  4. To grant immunity from inspections

The correct answer is: To enable the importation of goods without paying regular duties and taxes

A Personal Exemption serves the important function of allowing individuals who are traveling into Canada to bring in a certain amount of goods without needing to pay the regular duties and taxes that would typically apply. This provision is intended to facilitate travel by making it more affordable for individuals to import personal items for their own use, often related to personal possessions or gifts. When travelers are aware of their exemption limits, they can make informed decisions about what they can bring back into the country without incurring additional costs. This helps encourage tourism and personal trips as it reduces the financial burden of bringing goods into Canada that are intended for personal use. The other options do not capture the essence of Personal Exemptions accurately. While free passage, simplified declarations, and inspections are relevant to border security and customs processes, they do not specifically address the core intent of Personal Exemptions, which is focused on minimizing duties and taxes for travelers bringing in personal goods.