CSMS Message: 96-000078

Title:	NAFTA DUTY DEFERRAL 1/1/96
Date:	1996-01-31
To:	abi
Links:	previous, next

TO : ALL ABI BROKERS.

FROM : ANGELA M DOWNEY

SUBJECT : NAFTA DUTY DEFERRAL 1/1/96

DATE : 01/26/96

DATE: JANUARY 26, 1996

FILE: ENT-1-FO:TC:E:C AD

TO : ALL INTERESTED PARTIES

FROM : DIRECTOR, TRADE AGREEMENTS

SUBJECT: CONSOLIDATION - NAFTA DUTY DEFERRAL
INSTRUCTIONS,
IMPLEMENTATION PROCEDURES REQUIRED FOR EXPORTATIONS
INTO CANADA EFFECTIVE JANUARY 1, 1996

THIS COMMUNICATION PROVIDES UPDATED INFORMATION ALONG WITH A
CONSOLIDATION OF THE DETAILED POLICY AND PROCEDURES CONTAINED IN
THE ORIGINAL NOTICE AND THE TWO SUPPLEMENTAL NOTICES ISSUED BY
THE OFFICE OF TRADE COMPLIANCE. THE NOTICES WERE TITLED NAFTA
DUTY DEFERRAL - IMPLEMENTATION PROCEDURES REQUIRED FOR
EXPORTATIONS INTO CANADA EFFECTIVE JANUARY 1, 1996, AND DATED
SEPTEMBER 29, 1995, OCTOBER 23, 1995, AND NOVEMBER 30, 1995.
THESE INSTRUCTIONS ARE FOR IMPLEMENTING THE NAFTA DUTY DEFERRAL
PROGRAM AS IT PERTAINS TO CANADA.

THE REGULATORY PACKAGE FOR IMPLEMENTATION OF THE DUTY DEFERRAL
PROVISIONS WILL BE PUBLISHED IN THE FEDERAL REGISTER ON JANUARY
30, 1996. IN ACCORDANCE WITH THE ATTACHED PROCEDURES, CUSTOMS
WILL REQUIRE THE FILING OF THE NAFTA DUTY DEFERRAL ENTRY AND WILL
COLLECT, REFUND, REDUCE OR WAIVE ANY ASSESSED REGULAR CUSTOMS
DUTIES. CUSTOMS WILL ALSO COLLECT ANTIDUMPING AND COUNTERVAILING
DUTIES ALONG WITH ANY APPLICABLE FEES. HOWEVER, THERE WILL BE NO
REFUND, REDUCTION OR WAIVER OF ANTIDUMPING OR COUNTERVAILING
DUTIES OR ANY APPLICABLE FEES.

PROGRAMMING REQUIREMENTS HAVE NOT BEEN COMPLETED FOR EITHER
CUSTOMS' AUTOMATED COMMERCIAL SYSTEM (ACS) OR THE AUTOMATED
BROKER INTERFACE (ABI). CONSEQUENTLY, ALL ENTRIES WILL REQUIRE
MANUAL FILING.

CONSOLIDATED WEEKLY NAFTA DUTY DEFERRAL CLAIMS WILL BE ALLOWED.
FOR REPORTING PURPOSES, THE DATE OF EXPORT WILL BE THE EARLIEST
CANADIAN DATE OF IMPORT DURING THE CALENDAR WEEK. CONSOLIDATED
MONTHLY NAFTA DUTY DEFERRAL CLAIMS WILL NOT BE IMPLEMENTED UNTIL
PROGRAMMING REQUIREMENTS HAVE BEEN COMPLETED FOR BOTH ACS AND
ABI. FILING OF WEEKLY CLAIMS MUST BE COORDINATED WITH THE
PROCESSING PORT.

SHOULD YOU HAVE QUESTIONS REGARDING THESE PROCEDURES, PLEASE
CONTACT MS. ANGELA DOWNEY, CARGO CONTROL AND ENTRY DIVISION AT
(202) 927-1082 OR MS. CAROL ARGENTINE, TRADE AGREEMENTS DIVISION
AT (202) 927-0021.

JOYCE METZGER

BACKGROUND INFORMATION:

1. NAFTA DUTY DEFERRAL PROVISION

THE DUTY-DEFERRAL PROGRAM UNDER ARTICLE 303 OF THE NAFTA APPLIES
TO GOODS WHICH ARE IMPORTED INTO THE UNITED STATES AND
SUBSEQUENTLY EXPORTED FROM THE UNITED STATES TO CANADA ON OR
AFTER JANUARY 1, 1996, OR TO MEXICO ON OR AFTER JANUARY 1, 2001.

ARTICLE 303(3) OF THE NAFTA PROVIDES FOR THE FOLLOWING:

WHERE A GOOD IS IMPORTED INTO THE TERRITORY OF A PARTY
PURSUANT TO A DUTY DEFERRAL PROGRAM AND IS SUBSEQUENTLY
EXPORTED TO THE TERRITORY OF ANOTHER PARTY, OR IS USED
AS A MATERIAL IN THE PRODUCTION OF ANOTHER GOOD THAT IS
SUBSEQUENTLY EXPORTED TO THE TERRITORY OF ANOTHER
PARTY, OR IS SUBSTITUTED BY AN IDENTICAL OR SIMILAR
GOOD USED AS A MATERIAL IN THE PRODUCTION OF ANOTHER
GOOD THAT IS SUBSEQUENTLY EXPORTED TO THE TERRITORY OF
ANOTHER PARTY, THE PARTY FROM WHOSE TERRITORY THE GOOD
IS EXPORTED:

(A) SHALL ASSESS THE CUSTOMS DUTIES AS IF THE
EXPORTED GOOD HAD BEEN WITHDRAWN FOR DOMESTIC
CONSUMPTION; AND

(B)MAY WAIVE OR REDUCE SUCH CUSTOMS DUTIES TO THE
EXTENT PERMITTED UNDER PARAGRAPH ONE. (ARTICLE
303(1) PROVIDES FOR THE LESSER OF THE TOTAL AMOUNT
OF CUSTOMS DUTIES PAID OR OWED ON THE GOOD ON
IMPORTATION INTO ITS TERRITORY AND THE TOTAL
AMOUNT OF CUSTOMS DUTIES PAID TO ANOTHER PARTY ON
THE GOOD THAT HAS BEEN SUBSEQUENTLY EXPORTED TO
THE TERRITORY OF THAT OTHER PARTY).

