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Lapse in Federal Funding Impact on CBP Website Operations Notice

NOTICE: Due to the lapse in federal funding, this website will not be actively managed. This website was last updated on December 21, 2018 and will not be updated until after funding is enacted. As such, information on this website may not be up to date. Transactions submitted via this website might not be processed and we will not be able to respond to inquiries until after appropriations are enacted.

 

Aviso del impacto de la interrupción de fondos federales en las operaciones del sitio web del Oficina de Aduanas y Protección Fronteriza de los Estados Unidos (CBP, por sus siglas en inglés)

AVISO:  A causa de la interrupción de fondos federales, este sitio de web no será administrado activamente. La última actualización a este sitio web se realizó el 21 de diciembre de 2018 y no se harán más actualizaciones hasta que el gobierno reanude operaciones; por ende, puede que el sitio web no refleje la información más reciente. Es posible que no podamos procesar transacciones ni responder a
preguntas hasta que se reanuden operaciones.

Drawback Claims Filed on Goods Subject to Chile Free Trade Agreement

Issued: November 20, 2012

As a result of the U.S. - Chile Free Trade Agreement, drawback claims made on goods exported to Chile after January 1, 2012 are subject to special treatment as described in 19 U.S.C. 1313(j)(4)(B) and 1313(n). U.S. duty drawback on exportations to Chile will be gradually phased out starting January 1, 2012 for the following types of drawback:

Manufacturing - 1313(a) and 1313(b)
Substitution Unused Merchandise- 1313(j)(2)
Substitution of Finished Petroleum Derivatives - 1313(p)
Packaging Material - 1313(q)

The phase-out in duty drawback is as follows:

Exportations from Jan 1, 2012 - Dec. 31, 2012 are reduced to 75% of eligible drawback
Exportations from Jan 1, 2013 - Dec. 31, 2013 are reduced to 50% of eligible drawback
Exportations from Jan 1, 2014 - Dec. 31, 2014 are reduced to 25% of eligible drawback
Exportations on or after Jan 1, 2015 are reduced to zero drawback

Please note that unused merchandise direct identification drawback 1313(j)(1) remains eligible for drawback and is not subject to the free trade agreement reductions.

Filing Instructions

1. Drawback claims involving goods exported to Chile must be submitted separately from all other types of drawback claims and should be marked "Chile FTA" in conspicuous letters on the top of the first page or the front of the folder.

2. ABI claims should be transmitted at the calculated amount (original duty amount prior to the reduction).

3. The total drawback claimed on the CBP 7551 should be the reduced duty/fee amount.

4. The calculation worksheet must include a column representing the calculated duty/fees (amount before the duty reduction) and a column with the actual duty/fees claimed (amount after the duty/fee reduction):

  • 99% of duty on the ABI transmission
    75% of duty and fees on the 7551 (or applicable duty reduction based on year)
    75% (for 2012 claims) and 99% of duty and fees on the calculation worksheet and coding sheet

Source Document: Memorandum From: Acting Executive Director, Trade Policy and Programs Office of Trade
Titled: INFO: Drawback Claims Filed on Goods Subject to Chile Free Trade Agreement
Dated: November 20, 2012

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Last modified: 
October 25, 2018
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