On September 28, 2019, CBP deployed the new Entry Type 86 for Section 321 (low-valued shipments) through ACE.
Trade users will benefit from this enhancement by being able to now electronically transmit low-valued shipment data to Customs. Using entry type 86 transaction, which includes importer and/or consignee information, the entry is transmitted via the Automated Broker Interface (ABI) into ACE, and filers will receive electronic release messages back from CBP for these low value shipments.
Filing an entry
type 86 to obtain release of low-valued Section 321 shipments is only a test; it
is not mandatory. All current Section 321 clearance processes remain in effect.
change in ACE?
questions about the new entry Type 86 functionality can be addressed by a
Client Representative or the ACE Account Service Desk (ASD) at 1-866-530-4172
This new entry type will only allow one bill per entry
This will allow for an entry to be filed with PGA data for a shipment of $800 or less
Entry type 86 will be available for CBP and trade users to review via ACE Reports
A Test Notice was published in the Federal Register on August 13, 2019.
U.S. Customs Centers of Excellence and Expertise, aka “CEEs” are Customs way to better align with modern business practices. Whether or not you are currently engaged with your CEE, Importers are already assigned to one.
Ever wonder how to find out which CEE team has been assigned to your company?
Well, it’s not as difficult as you may have thought… In order to get the details, you just need to do a simple bond query with your company’s Federal Identification number, either though your surety, Customs broker, or in ABI/ACE directly . The query results will show you who your CEE team is. Below is an example of how it looks in the ABI response.
It’s as simple as that! Contact CustomsNow if you have any questions.
Did you know that very soon there will be powerful ACE query for those with access to an ACE-certified ABI system? This ACE query, called “ACE Cargo/Manifest/Entry/Release Query” or “CQ”, will provide those in the the supply chain with a “need to know” quick and easy shipment status information.
What types of statuses? Brokers and self-filing importers can easily query their own entries and entry summaries to ensure release, as before. However, the better news is that others involved in the supply chain can query the status of ANY in-bond shipment, and ocean, rail, truck, or air waybill manifest information.
Plus, with ACE, CustomsNow™ is seeing additional information being returned in these queries such as in-bond status, in-bond origin and destination ports, and more. This new visibility can be crucial to those with an interest in moving the goods, such as a bonded warehouse, or a bonded trucker who relies heavily accurate information being on file with CBP prior to dispatch.
CBP currently has this functionality in “certification” with a live release date coming soon (see CSMS# 15-000226).
The Automated Broker Interface (ABI) is the only approved method available for filing entry and entry summaries in ACE. ACE ABI CATAIR-developed software is available through either a CBP-approved ABI software vendor, a self-developer or a service center.
The ACE Secure Data Portal does not have entry and entry summary filing capabilities, nor are there plans for building such capabilities. However, the ACE Secure Data Portal does offer key features such as (1) creating blanket declarations used in entry summary transactions, (2) receiving and responding to CBP forms and uploading solicited documents and (3) running ACE reports, and more.
Last week, representatives of US Customs and the trade presented at workshop, “ACE: Developing Your Game Plan,” hosted by the Los Angeles Customs Brokers & Freight Forwarders Association (LACBFFA). Here are some key takeaways:
Brokers and self-filing importers were strongly encouraged to migrate now to ACE, rather than waiting until the following deadlines. For self-filers, make sure that your ABI provider’s software is ACE-certified, as CustomsNow is.
December 31, 2015 — mandated use of manifest and cargo releases in ACE
December 31, 2016 — mandated use of all remaining ACE features
More than 99% of entry summaries (types 01, 03 and 11) can be filed in ACE right now
ACE entry summary participation allows filers to:
Eliminate paper entry summaries
Receive faster CBP response
Decrease courier and administrative costs
Current and upcoming features require ACE entry summary filing
In a recent blog post, we noted that importers have been receiving invoices from CBP for payment of additional merchandising processing fees (MPF) for entries filed between October 1 and November 5, 2011 (due to an increase in MPF that was not assessed last year).
Now, there are reports that at least one port, Atlanta, has been sending these retroactive invoices with interest assessed up front (i.e., not assessed for payment after due date). This is inconsistent with the posting on US Customs’ MPF web page that “CBP will not assess interest on bill amounts for the increased MPF.”
Of course, CBP may assess interest on payments made after the due date of the retroactive invoices. But if importers have paid these bills in a timely manner, they can avoid the interest penalty.
Some Customs personnel have reported that there is a backlog in processing the payments, and as a result, interest may be inadvertently be assessed for timely payments. In these instances, contact your Customs Specialist to discuss. It’s likely that the matter will be resolved when the backlog is cleared and subsequent invoices issued.
To prevent confusion, we recommend that importers follow Customs’ advice for paying MPF: “[M]ultiple bills may be paid with one check, as long as a supplemental spreadsheet is provided, which lists each bill number and bill amount.” By providing this documentation, you can provide clear evidence of timely payment and avoid incorrect interest charges.
US importers may be noticing a surprise in their mailboxes. Many have been receiving invoices from US Customs for payment of additional merchandise processing fees (MPF) for entries filed between October 1 and November 5, 2011.
Why now? If you recall, CBP increased the MPF rate last October 1. Unfortunately, the agency did not complete programming to reflect the new rate for over a month, so entries filed in that window of time reflected the old rate. Now, CBP is retroactively billing entry filers for the difference in MPF charged.
September 29th is rapidly approaching. As mentioned previously in this blog, after that date, ACE will be the only approved EDI for transitioning required advance rail and sea cargo information and ABI in-bond transactions to US Customs. At that time, CBP will begin to decommission AMS for this functionality.
Most ocean and rail carriers and ABI in-bond filers have migrated to ACE. If you have not, CBP urges you to meet with your Client representative to establish a migration date prior to September 29th.
Some US importers are concerned that if they file “too many” PEAs, they will draw increased scrutiny of CBP, and may be setting themselves up for an audit. Though that may be the case, importers can and should take steps to minimize, regardless. Obviously, in order to reduce the number of PEAs filed, it behooves the importer to minimize data errors before the entry summary is filed. To that end, following are a few suggestions:
Have a written procedure manual in place that outlines the responsibilities of internal staff and broker(s) for reviewing entries and supporting documentation prior to submission.
Involve and have written agreements in place with vendors, suppliers, forwarders, etc. that specify steps to be taken to ensure data accuracy.
Mandate training for all involved parties if the same errors persist.
Automate the audit process. For example, request that your broker send you a file representing the entry details and systematically validate the HTS, value, etc.
If most of your errors are for one issue (e.g., HTS), consider flagging the entries for reconciliation.
An inordinate number of PEAs may trigger increased CBP scrutiny, specifically by the Import Specialist(s) in the port(s) where submitted. If this is a concern, make sure to communicate to the IS the reason for the influx, and the specific plans in place to minimize errors going forward.
As many know, the PEA process is cumbersome, laden with paperwork, and inconsistently administered by the ports. To avoid these pitfalls, consider filing entry summaries in ACE instead of ACS. By doing so, you can bypass the PEA process and avail yourself of the Post-Summary Correction (PSC) process, which not only is paperless (electronic) but allows importers to file corrections up to 270 days after the date of the entry (currently 10 days if filing in ACS).