SATISFACTORY EVIDENCE OF THE CUSTOMS DUTIES PAID TO
CANADA MUST BE PRESENTED NO LATER THAN 60 DAYS AFTER
THE DATE OF EXPORTATION. IF THE PERSON EXPORTING THE
GOODS FAILS TO SUBMIT THE SATISFACTORY EVIDENCE WITHIN
THE 60-DAY DEFERRAL PERIOD, HE WILL BE LIABLE FOR THE
PAYMENT OF THE FULL U.S. DUTIES DUE WITH NO WAIVER OR
REDUCTION.

2. AFFECTED DUTY DEFERRAL PROGRAMS

SECTION 181.53(A) OF THE CUSTOMS REGULATIONS DEFINES A "DUTY-
DEFERRAL PROGRAM" AS A MEASURE WHICH POSTPONES DUTY PAYMENT UPON
ARRIVAL OF A GOOD IN THE UNITED STATES."

THE FOLLOWING IMPORTATION METHODS ARE AFFECTED BY THE
NAFTA DUTY DEFERRAL PROGRAM:

A.WAREHOUSE ENTRY SUMMARIES
B.FOREIGN TRADE ZONES (FTZ'S)
C.TEMPORARY IMPORTATIONS UNDER BOND (TIB)

THE FOLLOWING IS A BRIEF DESCRIPTION OF EACH DEFERRAL PROGRAM:

A.WAREHOUSE ENTRY SUMMARIES 19CFR PART19 &
19CFR181.53(B), (C) & (D)

THE NAFTA DUTY DEFERRAL PROGRAM AS PROVIDED IN
19CFR181.53(B), (C) AND (D) WILL APPLY ONLY TO THAT
MERCHANDISE THAT HAS BEEN MANIPULATED, PROCESSED OR
MANUFACTURED IN A BONDED WAREHOUSE. THIS WOULD
INCLUDE ALL TYPE 6, BONDED MANUFACTURING WAREHOUSES,
AND TYPE 7, BONDED SMELTING AND REFINING WAREHOUSES.

THE DUTY WILL BE ASSESSED AS FOLLOWS:

(1)19CFR181.53(B) MANIPULATION IN WAREHOUSE:
THE DUTIES SHALL BE ASSESSED ON THE GOOD IN
ITS CONDITION, QUANTITY AND WEIGHT AT THE
TIME OF WITHDRAWAL FROM THE WAREHOUSE. THE
DUTY ASSESSED WILL INCLUDE ANY ADDITIONS TO,
OR DEDUCTIONS FROM, THE FINAL APPRAISED VALUE
AS REQUIRED BY ITS CHANGE IN CONDITION.

(2)19CFR181.53(C) BONDED MANUFACTURING
WAREHOUSE: THE DUTIES SHALL BE ASSESSED ON
THE MATERIALS IN THEIR CONDITION, QUANTITY
AND WEIGHT AT THE TIME OF THEIR IMPORTATION
INTO THE UNITED STATES.

(3)19CFR181.53(D) BONDED SMELTING OR REFINING
WAREHOUSE: THE DUTIES SHALL BE ASSESSED ON
THE IMPORTED MATERIALS.

ONLY WITHDRAWALS OF MERCHANDISE FOR EXPORT TO CANADA
WILL REQUIRE REPORTING UNDER THE NAFTA DUTY DEFERRAL
PROGRAM.

THE WAREHOUSE ENTRY SUMMARY, ENTRY TYPE CODE 21 OR
ENTRY TYPE CODE 22, USED TO PLACE MERCHANDISE IN A
BONDED WAREHOUSE IS AUTOMATED USING THE AUTOMATED
BROKER INTERFACE (ABI) AND THE AUTOMATED COMMERCIAL
SYSTEM (ACS).

B.FOREIGN TRADE ZONES (FTZ) 19CFR PART 146 &
19CFR181.53(E)

MERCHANDISE THAT HAS BEEN ADMITTED INTO A FOREIGN TRADE
ZONE (FTZ), MANUFACTURED OR PROCESSED AND SUBSEQUENTLY
EXPORTED TO CANADA WILL REQUIRE REPORTING UNDER THE
NAFTA DUTY DEFERRAL PROGRAM. THE DUTY ASSESSED SHOULD
BE CALCULATED AS SET FORTH IN 181.53(E)(1) C.R. FOR
NONPRIVILEGED FOREIGN STATUS, AND 181.53(E)(2) C.R. FOR
PRIVILEGED FOREIGN STATUS. IN THE CASE OF A
NONPRIVILEGED FOREIGN STATUS GOOD, DUTY IS ASSESSED ON
THE GOOD IN ITS CONDITION AND QUANTITY AND AT ITS
WEIGHT AT THE TIME OF ITS EXPORTATION FROM THE ZONE.
IN THE CASE OF A PRIVILEGED FOREIGN STATUS GOOD, DUTY
IS ASSESSED ON THE GOOD IN ITS CONDITION AND QUANTITY,
AND AT ITS WEIGHT, AT THE TIME OF ITS ADMISSION TO THE
ZONE.

C.TEMPORARY IMPORTATION UNDER BOND (TIB)
19CFR10.31 & 19CFR181.53(F)

A TEMPORARY IMPORTATION UNDER BOND (TIB) IS A TEMPORARY
IMPORTATION OF GOODS UNDER BOND, NOT IMPORTED FOR SALE
OR SALE ON APPROVAL, WITHOUT PAYMENT OF DUTY AND WITH
THE INTENT TO EXPORT OR DESTROY THE GOODS WITHIN A
CERTAIN PERIOD OF TIME NOT TO EXCEED THREE YEARS FROM
THE DATE OF IMPORTATION.

