CBLE flashcards

32 cards. Read the term and the definition here. The deck at the top of this page is optional.

Broker triennial status report

Every three years a licensed customs broker must file a status report with CBP by February 1 and pay the $100 fee; failure to file is a ground for suspension or revocation (19 CFR 111.30(d)).

Broker exam passing score

An applicant must score at least 75 percent on CBP's written customs broker licensing examination to be eligible for an individual broker's license (19 CFR 111.13).

Responsible supervision and control

The 19 CFR 111.28 standard requiring a licensed broker to supervise employees who transact customs business, provide adequate training, and maintain internal controls over filings made on clients' behalf.

Broker record retention period

Brokers must keep records of customs business transactions for five years from the date of the transaction and must make those records available to CBP upon request (19 CFR 111.23).

Entry summary filing deadline

CBP Form 7501, with deposit of estimated duties, taxes, and fees, must be filed within 10 working days after the entry is filed or the merchandise is released (19 CFR 142.3).

Continuous bond minimum amount

A continuous customs bond must be at least $50,000 and at least 10 percent of the duties, taxes, and fees paid during the preceding calendar year, whichever is greater (19 CFR 113.13).

Right to make entry

Entry may be made by the owner, purchaser, consignee named in the bill of lading, or a licensed customs broker acting under a valid power of attorney from that party (19 CFR 141.11-141.18).

General order merchandise

Merchandise not entered within 15 calendar days after arrival is sent to a general order warehouse and may be sold at public auction if not entered within six months.

GRI 3(b) essential character

When goods are prima facie classifiable under two or more headings, GRI 3(b) classifies them according to the component or material that gives the goods their essential character.

GRI 6 subheading comparison

GRI 6 applies GRIs 1 through 5 at the subheading level, comparing only subheadings at the same level, and legal notes for the subheading level apply accordingly.

Additional U.S. Rule 1(a)

A tariff classification controlled by use other than actual use is determined by the principal use of goods of that class or kind in the United States at or immediately prior to importation.

GRI 2(a) incomplete articles

An incomplete or unfinished article that has the essential character of a complete article is classified as the complete article; unassembled or disassembled articles are treated the same way.

Transaction value components

Transaction value is the price actually paid or payable for the goods, plus packing costs, selling commissions, assists, royalties or license fees, and proceeds of resale (19 CFR 152.103).

Order of valuation methods

The six appraisement methods are applied sequentially: transaction value, identical merchandise, similar merchandise, deductive value, computed value, and the fallback method (19 CFR 152.101-152.107).

Deductive value method

Deductive value starts with the unit price at which the imported goods are resold in the United States and subtracts commissions, profit, general expenses, transport, and duties and taxes.

Assist definition

An assist includes tools, dies, molds, materials, components, and engineering, development, or design work performed outside the United States and supplied free or at reduced cost to the producer.

Liquidation deadline

CBP must liquidate an entry within 314 days after the date of entry unless liquidation is extended or suspended by operation of law (19 CFR 159.12).

Deemed liquidation

If CBP fails to liquidate an entry within one year after entry or after a final decision on a matter, the entry is deemed liquidated at the rate and value asserted by the importer (19 U.S.C. 1504).

Drawback refund percentage

For drawback claims filed on or after February 24, 2019, CBP refunds 99 percent of the duties, taxes, and fees paid on the imported merchandise that is exported or destroyed (19 U.S.C. 1313).

Drawback claim deadline

A complete drawback claim must be filed within five years after the date on which the merchandise was imported into the United States (19 CFR 190.11).

Privileged foreign status

FTZ merchandise given privileged foreign status is classified and appraised at the time of admission, so duty is fixed then even if the goods are later manipulated inside the zone.

Zone-restricted merchandise

Zone-restricted status is granted to merchandise intended solely for exportation, destruction, or certain zone handling, so no duty is owed when the status is properly maintained (19 CFR 146.44).

USMCA certification of origin

USMCA preference claims rest on a written certification of origin completed by the importer, exporter, or producer; no prescribed form exists and supporting records must be kept five years.

Section 9802 repair duty

Under HTSUS 9802.00.40, 9802.00.50, and 9802.00.60, articles returned after repair, alteration, or processing abroad are dutiable only on the value added abroad, not the full value.

Protest filing deadline

A protest must be filed on CBP Form 19 with the port director within 180 days after liquidation, the relevant decision, or a demand for duties (19 U.S.C. 1514).

Application for further review

A protest may include an application for further review under 19 CFR 174.25, requesting that CBP headquarters review the protest before the port director issues a decision.

Binding ruling effect

A binding ruling issued under 19 CFR Part 177 applies prospectively and binds both CBP and the requesting party for the transaction described, provided the facts submitted are accurate and complete.

Section 1592 negligence penalty

A negligent violation of 19 U.S.C. 1592 exposes the violator to a civil penalty of up to 20 percent of the dutiable value of the merchandise involved in the entry.

Prior disclosure

A written prior disclosure made before CBP commences a formal investigation eliminates fraud penalties and limits negligence and gross negligence penalties to payment of interest (19 U.S.C. 1592(c)(4)).

Pre-penalty notice

Before assessing a section 1592 penalty, CBP issues a pre-penalty notice describing the alleged violation and giving the party 30 days to respond (19 CFR 162.77-162.78).

FDA prior notice

Imported food requires an FDA prior notice submission filed no more than 15 calendar days and no later than 24 hours before the merchandise arrives at the U.S. port of entry.

Section 321 de minimis

Shipments valued at $800 or less per person per day may be admitted free of duty and tax with minimal entry documentation under 19 U.S.C. 1321 and 19 CFR 10.151.