[Federal Register Volume 82, Number 5 (Monday, January 9, 2017)]
[Notices]
[Pages 2385-2389]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-00128]
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DEPARTMENT OF HOMELAND SECURITY
U.S. Customs and Border Protection
Modification and Clarification of the National Customs Automation
Program Tests Regarding Post-Summary Corrections and Periodic Monthly
Statements; Republication With Correction and Further Clarification
AGENCY: U.S. Customs and Border Protection, Department of Homeland
Security.
ACTION: General notice; republication with correction and further
clarification.
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SUMMARY: On December 12, 2016, U.S. Customs and Border Protection (CBP)
published in the Federal Register a document announcing CBP's plans to
modify and clarify the National Customs Automation Program (NCAP) test
regarding Post-Summary Correction (PSC) claims to entry summaries that
are filed in the Automated Commercial Environment (ACE), as well as the
Periodic Monthly Statement (PMS) test. The notice liberalized and
eliminated some requirements needed for the filing of PSCs; however, it
also placed burdens on the importer in the form of a restriction and a
prohibition.
Subsequently, CBP decided to remove the restriction imposed on all
PSC filings to make payments within three business days of submitting
the PSC, with the exception of entry type 03 filings, and to remove the
prohibition of filing additional PSCs until additional
[[Page 2386]]
duties, fees and taxes are deposited. This document republishes and
supersedes the document published on December 12 with these corrections
and clarifications. Except to the extent expressly announced or
modified by this document, all aspects, rules, terms and conditions
announced in notices previous to this notice and the December 12
publication regarding the tests remain in effect.
DATES: The changes made by this notice are effective January 14, 2017.
ADDRESSES: Comments concerning these test programs may be submitted via
email to Monica Crockett at [email protected] with a subject line
identifier reading, ``Post-Summary Corrections and Periodic Monthly
Statements.''
FOR FURTHER INFORMATION CONTACT: For policy-related questions, contact
Randy Mitchell, Director, Commercial Operations, Trade Policy and
Programs, Office of Trade, at [email protected]. For technical
questions related to ABI transmissions, contact your assigned client
representative. Interested parties without an assigned client
representative should direct their questions to the Client
Representative Branch at (703) 650-3500.
SUPPLEMENTARY INFORMATION: On December 12, 2016, U.S. Customs and
Border Protection (CBP) published a notice in the Federal Register (81
FR 89482) announcing plans to modify and clarify, effective on January
14, 2017, the National Customs Automation Program (NCAP) test regarding
Post-Summary Correction (PCS) claims, and the Periodic Monthly
Statement (PMS) test. The notice announced seven changes to the PSC
test. Subsequently, CBP decided not to implement two of the changes.
One of the changes relates to the requirement of submitting additional
duties, fees and taxes within three business days of filing a PSC. This
notice alleviates the requirement imposed on all PSC filings and limits
the restriction of submitting payment to PSC filings declaring an
increase of liability for antidumping/countervailing duties and
associated fees and taxes. This notice also removes the prohibition of
filing additional PSCs until the duties, fees and taxes are deposited.
With this notice, CBP modifies section 3 (``Deposit of Duties, Fees and
Taxes With PSC Showing Increase in Liability'') and removes section 5
(``Elimination of CBP's Policy of Rejecting a PSC When There is No
Deposit of Antidumping and/or Countervailing Duties at Time of
Submission of PSC'') of the published notice on December 12.
This document also provides the correct CBP point of contact for
making a deposit, and clarifies the method and location of payment of
additional deposits of duties, fees and taxes. In addition, this notice
clarifies how CBP will determine the time of payment of duties, fees
and taxes.
For ease of reference, the December 12 document is republished
below with the aforementioned changes.
I. Background
Post-Summary Correction (PSC) and Periodic Monthly Statement (PMS) Test
Programs
The National Customs Automation Program (NCAP) was established by
Subtitle B of Title VI--Customs Modernization in the North American
Free Trade Agreement (NAFTA) Implementation Act (Customs Modernization
Act) (Pub. L. 103-182, 107 Stat. 2057, 2170, December 8, 1993) (19
U.S.C. 1411). Through NCAP, the thrust of customs modernization was on
trade compliance and the development of the Automated Commercial
Environment (ACE), the planned successor to the Automated Commercial
System (ACS) as the CBP-authorized electronic data interchange (EDI)
system. ACE is an automated and electronic system for commercial trade
processing which is intended to streamline business processes,
facilitate growth in trade, ensure cargo security, and foster
participation in global commerce, while ensuring compliance with U.S.
laws and regulations and reducing costs for CBP and all of its
communities of interest. The ability to meet these objectives depends
on successfully modernizing CBP's business functions and the
information technology that supports those functions. CBP's
modernization efforts are accomplished through phased releases of ACE
component functionality designed to replace specific legacy ACS
functions and add new functionality. Section 101.9(b) of title 19 of
the Code of Federal Regulations (19 CFR 101.9(b)) provides for the
testing of NCAP components. See T.D. 95-21, 60 FR 14211 (March 16,
1995). A list of ACE tests is provided in Section III below.