AS SET OUT IN THE HARMONIZED TARIFF SCHEDULE (HTSUS),
CHAPTER 98, SUBCHAPTER XIII, U.S. NOTE 1(C) AND
181.53(F) C.R., NAFTA DUTY DEFERRAL APPLIES ONLY TO
MERCHANDISE IMPORTED INTO THE UNITED STATES UNDER
SUBHEADING 9813.00.05, HTSUS, AND SUBSEQUENTLY EXPORTED
TO CANADA. DUTY WILL BE ASSESSED ON THE GOOD BASED ON
ITS CONDITION AT THE TIME OF IMPORTATION INTO THE
UNITED STATES.

GENERALLY, MERCHANDISE ENTERED FOR REPAIRS UNDER THE
TIB SUBHEADING 9813.00.05, HTSUS, IS NOT SUBJECT TO THE
NAFTA DUTY DEFERRAL PROGRAM.

A TIB IS AN ENTRY TYPE CODE 23 AND IS AUTOMATED USING
THE AUTOMATED BROKER INTERFACE (ABI) AND THE AUTOMATED
COMMERCIAL SYSTEM (ACS).

A WITHDRAWAL FOR EXPORT FROM ANY OF THE DUTY DEFERRAL PROGRAMS IS
ONLY AFFECTED BY THE NAFTA WHEN THE GOODS OR MATERIALS ARE NO
LONGER IN THE SAME CONDITION AS ENTERED INTO THE DUTY DEFERRAL
PROGRAM. THUS, WITHDRAWALS FOR EXPORT FROM BONDED WAREHOUSES,
FOR EXAMPLE, ARE ONLY AFFECTED WHERE SOME PROCESSING HAS GONE ON.

ACTION

1. NAFTA DUTY DEFERRAL CLAIM

THE NAFTA DUTY DEFERRAL CLAIM IS CONSIDERED TO BE AN
ENTRY FOR PURPOSES OF ASSESSING DUTIES AND FEES. THEREFORE, THE
FOLLOWING WILL APPLY TO THE NAFTA DUTY DEFERRAL CLAIMS:

A.THE FILING OF THE CLAIM WILL BE CONSIDERED AS
"CUSTOMS BUSINESS" AS SET FORTH IN 1641 OF THE
TARIFF ACT OF 1930.
B.WILL REQUIRE A TYPE 1, BASIC IMPORTATION AND
ENTRY BOND. THE BOND CONDITIONS SET FORTH IN
19CFR113.62 WILL BE EXPANDED TO COVER THE NAFTA
DUTY DEFERRAL PROGRAM REQUIREMENTS. THESE CHANGES
WILL BE SET FORTH IN THE INTERIM REGULATIONS TO BE
PUBLISHED PRIOR TO THE JANUARY 1, 1996,
IMPLEMENTATION DATE.

C.WILL HAVE LIQUIDATED DAMAGES ASSESSED FOR:

(1)THOSE DUTIES DUE, NEVER REPORTED AND/OR
PAID, AS REQUIRED BY THE NAFTA DUTY DEFERRAL
PROGRAM, AND

(2)THOSE DUTIES OWED AND NOT PAID WITHIN THE
60-DAY DEFERRAL PERIOD.

D. ANY FEE THAT WOULD HAVE BEEN ASSESSED PURSUANT TO
SECTION 22 OF THE U.S. AGRICULTURAL ADJUSTMENT
ACT, SUBJECT TO CHAPTER SEVEN (AGRICULTURE AND
SANITARY AND PHYTOSANITORY MEASURES) UPON
IMPORTATION INTO THE UNITED STATES WILL BE OWED
UPON EXPORT TO CANADA.

E. MERCHANDISE PROCESSING FEES THAT WOULD HAVE BEEN
ASSESSED UPON IMPORTATION INTO THE UNITED STATES
WILL BE OWED UPON EXPORT TO CANADA.

F. HARBOR MAINTENANCE FEES WILL NOT BE ASSESSED.

G. ANY APPLICABLE ANTIDUMPING AND/OR COUNTERVAILING
DUTIES THAT WOULD HAVE BEEN ASSESSED UPON
IMPORTATION INTO THE UNITED STATES WILL BE OWED
UPON EXPORT TO CANADA.

THOSE ANTIDUMPING/COUNTERVAILING DUTIES AND FEES COLLECTED MAY
NOT BE REFUNDED, WAIVED OR REDUCED ON CONDITION OF EXPORT.

H. NAFTA DUTY DEFERRAL CLAIMS WILL BE PROTESTABLE
UNDER 19USC1514(A)(3) 19CFR174.11(C) .

2.EXPORT DATE

THE EXPORT DATE WHICH ESTABLISHES THE 60-DAY DEFERRAL PERIOD IS
DEFINED AS THE CANADIAN IMPORT DATE. FOR CUSTOMS PURPOSES THE
CANADIAN IMPORT DATE WILL BE THE SAME AS THE CANADIAN ENTRY DATE.

TO WAIVE OR REDUCE THOSE U.S. DUTIES OWED UPON THE EXPORTATION OF
THE GOOD TO CANADA, THE EXPORTER MUST PROVIDE PROOF OF
EXPORTATION AND SATISFACTORY EVIDENCE OF THE CANADIAN DUTIES PAID
IN CANADA WITHIN 60 DAYS OF THE DATE OF EXPORTATION AS REQUIRED
IN 19CFR181.53(A)(3), ADJUSTMENT TO DUTIES PAID.

