• To : Automated Broker Interface
Subject: NAFTA RECONCILIATIONS
TO : ALL ABI BROKERS.                                                     

FROM : MARIA NAVARRETE                                                    

SUBJECT : NAFTA RECONCILIATIONS                                           

DATE : 12/15/1999                                                         

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 SPECIAL NOTICE TO ACS RECONCILIATION PROTOTYPE PARTICIPANTS              

 THE FILING OF NAFTA RECONCILIATIONS IS NOW OPTIONAL.  A FEDERAL          
 NOTICE WILL SOON BE PUBLISHED ANNOUNCING THIS CHANGE.                    
 WHEN AN ENTRY SUMMARY IS FLAGGED FOR THE ISSUE OF NAFTA                  
 ELIGIBILITY, IT MEANS THAT THE IMPORTER MAY MAKE POST-IMPORTATION        
 NAFTA CLAIMS VIA A RECONCILIATION AGAINST THAT ENTRY.  IF NO             
 SUCH NAFTA RECONCILIATION IS RECEIVED PRIOR TO THE 12-MONTH DEADLINE,    
 IT SIMPLY MEANS NO 520(D) CLAIM WILL EVER BE MADE.  IN  THIS             
 SITUATION, UNLIKE THE OTHER RECONCILIATION ISSUES, CUSTOMS IS NOT        
 HARMED BY THE NON-FILING OF THE RECONCILIATION.                          

 FOR  THIS REASON, AND TO REDUCE THE BURDEN FOR CUSTOMS AND THE TRADE,    
 WE HAVE MADE THE FILING OF NAFTA RECONCILIATIONS OPTIONAL. IMPORTERS     
 NEED ONLY FILE A NAFTA RECONCILIATION WHEN IT IS BEING USED TO           
 MAKE A POST-IMPORTATION NAFTA CLAIM IN ACCORDANCE WITH 19USC1520(D).     

 NO HARM WILL COME TO IMPORTERS WHO DO NOT RECONCILE THE NAFTA            
 ISSUE ON THEIR  ENTRY SUMMARIES.  AN  ENTRY SUMMARY FLAGGED FOR          
 NAFTA ELIGIBILITY MAY  NOT  BE COVERED BY  A NAFTA RECONCILIATION        
 AFTER THE NAFTA RECON DUE DATE FOR THAT SUMMARY HAS PASSED.              

 THERE IS ONE TEMPORARY INCONVENIENCE ASSOCIATED WITH THIS CHANGE:        
 ENTRIES WITH OPEN RECONCILIATION FLAGS REMAIN INELIGIBLE FOR DRAWBACK.   
 CUSTOMS IS  WORKING ON A MECHANISM TO SYSTEMATICALLY CLOSE ANY OPEN      
 NAFTA FLAGS MORE THAN 12 MONTHS OLD, WHICH WILL ENABLE DRAWBACK ON  ALL  
 SUCH ENTRY SUMMARIES.  THIS CAPABILITY IS ANTICIPATED TO BE IN PLACE     
 BY SPRING 2000, AT WHICH TIME DRAWBACK CLAIMS WOULD BE ACCEPTED.         
 IMPORTERS STILL HAVE THE RIGHT TO FILE TIMELY NAFTA RECONCILIATIONS,     
 WITH OR WITHOUT NAFTA CLAIMS, WHICH WILL IMMEDIATELY ENABLE DRAWBACK.    

 INTERESTED  PARTIES  ARE  REMINDED  THAT RECONCILIATIONS FOR  ALL OTHER  
 ISSUES ARE STILL REQUIRED, AND FAILURE TO FILE THESE RECONCILIATION      
 TIMELY  WILL  SUBJECT  THE IMPORTER TO LIQUIDATED DAMAGES CLAIMS.        

 QUESTIONS REGARDING THIS MESSAGE, OR THE RECONCILIATION PROTOTYPE IN     
 GENERAL MAY BE DIRECTED TO DON LUTHER AT (202) 927-0915 OR SHARI MCCANN  
 AT (202) 927-1106.  INFORMATION IS ALSO AVAILABLE ON THE CUSTOMS INTERNET
 WEB SITE AT WWW.CUSTOMS.GOV/RECON