1. PSC Test Program
On June 24, 2011, CBP published a notice in the Federal Register
(76 FR 37136) that announced a plan to conduct an NCAP test concerning
new ACE capabilities which allow importers to file a PSC for certain
entry summaries using the Automated Broker Interface (ABI). Importers
and brokers are also allowed to use ABI to file a PSC to those pre-
liquidation ACE entry summaries that were accepted by CBP, fully paid,
and under CBP control. On November 19, 2013, CBP published a notice in
the Federal Register modifying and clarifying the terms and conditions
of the PSC test. See 78 FR 69434.
2. PMS Test Program
On February 4, 2004, CBP published a notice in the Federal Register
(69 FR 5362) that announced a plan to conduct an NCAP test concerning
PMS which allows importers to deposit estimated duties, fees and taxes
on a monthly basis. CBP modified and clarified the PMS test in seven
subsequent Federal Register notices published on: September 8, 2004 (69
FR 54302); February 1, 2005 (70 FR 5199); August 8, 2005 (70 FR 45736);
September 22, 2005 (70 FR 55623); January 20, 2006 (71 FR 3315); June
2, 2006 (71 FR 32114); and October 17, 2008 (73 FR 61891).
II. Test Modifications and Clarifications
This document announces numerous modifications and clarifications
to the PSC and PMS tests. Each modification and clarification is
discussed separately below. This document supersedes the December 12
notice and, except to the extent expressly announced or modified by
this document, all aspects, rules, terms, requirements, obligations and
conditions announced in notices previous to this notice and the
December 12 publication regarding the PSC and PMS tests remain in
effect.
A. Modifications and Clarifications of the PSC Test
1. Expansion of Entry Types
This document announces that CBP is expanding the type of entries
that may be corrected by filing a PSC, in addition to the current entry
types 01 (Consumption--Free and Dutiable) and 03 (Consumption--
Antidumping/Countervailing Duty). The additional entry types are as
follows:
02--Consumption--Quota/Visa.
06--Consumption--Foreign Trade Zone (FTZ).
07--Consumption--Antidumping/Countervailing Duty and
Quota/Visa Combination.
21--Warehouse.
22--Re-Warehouse.
23--Temporary Importation Bond (TIB).
31--Warehouse Withdrawal--Consumption.
32--Warehouse Withdrawal--Quota.
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34--Warehouse Withdrawal--Antidumping/Countervailing Duty.
38--Warehouse Withdrawal--Antidumping/Countervailing Duty
& Quota/Visa Combination.
51--Defense Contract Administration Service Region
(DCASR).
52--Government--Dutiable.
2. Merchandise Subject to Quota
When filing a PSC for an entry of merchandise subject to quota, the
date and time of submission will be considered the date and time of
presentation of the merchandise to CBP. If a PSC is filed on an entry
with merchandise subject to quota, and the quota is full or nearly full
at threshold, the PSC filer must do two things. The filer must follow
the Entry Summary Business Rules and Process Document on www.CBP.gov
and also, within 24 hours of making the correction, contact
Headquarters Quota Branch, either by phone: (202) 863-6560 (public
phone number), or email: [email protected], regardless of whether the
correction concerns merchandise subject to quota.
3. Deposit of Duties, Fees and Taxes With PSC Showing Increase in
Liability
This document announces that when a PSC is filed declaring an
increase in the importer's liability for antidumping or countervailing
duties and associated fees and taxes, the importer must mail or deliver
a check to the CBP port of entry with those additional antidumping or
countervailing duties and associated fees and taxes within three
business days of submitting the PSC. Furthermore, CBP will no longer
reject a PSC declaring an increase in liability for antidumping or
countervailing duties and associated fees and taxes when the additional
duties, fees and taxes are not deposited at the time of submitting the
PSC. This is a change in CBP policy.
If a check is mailed, CBP will consider the additional deposit made
based on the date of postmark indicating the check was mailed. When a
PSC is filed that results in an increase in the importer's liability
for regular duties, fees and taxes and the importer wishes to deposit
them, the importer must mail or deliver a check to the port of entry.