3. SATISFACTORY EVIDENCE

FOR PURPOSES OF SUBSTANTIATING THE DUTIES PAID IN CANADA,
SATISFACTORY EVIDENCE WILL CONSIST OF THE FOLLOWING INFORMATION:

A.CANADIAN IMPORT ENTRY NUMBER

B.CANADIAN TARIFF CLASSIFICATION NUMBER

C.CANADIAN RATE OF DUTY

D.CANADIAN DUTY PAID IN AN AMOUNT STATED IN U.S.
DOLLARS

E.CANADIAN DATE OF IMPORT

PAPER DOCUMENTATION SUPPORTING THE SATISFACTORY EVIDENCE FOR THE
REDUCTION OR WAIVER OF DUTIES OWED IS NOT REQUIRED TO BE FILED
WITH THE NAFTA DUTY DEFERRAL ENTRY. SUCH DOCUMENTATION MUST BE
MAINTAINED BY THE FILER FOR A PERIOD OF FIVE (5) YEARS FROM THE
DATE OF EXPORTATION. CUSTOMS MAY REQUEST THE PAPER DOCUMENTATION
OF THE SATISFACTORY EVIDENCE TO VERIFY THE CLAIM. FAILURE TO
MAINTAIN ADEQUATE RECORDS WILL RESULT IN DENIAL OF THE CLAIM FOR
WAIVER OR REDUCTION OF DUTY.

SATISFACTORY EVIDENCE MAY BE SUBMITTED IN THE FORM OF ONE OR MORE
OF THE DOCUMENTS PROVIDED FOR IN 181.47(C) C.R., EVIDENCE OF
EXPORTATION AND OF DUTIES PAID IN CANADA .

THE FORMS AND DOCUMENTATION ARE:

(1)CANADIAN ENTRY DOCUMENTS, REFERRED TO AS
THE CANADA CUSTOMS INVOICE OR B-3, PRESENTED
WITH EITHER THE K-84 STATEMENT OR THE
DETAILED CODING STATEMENT. A CANADIAN
CUSTOMS DOCUMENT THAT IS NOT ACCOMPANIED BY A
VALID RECEIPT IS NOT ADEQUATE EVIDENCE OF
EXPORTATION AND PAYMENT OF DUTY IN CANADA;

(2) FINAL CUSTOMS DUTY DETERMINATION OF
CANADA , OR A COPY THEREOF, AND/OR

(3)AN AFFIDAVIT, FROM THE PERSON CLAIMING
DUTY DEFERRAL WITH THE REQUIRED INFORMATION.

SECTION 181.53(H) C.R. REQUIRES THAT IF THE PERSON EXPORTING
GOODS TO CANADA FAILS TO PROVIDE SATISFACTORY EVIDENCE OF DUTIES
PAID TO CANADA WITHIN THE 60-DAY PERIOD, THAT PERSON WILL BE
LIABLE FOR PAYMENT OF THE FULL U.S. DUTIES ASSESSED WITHOUT ANY
WAIVER OR REDUCTION ALLOWED.

4.FILING REQUIREMENTS & PROCEDURES FOR THE NAFTA DUTY
DEFERRAL CLAIM

THE "NAFTA DUTY DEFERRAL CLAIM" WILL BE DESIGNATED AS ENTRY TYPE
CODE "08", AND WILL BE AUTOMATED FOR USE WITHIN THE AUTOMATED
BROKER INTERFACE (ABI) AND THE AUTOMATED COMMERCIAL SYSTEM (ACS).

THE "NAFTA DUTY DEFERRAL CLAIM" WILL CONSIST OF TWO PARTS. PART
I WILL BE THE U.S. IMPORT/EXPORT INFORMATION SETTING FORTH THE
EXPORTER'S OBLIGATION OF U.S. DUTIES DUE AND PAYABLE. PART II
WILL CONSIST OF THE REQUIRED CANADIAN ENTRY INFORMATION SUBMITTED
AS SATISFACTORY EVIDENCE ALONG WITH PAYMENT OF ANY U.S. DUTIES
DUE, IF APPLICABLE.

ABI PROCESSING

THE NAFTA DUTY DEFERRAL CLAIM INFORMATION FOR THE EXPORTER'S
OBLIGATION OF U.S. DUTIES DUE IS REQUIRED TO BE TRANSMITTED BY
THE 10TH WORKING DAY AFTER THE DATE OF EXPORT.

THE DATA TRANSMISSION WILL CREATE AN ABI CLAIM RECORD, ACCESSIBLE
BY CUSTOMS WITHIN ACS. THE FILER WILL BE ALLOWED TO ADD,
CORRECT AND DELETE LINE ITEM DATA DURING THE DEFERRAL PERIOD.

DELETION OF THE "HEADER RECORD" WILL NOT BE ALLOWED BY THE FILER.
CANCELLATION OF A CLAIM WILL BE DONE BY THE CUSTOMS FIELD OFFICE
WHERE THE CLAIM IS FILED. REQUESTS FOR CANCELLATION OF NAFTA
DUTY DEFERRAL CLAIMS WILL REQUIRE SUBSTANTIATING INFORMATION
AND/OR DOCUMENTATION.

THOSE ABI FILERS TRANSMITTING THEIR NAFTA DUTY DEFERRAL CLAIMS
WILL DEFER THE FILING OF THE PAPER C.F. 7501 CONTAINING THE
IMPORT INFORMATION OF PART I OF THE CLAIM UNTIL THE SUBMISSION OF
THE CANADIAN ENTRY INFORMATION SUPPORTING THE WAIVER OR REDUCTION
OF U.S. DUTIES FOR PART II OF THE NAFTA DUTY DEFERRAL CLAIM.

AN ABI FILER WILL BE ABLE TO TRANSMIT BOTH PART I AND PART II OF
THE NAFTA DUTY DEFERRAL CLAIM SIMULTANEOUSLY.

CONSOLIDATED WEEKLY OR CONSOLIDATED MONTHLY NAFTA DUTY DEFERRAL
CLAIMS WILL BE ALLOWED. FOR REPORTING PURPOSES, THE DATE OF
EXPORT WILL BE THE EARLIEST CANADIAN DATE OF IMPORT DURING THE
CALENDAR WEEK FOR BOTH CONSOLIDATED WEEKLY AND CONSOLIDATED
MONTHLY NAFTA DUTY DEFERRAL CLAIMS.

