ISF Details for Carnet Goods Returning by Ocean

Deadline: End of ISF Trial Period - Penalties Begin Jan 26, 2010

The deadline for the Importer Security Filing (ISF)* implementation of penalties is January 26th, 2010. As of that date, CBP may impose penalties on importers, including carnet holders, that do not complete the Importer Security Filing or file it improperly. Only inbound carnet goods returning to the U.S. are affected by this security ruling. The ISF has been required since January of 2009 however no penalties were imposed during that one-year period.

*The Importer Security Filing is also known as 10+2.

Carnets Exempt from Filing ISF Bond

There are two parts to the filing process: 1) the ISF and 2) the ISF bond. Carnet users do not have to file the bond. They are exempt according to CBP. However, carnet users with carnet goods returning to the U.S. by ocean must still file the ISF. Boomerang carnets® has carnet ISF services available for a nominal fee. Please contact the boomerang carnets®, Carnet HelpLine® at (800) ATA-2900 to discuss your needs with a Carnet Customer Service and Sales Representative.

The Required Information for the ISF

The majority of the information needed to complete the ISF can be found on the carnet or may be available from the U.S. customs broker filing the import entry. However, the required 6-digit HTSUS code is not on the carnet.

CBP has modified its computer system to accept nine types of coded transactions, of which Carnet is 06. Below is more detail on how to complete an ISF for Carnet goods.

• Requirements 1–4 “Importer of record, consignee, buyer or owner, and seller or owner.” The holder name as listed in Box A of the Carnet will meet CBP requirements.
• Requirement 5 “Ship to parties or to whom the goods are going.” This can be a trade show, a customer, a warehouse or the holder.
• Requirement 6 “Manufacturer and last foreign address” for carnet purposes means the owner of the goods which is the holder. Also provide an address where the goods were last located, for example a trade show, job site or client offices.
• Requirement 7 “Country of origin” for carnet purposes this means the places where the carnet and the goods have visited. The customs stamps on the Carnet counterfoils should be sufficient to determine which countries were visited.
• Requirement “HTS code.” A licensed broker must classify the goods to the 6 digit level.
• Requirement 9 “Consolidator.” The entity/person who packed the container prior to departure. This name should be known to the broker or freight forwarder.
• Requirement 10 “Location where the consolidator packed the container.” Once again this is information that should be readily available to the broker or freight forwarder.

The additional 2 data requirements will be provided by the vessel operator and are not specific to each individual shipment.

U.S. CBP will impose penalties for breaches of 10+2 filing starting January 26th, 2010. For further information on mitigation guidelines on the liquidated damages and penalties please go to page 29 of the following PDF document published by U.S. CBP.

For more information or guidance please contact a Customer Service and Sales Representative at (800) ATA-2900.