4. Change of Entry Type When Antidumping and/or Countervailing Duties
Are Involved
Previously, a filer under the PSC test could not change a type 03
entry to a type 01 entry. See 76 FR 37136. This document announces that
a PSC may declare that a previously filed entry which stated that
merchandise covered by that entry was subject to antidumping and/or
countervailing duties is not, in fact, subject to such duties. For
instance, a PSC may declare that a previously filed 03 entry type is
corrected to indicate it is a 01 entry type.
5. No Filing of PSC To Make a Post-Importation Claim under 19 U.S.C.
1520(d)
On June 24, 2011, CBP announced in the Federal Register (76 FR
37136) that one of the data elements that may not be modified via a PSC
is the NAFTA indicator. This notice clarifies that such prohibition
applies not only to a post-importation NAFTA claim under 19 U.S.C.
1520(d), but also to a claim made under other free trade agreements
covered by 19 U.S.C. 1520(d).
6. PSC Submission Within the Time Limitations Authorized by This Test
On November 19, 2013, CBP published a notice in the Federal
Register (78 FR 69434) that stated that a PSC cannot be filed when any
merchandise covered by the original entry has been conditionally
released and its right to admission has not been determined. This
restriction was overly broad and prevented importers from filing a PSC
because all goods are conditionally released and their admissibility is
not legally determined until liquidation. This notice announces that
this restriction does not prevent the filing of a PSC within the time
periods allowed as long as all other requirements and limitations are
met. The time limits authorized by this test are set forth in notices
published in the Federal Register on June 24, 2011 (76 FR 37136) and
November 19, 2013 (78 FR 69434). This clarification is in line with
current practice.
B. Modification to the PMS Test
This notice announces that CBP will consider a PMS as paid, in the
event the importer uses the Automated Clearing House (ACH) debit
process, when CBP receives confirmation from the Treasury Department
that funds are available and transferred to CBP from the financial
institution designated by the importer for payment of the ACH debit
authorization. Prior to this modification, CBP considered a PMS as paid
when CBP transmitted the debit authorization to the designated
financial institution. See 69 FR 5362 (February 4, 2004). This change
will result in a delay of approximately two working days in the time
that CBP uses to consider a PMS as paid. It is important to note that
this modification applies only to importers who participate in the test
program. For all other importers, the current regulation, 19 CFR
24.25(c)(4), still applies which means CBP will consider a statement as
paid upon acceptance of the ACH debit authorization.
III. Development of ACE Prototypes
A chronological listing of Federal Register publications detailing
ACE test developments is set forth below.
ACE Portal Accounts and Subsequent Revision Notices: 67 FR
21800 (May 1, 2002); 69 FR 5360 and 69 FR 5362 (February 4, 2004); 69
FR 54302 (September 8, 2004); 70 FR 5199 (February 1, 2005).
ACE System of Records Notice: 71 FR 3109 (January 19,
2006).
Terms/Conditions for Access to the ACE Portal and
Subsequent Revisions: 72 FR 27632 (May 16, 2007); 73 FR 38464 (July 7,
2008).
ACE Non-Portal Accounts and Related Notice: 70 FR 61466
(October 24, 2005); 71 FR 15756 (March 29, 2006).
ACE Entry Summary, Accounts and Revenue (ESAR I)
Capabilities: 72 FR 59105 (October 18, 2007).
ACE Entry Summary, Accounts and Revenue (ESAR II)
Capabilities: 73 FR 50337 (August 26, 2008); 74 FR 9826 (March 6,
2009).
ACE Entry Summary, Accounts and Revenue (ESAR III)
Capabilities: 74 FR 69129 (December 30, 2009).
ACE Entry Summary, Accounts and Revenue (ESAR IV)
Capabilities: 76 FR 37136 (June 24, 2011).
Post-Entry Amendment (PEA) Processing Test: 76 FR 37136
(June 24, 2011).
ACE Announcement of a New Start Date for the National
Customs Automation Program Test of Automated Manifest Capabilities for
Ocean and Rail Carriers: 76 FR 42721 (July 19, 2011).
ACE Simplified Entry: 76 FR 69755 (November 9, 2011).
National Customs Automation Program (NCAP) Tests
Concerning Automated Commercial Environment (ACE) Document Image System
(DIS): 77 FR 20835 (April 6, 2012).
National Customs Automation Program (NCAP) Tests
Concerning Automated Commercial Environment (ACE) Simplified Entry:
Modification of Participant Selection Criteria and Application Process:
77 FR 48527 (August 14, 2012).
Modification of National Customs Automation Program (NCAP)
Test Regarding Reconciliation for Filing Certain Post-Importation
Preferential Tariff Treatment Claims under Certain FTAs: 78 FR 27984
(May 13, 2013).