CONSOLIDATED WEEKLY AND CONSOLIDATED MONTHLY CLAIMS WILL BE
ALLOWED UNDER THE FOLLOWING BASIC CONDITIONS:

(1)CONTINUOUS BOND ON FILE

(2)ABI/A STATEMENT PROCESSING

(3)PORT APPROVAL

DUTY PAYMENT

THE DUTY AND FEES ESTIMATED TO BE DUE WILL BE PAID NO
LATER THAN 60 CALENDAR DAYS AFTER THE DATE OF EXPORTATION OF
THE GOOD TO CANADA OR NO LATER THAN 60 DAYS AFTER
THE DATE THE GOOD ENTERED INTO A DUTY DEFERRAL PROGRAM
IN CANADA.

TO WAIVE OR REDUCE THOSE U.S. DUTIES OWED UPON THE
EXPORTATION OF THE GOOD TO CANADA, THE FILER MUST MAKE A
CLAIM AND PROVIDE PROOF OF EXPORTATION AND SATISFACTORY
EVIDENCE OF THE CANADIAN DUTIES PAID IN CANADA WITHIN 60 DAYS
OF THE DATE OF EXPORTATION. THE REDUCED DUTIES WILL BE
DEPOSITED WHEN PART II OF THE NAFTA DUTY DEFERRAL CLAIM IS FILED. THOSE
FILERS THAT FAIL TO PROVIDE SATISFACTORY EVIDENCE OF DUTIES PAID TO
CANADA WITHIN THE 60 CALENDAR DAYS, WILL BE LIABLE FOR PAYMENT OF THE
FULL U.S. DUTIES ASSESSED WITHOUT ANY WAIVER OR REDUCTION ALLOWED.

THE FILER MAY PAY THE TOTAL AMOUNT OF DUTIES AND FEES ESTIMATED
TO BE DUE AT ANY TIME WITHIN THE 60- DAY TIME PERIOD. IF THE
TOTAL ASSESSED AMOUNT OF DUTIES AND FEES ARE BEING TENDERED,
THE FILER MAY DO SO WITH OR WITHOUT THE CANADIAN IMPORT
INFORMATION.

A. PART I - U.S. IMPORT/EXPORT INFORMATION

PART I WILL BE THE U.S. IMPORT/EXPORT INFORMATION SETTING
FORTH THE EXPORTER'S OBLIGATION OF U.S. DUTIES DUE.

THE REQUIRED FILING TIME FRAME FOR THAT U.S. IMPORT/EXPORT
INFORMATION REQUIRED ON PART I SETTING FORTH THE EXPORTER'S
OBLIGATION OF U.S. DUTIES DUE ON THE NAFTA DUTY DEFERRAL
CLAIM WILL BE 10 WORKING DAYS FROM THE DATE OF EXPORT TO
CANADA.

A DETAILED C.F. 7501 WILL BE REQUIRED AT THE TIME OF THE
SUBMISSION.

(1) PREPARATION OF THE CF 7501:

MINIMUM REQUIRED INFORMATION FOR BOTH NON ABI
(MANUAL) AND ABI CLAIMS:

BLOCK 1 - ENTRY NUMBER: THE ENTRY NUMBER WILL BE AN 11
DIGIT ALPHANUMERIC CODE USING THE SAME REQUIREMENTS AS
PROVIDED IN THE CUSTOMS DIRECTIVE 099-3550-061,
INSTRUCTIONS FOR PREPARATION OF C.F. 7501, DATED
SEPTEMBER 18, 1992.

BLOCK 2 - ENTRY TYPE CODE: THE "NAFTA DUTY DEFERRAL
CLAIM" WILL BE DESIGNATED AS AN ENTRY TYPE CODE OF "08".
THE ABI PROCESSING REQUIREMENTS OF AN ABI STATUS
INDICATOR WILL BE THE SAME AS PROVIDED IN THE CUSTOMS
DIRECTIVE 099-3550-061, INSTRUCTIONS FOR PREPARATION OF
C.F.7501, DATED SEPTEMBER 18, 1992.

THE FOLLOWING ABI STATUS INDICATORS WILL APPLY:

ABI/S - ABI STATEMENT PAID BY CHECK OR CASH:
MAY USE THIS PAYMENT METHOD FOR ONE EXPORT PER
NAFTA DUTY DEFERRAL CLAIM.

ABI/A - ABI STATEMENT PAID THROUGH THE AUTOMATED
CLEARINGHOUSE (ACH):
MAY USE THIS PAYMENT METHOD FOR ONE EXPORT PER
NAFTA DUTY DEFERRAL CLAIM AND/OR WEEKLY NAFTA
DUTY DEFERRAL CLAIMS.

ABI/N - ABI NON-STATEMENT:
MAY USE THIS METHOD FOR ONE EXPORT PER NAFTA
DUTY DEFERRAL CLAIM.

BLOCK 3 - ENTRY SUMMARY DATE: THIS BLOCK WILL RECORD
THE DATE THIS PART OF THE "NAFTA DUTY DEFERRAL CLAIM" IS
FILED WITH CUSTOMS (MMDDYY). THE RECORD COPY OF THE
CLAIM WILL BE TIME STAMPED BY THE FILER AT THE TIME OF
FILING.

THE FILER WILL RECORD THE PROPER TEAM NUMBER DESIGNATION
IN THE UPPER RIGHT PORTION OF THIS BLOCK. GENERALLY,
THE NAFTA DUTY DEFERRAL CLAIMS WILL BE THE
RESPONSIBILITY OF THE ENTRY BRANCHES WITHIN THE PORTS.

BLOCK 4 - ENTRY DATE: THE ENTRY DATE BLOCK WILL BE
USED TO REPORT THE "EXPORT DATE" ESTABLISHING THE 60-DAY
DEFERRAL PERIOD FOR NAFTA DUTY DEFERRAL PURPOSES.
"EXPORT DATE" IS DEFINED AS THE CANADIAN IMPORT DATE.
REFER TO PARAGRAPH 2 UNDER "ACTION" OF THIS
COMMUNICATION.

BLOCK 5 - PORT CODE: RECORD THE FOUR DIGIT NUMERIC
CODE OF THE U.S. PORT WHERE THE MERCHANDISE CLAIM IS
FILED. REPORT THE PORT CODE AS PROVIDED IN THE CUSTOMS
DIRECTIVE 099-3550-061, INSTRUCTIONS FOR PREPARATION OF
C.F. 7501, DATED SEPTEMBER 18, 1992.

