CBP Changes PEA to PSC When Using ACE

U.S. Customs and Border Protection (CBP) recently announced a new National Customs Automation Program Test regarding ACE Entry Summary, Accounts & Revenue (ESTR IV) capabilities. Importantly, under the ESAR IV test, CBP will permit importers to file post-entry corrections of specific type of ACE entry summaries prior to liquidation. Those participating in the test will be able to submit a PSC for existing ACE formal (type 01) entries and Antidumping/Countervailing (type 03) entries.

CBP has explained that such post-summary corrections (PSCs) replaces the Post-Entry Amendment (PEA) procedures currently used by importers to amend entry summaries prior to liquidation, which had permitted an importer to file an individual amendment letter or a quarterly tracking report covering certain errors. As of Sept. 22, 2011, CBP will stop accepting PEAs to correct entry summaries filed under ACE.

CBP has explained that if an importer must make a post-summary correction, the PSC filed through ABI should contain all of the data elements in the original entry summary. It will constitute a complete replacement of that entry summary, or any prior PSCs to that original entry summary. The PSC will be processed through all existing validations including Census warnings. Thus, one who files a PSC is conducting “customs business” as defined in 19 C.F.R. § 111.1.

Those ACE Portal Account owners who have the ability to select “portal” as their mode of communication will also have the ability to customize PSC data elements on the ACE entry summary, permitting further customization of existing entry summary reports. Such additional PSC data elements include PSC indicator, PSC filer, PSC reason codes at both the header and line level and an accelerated liquidation request indicator.

CBP has provided the following list of criteria that an importer needs to meet to file a PSC on an existing ACE entry type 01 or 03:

• The entry summary to be amended must not be liquidated.
• Duty must have been fully paid on the entry or be revenue free.
• If duty is owed because of the PSC, it must be deposited at time of filing PSC.
• The entry summary must be in “accepted status,” meaning it passed all technical edits and validations by CBP and Census.
• The entry summary must be in CBP control.
• The PSC must be transmitted within 270 days of date of entry.
• The PSC cannot be filed within 20 calendar days of the scheduled liquidation date of the entry summary.
• The entry summary cannot be under CBP review.
• The entry summary that has been flagged for reconciliation may only be corrected by a PSC that does not affect the flagged issue.
• A text explanation and at least one reason code are required for each PSC.
• An unlimited number of PSCs may be filed for any one entry, provided all the above criteria are met.

There are a number of data elements that may not be changed via the filing of a PSC, including:

• A type 03 entry (AD/CVD) may not be changed into a type 01 entry
• Importer of record
• Consolidated summary indicator
• District/port of entry
• Cargo release certification request indicator
• Live entry indicator
• NAFTA indicator
• Reconciliation issue code
• Preliminary statement print date
• Periodic statement month
• Statement client branch identifier
• Location of goods code
• Any release detail, e.g., release entry filer code, release entry number)

PSC cannot be filed in place of a prior disclosure, which are still to be filed according to 19 C.F.R.§ 162.74. More information can be found at 76 Fed. Reg. 37136 (June 24, 2011).

Trade Terms Tuesday

Welcome to Trade Terms Tuesday! Each Tuesday, we will share three trade-related terms. In order to reach out to our diverse readership, we will try to provide one for exports, one for imports and one for logistics/transportation. This week, we continue with the P’s.


Proof of Delivery (P.O.D.)
Issued by the carrier, the proof of delivery confirms the time of delivery, full delivery address, and the name and signature of the person who accepted a shipment.

Post Entry Amendment (PEA)
The Post Entry Amendment is a program designed by CBP to allow importers to make corrections to entries (other than informal entries) prior to liquidation by filing a quarterly tracking report (QTR) for certain errors or an individual amendment letter if the error is excluded from filing on the QTR.

Proliferation

Proliferation is defined as “a rapid increase in number.” For purposes of export control it refers specifically to a rapid increase in the number of deadly weapons known as weapons of mass destruction (WMD). Weapons of mass destruction are weapons that can produce devastating results when delivered in a single strike. They include nuclear, chemical, and biological weapons.