Modification of Two National Customs Automation Program
(NCAP)
[[Page 2388]]
Tests Concerning Automated Commercial Environment (ACE) Document Image
System (DIS) and Simplified Entry (SE): 78 FR 44142 (July 23, 2013).
Modification of Two National Customs Automation Program
(NCAP) Tests Concerning Automated Commercial Environment (ACE) Document
Image System (DIS) and Simplified Entry (SE); Correction: 78 FR 53466
(August 29, 2013).
Modification of National Customs Automation Program Test
Concerning Automated Commercial Environment (ACE) Cargo Release
(formerly known as Simplified Entry): 78 FR 66039 (November 4, 2013).
Post-Summary Corrections to Entry Summaries Filed in ACE
Pursuant to the ESAR IV Test: Modifications and Clarifications: 78 FR
69434 (November 19, 2013).
National Customs Automation Program (NCAP) Test Concerning
the Submission of Certain Data Required by the Environmental Protection
Agency and the Food Safety and Inspection Service Using the Partner
Government Agency Message Set Through the Automated Commercial
Environment (ACE): 78 FR 75931 (December 13, 2013).
Modification of National Customs Automation Program (NCAP)
Test Concerning Automated Commercial Environment (ACE) Cargo Release
for Ocean and Rail Carriers: 79 FR 6210 (February 3, 2014).
Modification of National Customs Automation Program (NCAP)
Test Concerning Automated Commercial Environment (ACE) Cargo Release to
Allow Importers and Brokers to Certify From ACE Entry Summary: 79 FR
24744 (May 1, 2014).
Modification of National Customs Automation Program (NCAP)
Test Concerning Automated Commercial Environment (ACE) Cargo Release
for Truck Carriers: 79 FR 25142 (May 2, 2014).
Modification of National Customs Automation Program (NCAP)
Test Concerning Automated Commercial Environment (ACE) Document Image
System: 79 FR 36083 (June 25, 2014).
Announcement of eBond Test: 79 FR 70881 (November 28,
2014).
eBond Test Modifications and Clarifications: Continuous
Bond Executed Prior to or Outside the eBond Test May Be Converted to an
eBond by the Surety and Principal, Termination of an eBond by Filing
Identification Number, and Email Address Correction: 80 FR 899 (January
7, 2015).
Modification of National Customs Automation Program (NCAP)
Test Concerning Automated Commercial Environment (ACE) Document Image
System Relating to Animal and Plant Health Inspection Service (APHIS)
Document Submissions: 80 FR 5126 (January 30, 2015).
Modification of National Customs Automation Program (NCAP)
Test Concerning the use of Partner Government Agency Message Set
through the Automated Commercial Environment (ACE) for the Submission
of Certain Data Required by the Environmental Protection Agency (EPA):
80 FR 6098 (February 4, 2015).
Announcement of Modification of ACE Cargo Release Test to
Permit the Combined Filing of Cargo Release and Importer Security
Filing (ISF) Data: 80 FR 7487 (February 10, 2015).
Modification of NCAP Test Concerning ACE Cargo Release for
Type 03 Entries and Advanced Capabilities for Truck Carriers: 80 FR
16414 (March 27, 2015).
Automated Commercial Environment (ACE) Export Manifest for
Air Cargo Test: 80 FR 39790 (July 10, 2015).
National Customs Automation Program (NCAP) Concerning
Remote Location Filing Entry Procedures in the Automated Commercial
Environment (ACE) and the Use of the Document Image System for the
Submission of Invoices and the Use of eBonds for the Transmission of
Single Transaction Bonds: 80 FR 40079 (July 13, 2015).
Modification of National Customs Automation Program (NCAP)
Test Concerning the Automated Commercial Environment (ACE) Partner
Government Agency (PGA) Message Set Regarding Types of Transportation
Modes and Certain Data Required by the National Highway Traffic Safety
Administration (NHTSA): 80 FR 47938 (August 10, 2015).
Automated Commercial Environment (ACE) Export Manifest for
Vessel Cargo Test: 80 FR 50644 (August 20, 2015).
Modification of National Customs Automation Program (NCAP)
Test Concerning the Submission of Certain Data Required by the Food and
Drug Administration (FDA) Using the Partner Government Agency Message
Set through the Automated Commercial Environment (ACE): 80 FR 52051
(August 27, 2015).
Automated Commercial Environment (ACE) Export Manifest for
Rail Cargo Test: 80 FR 54305 (September 9, 2015).