BLOCK 6 - BOND NUMBER: SAME REQUIREMENTS AS PROVIDED
IN THE CUSTOMS DIRECTIVE 099-3550-061, INSTRUCTIONS FOR
PREPARATION OF C.F. 7501, DATED SEPTEMBER 18, 1992.

BLOCK 7 - BOND TYPE CODE: SAME REQUIREMENTS AS
PROVIDED IN THE CUSTOMS DIRECTIVE 099-3550-061,
INSTRUCTIONS FOR PREPARATION OF C.F. 7501, DATED
SEPTEMBER 18, 1992.

BLOCK 8 - BROKER/IMPORTER FILE NO.: SAME REQUIREMENTS
AS PROVIDED IN THE CUSTOMS DIRECTIVE 099-3550-061,
INSTRUCTIONS FOR PREPARATION OF C.F. 7501, DATED
SEPTEMBER 18, 1992.

BLOCK 9 - ULTIMATE CONSIGNEE NAME AND ADDRESS: THIS
BLOCK WILL REPORT THE PERSON WHO IS THE RESPONSIBLE
PARTY FOR FILING THE NAFTA DUTY DEFERRAL, IF THAT PERSON
IS USING AN AGENT AND THE AGENT'S BOND FOR FILING OF THE
NAFTA DUTY DEFERRAL CLAIM.

BLOCK 10 - CONSIGNEE NUMBER: RECORD THE IRS, SOCIAL
SECURITY, OR CUSTOMS ASSIGNED NUMBER OF THE PERSON
REPORTED IN BLOCK 9.

BLOCK 11 - IMPORTER OF RECORD NAME AND ADDRESS: RECORD
THE NAME AND ADDRESS OF THE PERSON RESPONSIBLE FOR
FILING THE NAFTA DUTY DEFERRAL CLAIM.

THE PERSON RESPONSIBLE FOR FILING NAFTA DUTY DEFERRAL
CLAIMS OUT OF THE RESPECTIVE DUTY DEFERRAL PROGRAMS ARE
AS FOLLOWS:

WAREHOUSE: THE PERSON WHO HAS THE RIGHT TO WITHDRAW THE
GOODS;

FOREIGN TRADE ZONES: THE PERSON WHO HAS THE RIGHT TO
MAKE ENTRY;

TEMPORARY IMPORTATION UNDER BOND: THE TIB IMPORTER
WHETHER OR NOT HE SELLS THE GOODS FOR EXPORT TO CANADA .

THE PERSON OR AGENT OF THE EXPORTER LISTED IN THIS BLOCK
WILL BE THE PERSON COVERED BY THE BOND POSTED FOR THE
CLAIM.

BLOCK 12 - IMPORTER NUMBER: RECORD THE IRS, SOCIAL
SECURITY, OR CUSTOMS ASSIGNED NUMBER OF THE PERSON
REPORTED IN BLOCK 11.

BLOCK 13 - EXPORTING COUNTRY: NO REPORTING
REQUIREMENTS.

BLOCK 14 - EXPORT DATE: NO REPORTING REQUIREMENTS.

BLOCK 15 - COUNTRY OF ORIGIN: THIS BLOCK WILL REFLECT
THE COUNTRY OF ORIGIN FOR THE COMMODITY ASSESSED AS
DUTIABLE UNDER THE NAFTA DUTY DEFERRAL PROGRAM. IF
THERE IS MORE THAN ONE COUNTRY OF ORIGIN, RECORD THE
WORD "MULTI" IN THIS BLOCK AND IN COLUMN 28, BELOW THE
LINE NUMBER, AND PREFIXED WITH THE LETTER "O", INDICATE
A SEPARATE ISO CODE FOR THE COUNTRY OF ORIGIN
CORRESPONDING TO EACH LINE NUMBER.

COMMODITY WILL TRANSLATE AS THAT FOREIGN MERCHANDISE
IMPORTED INTO THE UNITED STATES AND ENTERED OR ADMITTED
INTO A DUTY DEFERRAL PROGRAM AND SUBSEQUENTLY EXPORTED
TO CANADA ON OR AFTER JANUARY 1, 1996.

BLOCK 16 - MISSING DOCUMENTS: NO REPORTING REQUIREMENTS.

BLOCK 17 - I.T. NUMBER: RECORD THE IN-BOND NUMBER
(C.F. 7512) OR, IF APPLICABLE, THE AIR WAYBILL NUMBER
THAT IS USED TO EXPORT THE MERCHANDISE TO CANADA. IF
MULTIPLE, PLACE ADDITIONAL IN-BOND ENTRY NUMBERS ACROSS
LINES 30 TO 32 OR LIST ON A SEPARATE ATTACHMENT. IF AMS
MASTER IN-BOND MOVEMENT (MIB) RECORD THE 11 DIGIT IN-
BOND NUMBER OBTAINED FROM THE AMS CARRIER. NEITHER THE
CF 7512 OR CF7512C ARE USED FOR THE AMS MASTER IN-BOND
PROGRAM.

BLOCK 18 - I.T. DATE: RECORD THE DATE (FORMAT MMDDYY)
OF THE IN-BOND ENTRY NUMBER OR IF APPLICABLE, THE
TRANSIT AIR CARGO MANIFEST (TACM), OR THE AMS MASTER IN-
BOND MOVEMENT. IF MULTIPLE, PLACE ADDITIONAL DATES
ACROSS LINES 30 TO 32 ASSOCIATED WITH EACH ADDITIONAL
I.T. NUMBER TO WHICH IT IS APPLICABLE.

BLOCK 19 - BILL OF LADING OR AIR WAYBILL NUMBER: NO
REPORTING REQUIREMENTS.

BLOCK 20 - MODE OF TRANSPORTATION: NO REPORTING
REQUIREMENTS.

BLOCK 21 - MANUFACTURER I.D.: NO REPORTING
REQUIREMENTS.

