U.S. Customs and Border Protection (CBP) has significantly increased its use of Requests for Information (CF28) and Notices of Action (CF29) to enforce compliance with import regulations. This trend highlights the importance of maintaining accurate records and responding promptly to CBP communications. Below is an overview of these forms, their implications, and best practices for importers.
ACE account maintenance
CBP communicates key compliance actions, including CF28s and CF29s, through the Automated Commercial Environment (ACE) portal. Proper ACE account management is essential for:
• Prompt receipt of CBP communications
• Timely responses to requests and notices
• Avoiding missed deadlines or enforcement actions
To ensure accuracy, importers should regularly update their ACE account information and coordinate with their customs broker(s).
CBP form 28 (CF28): Request for information
A CF28 is issued when CBP requires additional details about an entry. Common triggers include:
• Classification discrepancies
• Valuation or quantity clarifications
• Country of origin verification
• Trade program eligibility or PGA-related data•
Key considerations: Researched and well-supported positions that are consistently applied, thoroughly documented, and thoughtfully articulated help resolve CBP inquiries promptly. rrors, inaccuracies, or omissions risk further escalating enforcement actions.
CBP form 29 (CF29): Notice of action
A CF29 notifies importers of CBP’s proposed or completed actions, such as changes to classification, value, or duty rates. This form often signals that CBP has identified an entry error.
Steps to take:
• Review CBP’s findings and assess potential duty and compliance impacts.
• Consider response options, including:
– Accepting CBP’s action
– Submitting a rebuttal for proposed actions
– Filing a Post-Summary Correction (PSC) or protest, if applicable
Compliance strategies for increased CBP enforcement
CBP’s enhanced use of data analytics has led to more frequent and targeted enforcement actions. Importers should adopt proactive compliance measures to mitigate risks:
- Monitor ACE accounts daily: Ensure account information is current and review communications promptly.
- Prepare thorough responses: Responses to CF28s and CF29s should be well-documented and supported.
- Engage experts: Consult with trade experts, such as customs brokers or legal professionals, to navigate complex compliance issues.
- Preserve records: Maintain detailed records to support responses and comply with retention requirements.
Recommendations for importers
To best prepare for CBP’s intensified scrutiny, importers should:
• Regularly review and update ACE account settings, including communication preferences.
• Respond to CBP requests within deadlines, providing complete and accurate documentation.
• Retain all records related to entries and responses.
• Seek professional guidance when handling CBP communications to avoid missteps that could lead to penalties.
By implementing these strategies, importers can reduce the risk of enforcement actions and maintain compliance with CBP regulations.