Modification of the National Customs Automation Program
(NCAP) Test Concerning the Automated Commercial Environment (ACE)
Document Image System (DIS) Regarding Future Updates and New Method of
Submission of Accepted Documents: 80 FR 62082 (October 15, 2015).
Modification of the National Customs Automation Program
(NCAP) Test Concerning the Automated Commercial Environment (ACE) Cargo
Release for Entry Type 52 and Certain Other Modes of Transportation: 80
FR 63576 (October 20, 2015).
Modification of the National Customs Automation Program
(NCAP) Test Concerning the Automated Commercial Environment (ACE) Entry
Summary, Accounts and Revenue (ESAR) Test of Automated Entry Summary
Types 51 and 52 and Certain Modes of Transportation: 80 FR 63815
(October 21, 2015).
Modification of the National Customs Automation Program
Test Concerning the Automated Commercial Environment Portal Account to
Establish the Exporter Portal Account: 80 FR 63817 (October 21, 2015).
Modification of National Customs Automation Program Test
Concerning the Automated Commercial Environment Partner Government
Agency Message Set Regarding the Toxic Substances Control Act
Certification Required by the Environmental Protection Agency: 81 FR
7133 (February 10, 2016).
Notice Announcing the Automated Commercial Environment
(ACE) as the Sole CBP-Authorized Electronic Data Interchange (EDI)
System for Processing Certain Electronic Entry and Entry Summary
Filings: 81 FR 10264 (February 29, 2016).
Modification of the National Customs Automation Program
(NCAP); Test Concerning the Partner Government Agency Message Set for
Certain Data Required by the Environmental Protection Agency (EPA): 81
FR 13399 (March 14, 2016).
Cessation of National Customs Automation Program (NCAP)
Test Concerning the Submission of Certain Data Required by the Food and
Drug Administration (FDA) Using the Partner Government Agency (PGA)
Message Set Through the Automated Commercial Environment (ACE): 81 FR
18634 (March 31, 2016).
Automated Commercial Environment (ACE); Announcement of
National Customs Automation Program Test of the In-Transit Manifest
Pilot Program: 81 FR 24837 (April 27, 2016).
Announcement of National Customs Automation Program (NCAP)
Test Concerning the Submission through the Automated Commercial
Environment (ACE) of Certain Import
[[Page 2389]]
Data and Documents Required by the U.S. Fish and Wildlife Service: 81
FR 27149 (May 5, 2016).
Notice Announcing the Automated Commercial Environment
(ACE) as the Sole CBP-Authorized Electronic Data Interchange (EDI)
System for Processing Certain Electronic Entry and Entry Summary
Filings Accompanied by Food and Drug Administration (FDA) Data: 81 FR
30320 (May 16, 2016).
Notice Announcing the Automated Commercial Environment
(ACE) as the Sole CBP-Authorized Electronic Data Interchange (EDI)
System for Processing Electronic Entry and Entry Summary Filings: 81 FR
32339 (May 23, 2016).
Notice Announcing the Automated Commercial Environment
(ACE) Protest Module as the Sole CBP-Authorized Method for Filing
Electronic Protests: 81 FR 49685 (July 28, 2016).
Modification of the National Customs Automation Program
(NCAP) Test Concerning the Automated Commercial Environment (ACE)
Portal Accounts to Establish the Protest Filer Account and
Clarification that the Terms and Conditions for Account Access Apply to
all ACE Portal Accounts: 81 FR 52453 (August 8, 2016).
National Customs Automation Program (NCAP) Test Concerning
Electronic Filing of Protests in the Automated Commercial Environment
(ACE): 81 FR 53497 (August 12, 2016).
Modification of the National Customs Automation Program
(NCAP) Test Regarding Reconciliation and Transition of the Test From
the Automated Commercial System to the Automated Commercial Environment
(ACE): 81 FR 89486 (December 12, 2016).
Modification and Clarification of the National Customs
Automation Program (NCAP) Test Regarding Post-Summary Corrections and
Periodic Monthly Statements: 81 FR 89482 (December 12, 2016).
Effective Date for the Automated Commercial Environment
(ACE) Being the Sole CBP-Authorized Electronic Data Interchange (EDI)
System for Processing Electronic Drawback and Duty Deferral Entry and
Entry Summary Filings: 81 FR 89486 (December 12, 2016).
Dated: January 4, 2017.
Brenda B. Smith,
Executive Assistant Commissioner, Office of Trade.
[FR Doc. 2017-00128 Filed 1-6-17; 8:45 am]
BILLING CODE 9111-14-P