BLOCK 22 - REFERENCE NUMBER: SAME REQUIREMENTS AS
PROVIDED IN THE CUSTOMS DIRECTIVE 099-3550-061,
INSTRUCTIONS FOR PREPARATION OF C.F. 7501, DATED
SEPTEMBER 18, 1992.

BLOCK 23 - IMPORTING CARRIER: THIS BLOCK WILL BE USED
ONLY FOR THAT MERCHANDISE BEING EXPORTED FROM A FOREIGN
TRADE ZONE (FTZ) AND WILL CONTAIN THE FTZ NUMBER. THE
FILER SHOULD INSERT "FTZ" FOLLOWED BY THE FTZ NUMBER.
THE FORMAT WILL BE AS PROVIDED IN THE CUSTOMS DIRECTIVE
099-3550-061, INSTRUCTIONS FOR PREPARATION OF C.F. 7501,
DATED SEPTEMBER 18, 1992. THIS BLOCK WILL NOT BE USED
FOR ANY NAFTA DUTY DEFERRAL CLAIMS FOR THE WAREHOUSE AND
THE TIB DUTY DEFERRAL PROGRAMS.

BLOCK 24 - FOREIGN PORT OF LADING: NO REPORTING
REQUIREMENTS.

BLOCK 25 - LOCATION OF GOODS/G.O. NUMBER: THIS BLOCK
WILL REPORT THE LOCATION OF THE WAREHOUSE OR THE FTZ
FROM WHERE THE MERCHANDISE WAS EXPORTED. THE USE OF THE
FACILITIES INFORMATION AND RESOURCES MANAGEMENT SYSTEM
(FIRMS) CODE WILL BE USED. FOR THOSE NAFTA DUTY
DEFERRAL CLAIMS COVERING EXPORTED MERCHANDISE IMPORTED
USING THE TIB DEFERRAL PROGRAM, THE LOCATION OF THE
FACILITY FROM WHERE THE MERCHANDISE WAS EXPORTED WILL BE
REPORTED.

THIS BLOCK WILL ALSO IDENTIFY THE NAFTA DUTY
DEFERRAL CLAIM TYPE. THE CLAIM TYPE WILL BE SHOWN
AS A THREE ALPHA CHARACTER FORMAT.

THE FOLLOWING ARE THE CLAIM TYPES:

"WHS" TO IDENTIFY WAREHOUSE
"FTZ" TO IDENTIFY FOREIGN TRADE ZONE
"TIB" TO IDENTIFY TEMPORARY IMPORTATION
UNDER BOND

BLOCK 26 - U.S. PORT OF UNLADING: NO REPORTING
REQUIREMENTS.

BLOCK 27 - IMPORT DATE: NO REPORTING REQUIREMENTS.

BLOCK 28 - LINE NUMBER: RECORD THE APPROPRIATE
LINE NUMBER, IN SEQUENCE, BEGINNING WITH THE NUMBER
001.

A "LINE NUMBER" WILL REFER TO ALL OF THE FOLLOWING:

(1) THE GOOD BEING EXPORTED TO
CANADA.

(2) THE WAREHOUSE OR TIB IMPORT
ENTRY NUMBER OR THE FTZ NUMBER
ASSOCIATED WITH THE ARTICLE
IMPORTED INTO THE DUTY DEFERRAL
PROGRAM.

(3)THE COMMODITY ASSESSED DUTIABLE UNDER THE
NAFTA DUTY
DEFERRAL PROGRAM.

COMMODITY WILL TRANSLATE AS THAT FOREIGN
MERCHANDISE IMPORTED INTO THE UNITED STATES
AND ENTERED OR ADMITTED INTO A DUTY DEFERRAL
PROGRAM AND SUBSEQUENTLY EXPORTED TO CANADA ON
OR AFTER JANUARY 1, 1996.

BLOCK 29 - DESCRIPTION OF MERCHANDISE: BRIEF
DESCRIPTIONS WILL BE REQUIRED OF:

(1) THE GOOD BEING EXPORTED TO CANADA
FOLLOWED BY THE APPROPRIATE U.S. HTS 10-
DIGIT/STATISTICAL REPORTING NUMBER

(2) THE COMMODITY ASSESSED DUTIABLE UNDER THE
NAFTA DUTY DEFERRAL PROGRAM FOLLOWED BY EITHER THE
ASSOCIATED IMPORT ENTRY NUMBER OR THE ASSOCIATED
FTZ NUMBER.

BLOCK 30A. - HTS NUMBER: RECORD THE APPROPRIATE HTS 10-
DIGIT/STATISTICAL REPORTING NUMBER ALONG WITH THE CHECK
DIGIT IF ONE IS USED. THIS NUMBER SHOULD BE LEFT
JUSTIFIED. DECIMALS ARE TO BE USED IN THE 10-DIGIT
DUTY/STATISTICAL REPORTING NUMBER EXACTLY AS THEY APPEAR
IN THE HTS. THE CHECK DIGIT IS NOT TO BE SEPARATED BY A
DASH OR DECIMAL.

AN HTS NUMBER WILL BE REQUIRED TO BE REPORTED FOR BOTH
THE GOOD BEING EXPORTED TO CANADA AND THE COMMODITY
ASSESSED DUTIABLE UNDER THE NAFTA DUTY DEFERRAL PROGRAM
AS REQUIRED IN BLOCK 29. THE HTS NUMBER FOR THE GOOD
BEING EXPORTED TO CANADA WILL BE REPORTED AFTER THE
DESCRIPTION OF THE GOOD AS OUTLINED IN THE INSTRUCTIONS
FOR BLOCK 29. THE HTS NUMBER FOR THE COMMODITY

ASSESSED DUTIABLE UNDER THE NAFTA DUTY DEFERRAL PROGRAM
WILL BE REPORTED IN BLOCK 30A.
IF MORE THAN ONE HTS NUMBER IS REQUIRED, FOLLOW THE
REPORTING INSTRUCTIONS AS PROVIDED IN THE CUSTOMS
DIRECTIVE 099-3550-061, INSTRUCTIONS FOR
PREPARATION OF C.F. 7501, DATED SEPTEMBER 18, 1992.

