CBP Issues Instructions re: Post-Importation Preference Program Claims with a Classification Change

On June 23, 2011, U.S. Customs and Border Protection (CBP) issued instructions for the trade community regarding post-importation preference program claims under 19 U.S.C. § 1520(d) that involve a tariff classification change. 

The instructions provide that if a preference claim is not made at the time of importation, post-importation preference claims can be made within one year from the date of importation. This statutory provision does not allow for other changes and/or amendments to an entry summary, therefore importers and brokers must use existing regulatory provisions to make corrections to an entry summary. 

CBP instructions also state that, "when a post-importation preference program claim under 19 USC 1520(d) is presented on an unliquidated entry which also requires a Harmonized Tariff Schedule of the United States (HTSUS) classification change, the tariff change should be presented as a Post Entry Amendment (PEA) or Post Summary Correction (PSC) in the Automated Commercial Environment (ACE), simultaneously with the 520(d) submission."

PSC functionality was deployed in ACE effective June 4, 2011.  Therefore, 520(d) claims should reference any PSC filed in ACE to ensure any classification changes are taken into account prior to the processing of the 520(d).  For ACE entry summaries importers or filers should also add language to the PSC Filing Explanation Record that confirms the filing of the 520(d) claim.

When a post-importation preference program claim under 19 USC 1520(d) is presented on a liquidated entry which also requires a HTSUS classification change, the tariff change should be presented as a 19 USC 1514, protest, simultaneously with the 520(d) submission."