Image courtesy Port Tampa Bay
Image courtesy Port Tampa Bay
Compliance
It's on you.
It is important to understand that the responsibility of Customs Compliance rests solely with the importer.
Under the law, the Importer of record is ultimately responsible for the accuracy of the entry documentation and all applicable duties, taxes and fees. While you may have successfully partnered with a forwarder or broker to effectively and efficiently move your goods, only the expertise of a Licensed Customs Broker or Customs attorney should be trusted to properly interpret and accurately apply U.S. Customs Regulations and correctly classify imported merchandise.
If you are an importer, employing an in-house compliance team or third party compliance company demonstrates Reasonable Care as defined by the Customs Modernization Act of 1993. Compliance is not met but maintained. There is no permanence to meeting compliance as hundreds of binding rulings are added weekly. A Licensed Customs Broker stays current with the changing opinion of Customs and can advise how such changes affect published rulings when they are modified or revoked. What was once compliant last year may not be the case today.
Misclassification, whether or not resulting in a change in duty rate, will ultimately count against you. Hire Leonard Trade Consulting to perform an Import Compliance Review for when, not if, Customs conducts a Focused Assessment on your company. Contact us today.
"If you think compliance is expensive …
try non-compliance.”
try non-compliance.”
— Former Deputy US Attorney General Paul McNulty
Minimize your risk of noncompliance:
! Delays in cargo
! Massive Federal fines
! Costly penalties
! Seizure of goods
! Expensive government mandate for corrective action plan
! Unflaterring exposure
Maximum Penalty WITHOUT Prior Disclosure
Maximum Penalty WITH Prior Disclosure
Fraud
Domestic Value of the merchandise
Loss -- One times the loss of duties, taxes and fees
No Loss - 10 percent of the dutiable value of the merchandise
Gross Negligence
Loss -- The lesser of the domestic value of the merchandise or four times the loss of duties, taxes and fees
No Loss - 40 percent of the dutiable value of the merchandise
The interest on any loss of duties, taxes and fees. The interest shall be computed from the date of liquidation
Negligence
Loss -- The lesser of the domestic value of the merchandise or two times the loss of duties, taxes and fees
No Loss - 20 percent of the dutiable value of the merchandise
The interest on any loss of duties, taxes and fees. The interest shall be computed from the date of liquidation
Maximum Penalty WITHOUT Prior Disclosure
Fraud: Domestic Value of the merchandise
Gross Negligence:
Loss -- The lesser of the domestic value of the merchandise or four times the loss of duties, taxes and fees
No Loss - 40 percent of the dutiable value of the merchandise
Negligence:
Loss -- The lesser of the domestic value of the merchandise or two times the loss of duties, taxes and fees
No Loss - 20 percent of the dutiable value of the merchandise
Maximum Penalty WITH Prior Disclosure
Fraud:
Loss -- One times the loss of duties, taxes and fees
No Loss - 10 percent of the dutiable value of the merchandise
Gross Negligence:
The interest on any loss of duties, taxes and fees. The interest shall be computed from the date of liquidation
Negligence:
The interest on any loss of duties, taxes and fees. The interest shall be computed from the date of liquidation
Fraud - voluntarily and intentionally
Gross Negligence - with actual knowledge or wanton disregard
Negligence - fails to exercise reasonable care
ref. 19 cfr 162.73
ACCREDITATIONS & AFFILIATIONS
© 2016 Leonard Trade Consulting, LLC. All rights reserved. • Privacy Policy • Website design by JLG&A
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ACCREDITATIONS & AFFILIATIONS
© 2016 Leonard Trade Consulting, LLC. All rights reserved. • Privacy Policy
Website design by JLG&A