“A bill to amend the Tariff Act of 1930 to impose additional requirements with respect to importers of record, and for other purposes.”
No CRS summary available for this bill.
This section establishes requirements for the importer of record (i.e., the party responsible under 19 U.S.C. 1484 for filing entry documentation using reasonable care, enabling release of merchandise from customs custody, declaring value and classification, and ensuring proper duty assessment and legal compliance) to be (1) eligible and participating in filing required documentation or information and (2) either an individual who is a U.S. citizen or alien lawfully admitted for permanent residence or an entity with (I) a physical U.S. location (i.e., street address for substantive operations with employees, excluding shared spaces, agent addresses, or mail drops unless permanently occupied) and at least one U.S. citizen or permanent resident owner or full-time employee (i.e., per IRS Form W-2 full-time status and employed by only one importer-of-record entity); (II) organization under the laws of Canada, Australia, or a covered country (i.e., one with substantially equivalent importer requirements and equal access for U.S. qualifiers, as determined by the U.S. Trade Representative); or (III) an affiliate (i.e., under common control via >50% ownership) of a U.S. entity in continuous operation for ≥3 years with ≥1,500 U.S. full-time employees, ≥$1 million in annual U.S. gross receipts or assets, and CBP certification for joint liability as agent for service of process. (Thus, foreign entities with a qualifying U.S. subsidiary must use the subsidiary or another qualifying entity as importer of record; individuals generally may not serve multiple entities except for certain customs brokers designated by express consignment operators.) The section further (1) prohibits individuals from serving as importer of record for >1 entity (with exceptions), (2) defines key terms including "affiliate," "control," "covered country," "full-time employee," and "physical location," (3) directs the Commissioner of U.S. Customs and Border Protection to prescribe regulations within 360 days of enactment—specifying verification measures using CBP investigative tools (without relying on brokers or sureties) and penalties for omissions or false statements—and (4) applies these requirements to importers of record on or after one year post-enactment.
This section amends Section 484(a) of the Tariff Act of 1930 (19 U.S.C. 1484(a)) to require the importer of record to pay directly to U.S. Customs and Border Protection (CBP) all duties, taxes, and fees assessed on entered merchandise. It establishes requirements for such payments, including (1) electronic funds transfer from a deposit account at a depository institution (i.e., a bank or savings association, as defined in 12 U.S.C. 1813) chartered or authorized to do business in the United States, held in the importer's legal name or that of a verified U.S.-organized entity wholly or majority-owned by the importer, and verified by the institution under anti-money-laundering customer identification rules; (2) pre-entry provision to CBP of account and routing numbers, institution name, and bank attestation of compliance; (3) bank confirmation of account holder identity to CBP upon request; and (4) CBP prohibition on accepting payments from non-importers (except sureties or brokers), non-electronically, or from non-compliant accounts. The amendments apply to articles entered on or after the date that is one year after enactment.
This section requires the Commissioner of U.S. Customs and Border Protection (CBP) to ensure that importers of record using continuous import bonds maintain such a bond of at least $100,000 in the importer's name for entry purposes, with the requirement applying (1) to new bonds issued 60 days after enactment, (2) to renewed bonds 360 days after enactment, and (3) to existing insufficient bonds 60 days after enactment. It further prohibits customs brokers from using their own bond for client entries unless acting as the importer of record. As an exception, qualifying express consignment operators or carriers (i.e., those organized under U.S. law, with significant U.S. physical presence, employing at least 300,000 persons in the U.S., and designating wholly owned licensed customs brokers) may use a designated broker's bond, subject to CBP regulations.