CBP Said to Be Considering Extensions for Duty Payments
CBP is looking at allowing extensions for duty payments in light of the ongoing response activities related to the COVID-19 pandemic, the National Customs Brokers & Forwarders Association of America said in a March 19 email, following an industry update call with CBP. The NCBFAA and other industry members recently suggested in a letter that CBP consider such extensions, it said. “CBP understands the major impact this could have and is currently researching to see if the plan is feasible,” the NCBFAA said. “In the meantime, CBP is considering case-by-case deferrals.“
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The NCBFAA said in a subsequent email that CBP “is accepting requests for duty-payment extensions” and that “interested parties should send requests to Director Randy Mitchell by email at randy.mitchell@cbp.dhs.gov.” The agency “expects to issue a Federal Register notice in the immediate future with details on a longer-term, broader extension policy,“ the NCBFAA said.
CBP confirmed the new policy in a March 20 CSMS message. The agency “will approve on a case by case basis additional days for payment of estimated duties, taxes and fees due to this emergency” and will provide more information soon, it said. “CBP has confirmed that the March 20, 2020 debit authorizations for the Periodic Monthly Statements and the daily statements have been transmitted to the Department of Treasury. Please work directly with your financial institution if you wish to prevent these funds from being withdrawn.”
Geodis said in a March 20 email that CBP was considering “granting a ninety-day extension of duty payments” and is reviewing its authorities to allow for such extensions. “As of today, lacking specific individual permissions, duty and related obligations remain in place,” the company said. At first, such “relief would be for importers having duty payments due in the next week; if broader CBP issued extensions are not granted, we will pursue additional case-by-case requests,” the company said.
CBP said it is considering multiple options. “CBP has been in continuous communication and discussions with trade stakeholders on ways to ensure the continuation of legitimate international trade,” a CBP spokeswoman said. “The President has been very clear that keeping trade lanes open is a top priority during this time. The agency is exploring various options to make sure our trade partners can continue operations, and will provide more information as it's available.”
CBP is also reviewing a list provided by industry “of obligations, deadlines and the like which may be difficult for trade to meet due to current business disruptions,” Geodis said. “CBP is looking at their authorities to waive or extend requirements and more information will be out in the coming days.” The agency already said it would give more time to comply with bond insufficiency issues (see 2003190040).