Drawback

Questions and answers about  Drawback

  • Substitution drawback on reciprocal tariffs

    Question: CBP allows drawback of reciprocal duties.  But can that be substitution drawback?  And if so, which duty rate can we draw back?  For the EU, it was 20% for a while, but is now 15%.  Can we arbitrarily elect to draw back 20% in substitution drawback? Answer 1: Under 1313(j)(2), Unused Substitution, you can […]

  • Looking for a consultant to help with a specific manufacturing drawback ruling filing

    Question: We are based in Clearwater, Florida.  We sell two industrial chemicals on behalf of our South African supplier.  One of the chemicals is furfural.  It represents most of our sales revenue. Our furfural imports from South Africa are currently subject to the reciprocal tariffs.  The tariff is 30%.  Hopefully, the Supreme Court invalidates the […]

  • Shipment is fired after customs release.

    Question: A shipment is customs released.  However, the shipment has car accident, fired, total destructed on the way of delivery to customer.We have not paid duties yet. Do we still need to pay duties or how to process?  Asked by: Sunny Song – lsong@tlinklogistics.com Answer 1: Yes, you pay them as the cargo was released […]

  • Any self-filers of drawback?

    Question: I’m curious to know if any members currently self-file their drawback claims. If so, I’d appreciate your insights on: Advantages and disadvantages of self-filing versus using a third-party provider Tools you use to manage the process Answer 1: Recommend always 3rd party. They know the specific ins and outs and have the tools and […]

  • Duty Drawback

    Question: We provide duty drawback services. Our drawback customer (A) is running into a situation with their customer (B) where they will not share export information because they claim there is sensitive information that they do not feel comfortable sharing with them to file for drawback. Should we, as the drawback service provider serve as […]

  • Drawback and Waiver

    Question: We are applying for drawback.  FedEx is the importer of record and we are listed as the consignee on the CBP7501. CBP is requesting we obtain a statement/transfer document from FedEx providing us with rights to merchandise. FedEx is pushing back on providing a statement/transfer document. Any recommendations are greatly appreciated! Answer 1: Don’t […]

  • Same Condition Drawback

    Question: Same Condition Drawback Say I import swabs (HTS 3926) from Thailand and pay 5% duty. I later export these same Thai swabs to Mexico in the same condition as imported. The swabs will be included as part of a kit (the swabs are not enhanced or altered). The kit is a reagent kit (COVID […]

  • Duty Drawback Foreign Importer of Record

    Question: We have a foreign importer, located in Mexico that is requesting to submit a privilege application for duty drawback. They have a custom assigned number and an importer bond. They import from Europe to a fabricator in the US pay duty/tax. Once the fabrication is complete, it is then exported to FIOR in Mexico […]

  • Duty Drawback

    Question: Duty Drawback Privilege application, Question 16. Description of claimant’s drawback program.  A description with sample documents of how the applicant will ensure compliance with its certification that the statutory and regulatory drawback requirements will be met. The detail contained in this description may vary depending on the size and complexity of the applicant’s accelerated […]

  • Duty Drawback

    Question: I am considering applying to our company to participate in a duty drawback program.  This would include unused, manufactured, and unused destroyed.   I would like to gain insight from companies that have recently initiated a duty drawback program, including their experiences, challenges, and any blind spots they encountered.  Did they use a consultant or […]

  • Duty Drawback

    Question: We are submitting a privilege application and have a question. The application asks for our inventory method, which is direct identification, we do not use FIFO, LIFO, etc., but track by item/lot number through the supply chain. It also asks for sample documents, import and export. Does anyone know if CBP would prefer if […]

  • Duty Drawback 101

    Question: Looking for beginner steps for starting a duty drawback program. What is the mapping for the process, application process, ruling process, etc……………… Can a Self-filer file their own claims through ACE. Currently ACE Account Self0filer – Importer – Exporter. Self-file through a 3rd Party so have access to the import data to file claims […]