Reconciliation: CBP’s Extract Reports vs. ACE Reports

Reconciliation (recon) refers to the process which allows an importer to identify indeterminable entry information to Customs (CBP), and provide the outstanding information at a later date. Entries are flagged at the time of importation and a reconciliation entry is later submitted in which the outstanding information is provided.  The challenge with recon is in the tracking and timely reconciliation of flagged entry summaries, which is the responsibility of the importer (and filer/broker). 

Recon filers should not rely solely on Automated Commercial Environment (ACE) reports to prepare the reconciliation entry, as there may be missing entries or flags from these reports.  Rather, to confirm flagged entries for a specific time period in CBP’s system, and to prevent rejection of the reconciliation entry at filing, filers should request CBP’s Masterfile and Liquidation extract reports for a given period.  These reports can be compared against the ACE reports (i.e. the Import Activity report and the AD-001 Entry Summary Report) to ensure that all flagged entries are captured, prior to recon filing. 

These reports are extracted from the very data that CBP uses to validate the recon entry upon submission via ABI. 

In order to obtain these reports, CBP has a fee-for-service procedure, which is handled by CBP Accounting Services Division in Indianapolis, IN.  Since flagged underlying entry summaries for a certain period may be liquidated or unliquidated, importers are encouraged to request both reports to ensure complete records.

Details on how to request these reports can be found here.

For more information on CustomNow’s direct filing reconciliation software or our broker recon services, please contact us at sales@customsnow.com.