CBP Discusses ISF Bond Options

TRADE ALERT=

CBP Discusses ISF Bond Options

(January 22, 2010)

US Customs and Border Protection (CBP) will require bonds for importer security filings (ISF or 1= 0+2) filed on or after January 26, 2010. Over the last year during the delayed enforcement period of the ISF rule, bonds for ISF purposes have been accepted but not required. In a January 19^th webinar, CBP outlined the four options available for = ISF bond coverage:

Single Transaction Bond (STB) Options

Appendix D ISF Stand-Alone STB<= /span>
Unified filing, CBP Form 301 STB

Continuous Bond Options

Appendix D ISF Stand-Alone Continuous Bond=
Existing CBP Form 301 Continuous Bond (for= ISFs or Unified Filings)

Appendix D ISF Stand-Alone STB

The Appendix D ISF S= TB was created to satisfy the ISF bonding requirement. The bond should contain language f= rom Appendix D of 19 CFR Part 113.

The liability amount of the bond is $10,00= 0.
The bond must contain a unique reference n= umber generated by the trade and an ISF transaction number generated by CBP.=
Within 12 hours after CBP accepts the ISF,= the bond document must be received by the Revenue Division via email (ISF_Bond@cbp.dhs.gov). The subject line should inclu= de the unique transaction identifiers. Filers will receive an auto-reply acknowledging receipt of the document.
The Revenue Division will review submitted= bonds and may contact the filer if corrections are required. In the initial first few mont= hs, the Revenue Division will take the opportunity for outreach and educat= ion to the trade—as opposed to rejecting the bonds and requiring replacement.

Unified Filing Option - CBP Form = 301 STB

The unified filing option is a STB that will satisfy filers’ ISF and entry requirements.

The liability a= mount for the unified bond is the existing STB required amount plus $10,000.=
The unified bon= d must contain the unique bond reference number that is generated by the trad= e.
The trade shoul= d use CBP Form 301 for this bond type. The bond is to be presented with the entry; it should not be emailed and should accompany the entry.

Existing CBP Form 301 Continuous = Bond (for ISFs or Unified Filings)=

The trade can use their existing CBP Form 301 activity code 1, 2, 3, or 4 continuous bonds to cover a unified filing (entry and ISF) or just ISF bond requirements. Filers do not have to do anything new, special, or different = with their bonds, and bond riders are not required on the existing bonds.

Appendix D ISF Stand-Alone Contin= uous Bond

The Appendix D ISF Stand-Alone continuous bond was created to satisfy the ISF bonding requirement. The bond should contain language from Appendix D. A CBP Form 301 cannot be used.=

The liability a= mount for this bond is $50,000.
A bond applicat= ion letter is not required for this continuous bond.
These bonds can= be used for ISFs even if the filer has other = active continuous bond coverage. Using this bond will not prevent CBP from making claims against other ‘eligible’ continuous bonds.
These continuous bonds must be filed with the Revenue Division via email at ISF_Bond@cbp.dhs.gov. The bonds will be processed u= nder the same rules/guidelines as activity code 1 submissions to the Bond Team.=

As more information becomes available, Deringer will continue to send updates regarding ISF. For more infor= mation on ISF bonding options or ISF sol= utions, please send an email to 10plus2@a= nderinger.com.

About Deringer

A.N. Deringer, Inc. is a lead= ing provider of international logistics services including Freight Forwarding, Warehousing & Distribution, Customs Brokerage, Logistics Consulting, Ca= rgo Insurance, Duty Drawback, and Meat Inspection. Deringer combines over 30 US offices with a global agency network to facilitate the movement of cargo throughout the world.