BLOCKS 29 AND 30A LINE FORMAT SHOULD LOOK AS FOLLOWS:

001 HTS DESCRIPTION (GOOD BEING EXPORTED)
HTS
HTS DESC. (ARTICLE IMPORTED INTO DUTY DEFERRAL)
ENTRY NO. OR FTZ NO.
HTS

BLOCK 30 B. - ANTIDUMPING/COUNTERVAILING DUTY CASE
NUMBER: RECORD, DIRECTLY BELOW THE HTS NUMBER, THE
APPROPRIATE ANTIDUMPING/COUNTERVAILING DUTY CASE
NUMBER(S) AS ASSIGNED BY THE DEPARTMENT OF COMMERCE,
INTERNATIONAL TRADE ADMINISTRATION. THE FOLLOWING
FORMAT SHALL BE USED:

A000-000-000 -OR- A-000-000-000 (AD)
C000-000-000 -OR- C-000-000-000 (CVD)

WHEN BONDING IS PERMITTED AND USED, RECORD THE PHRASE "
SURETY CODE" AND THE SURETY NUMBER E.G.,
(SURETY ___________) . IF CASE OR GOVERNMENT SECURITY
ARE DEPOSITED IN LIEU OF SURETY, RECORD "SURETY 998".

DO NOT RECORD THE COLUMN 30 HEADING LETTERS "A" (TSUSA
NO.) OR "B" (CVD/ADD CASE NO.) BEFORE THE HTS NUMBER OR
ANTIDUMPING/COUNTERVAILING DUTY CASE NUMBER.

BLOCK 30 C. - CATEGORY NUMBER: NO REPORTING
REQUIREMENTS.

BLOCK 31 A. - GROSS WEIGHT: NO REPORTING
REQUIREMENTS.

BLOCK 31 B. - MANIFEST QUANTITY: NO REPORTING
REQUIREMENTS.

BLOCK 32 - NET QUANTITY IN HTS UNITS: THIS SHOULD
BE REPORTED AS PROVIDED IN THE CUSTOMS DIRECTIVE
099-3550-061, INSTRUCTIONS FOR PREPARATION OF C.F.
7501, DATED SEPTEMBER 18, 1992. SHOW THE QUANTITY
FOR BOTH THE GOOD BEING EXPORTED AND THE COMMODITY
ASSESSED DUTIABLE UNDER THE NAFTA DUTY DEFERRAL
PROGRAM.

BLOCK 33 A. - ENTERED VALUE: VALUE WILL BE
REPORTED FOR THE COMMODITY
ASSESSED DUTIABLE UNDER THE DUTY DEFERRAL PROGRAM. THIS
SHOULD BE REPORTED AS PROVIDED IN THE CUSTOMS DIRECTIVE
099-3550-061,INSTRUCTIONS FOR PREPARATION OF C.F. 7501, DATED
SEPTEMBER 18, 1992.

BLOCK 33 B. - CHARGES (CHGS): NO REPORTING
REQUIREMENTS.

BLOCK 33 C. - RELATIONSHIP: NO REPORTING
REQUIREMENTS.

BLOCK 34 A. - HTS RATE: THE HTS RATE WILL BE
REPORTED ON THE COMMODITY ASSESSED DUTIABLE UNDER THE
DUTY DEFERRAL PROGRAM. THIS SHOULD BE REPORTED
AS PROVIDED IN THE CUSTOMS DIRECTIVE 099-3550-061,
INSTRUCTIONS FOR PREPARATION OF C.F. 7501, DATED
SEPTEMBER 18, 1992.

THIS SHOULD BE REPORTED AS PROVIDED IN THE CUSTOMS
DIRECTIVE 099-3550-061, INSTRUCTIONS FOR PREPARATION OF
C.F. 7501, DATED SEPTEMBER 18, 1992.

BLOCK 34 B. - ANTIDUMPING/COUNTERVAILING DUTY RATE:
RECORD THE ANTIDUMPING AND/OR COUNTERVAILING DUTY
RATE(S) AS DESIGNATED BY THE DEPARTMENT OF COMMERCE,
INTERNATIONAL TRADE ADMINISTRATION, DIRECTLY OPPOSITE
THE RESPECTIVE AD/CVD CASE NUMBER(S) SHOWN IN COLUMN 30.
WHEN BONDING IS PERMITTED AND USED, FOLLOW THE
INSTRUCTIONS SHOWN IN ITEM 30(B).

BLOCK 34 C. - IRC RATE: NO REPORTING
REQUIREMENTS.

BLOCK 34 D. - VISA NUMBER: NO REPORTING
REQUIREMENTS.

BLOCK 34 E. - OTHER FEES: NO REPORTING
REQUIREMENTS.

BLOCK 34F. - AGRICULTURE LICENSES NUMBER: NO REPORTING
REQUIREMENTS.

BLOCK 35 - DUTY AND I.R. TAX: RECORD THE
ESTIMATED HTS DUTY AS IT APPLIES TO THE IMPORTED
COMMODITY ASSESSED DUTIABLE UNDER THE NAFTA DUTY
DEFERRAL PROGRAM. THE AMOUNT SHOWN IN THIS COLUMN
MUST BE DIRECTLY OPPOSITE THE APPROPRIATE HTS
RATE(S).

BLOCK 36 - DECLARATION: SELF-EXPLANATORY.

IF REQUIRED, ANY INFORMATION REPORTED IN BLOCKS 37
THROUGH 40 MUST BE COMPLETED ON THE FIRST PAGE, IF THE
NAFTA DUTY DEFERRAL CLAIM CONSISTS OF MORE THAN ONE PAGE
.

BLOCK 37 - DUTY: RECORD THE TOTAL ESTIMATED U.S. DUTY
OWED.

FOR THE MANUAL FILING (NON-ABI) OF THE NAFTA DUTY
DEFERRAL CLAIM, PART I, BLOCK 37 WILL REPORT THE
TOTAL ESTIMATED U.S. DUTIES OWED.

SUBSEQUENTLY, FOR THE NON-ABI AND ABI FILING OF THE
NAFTA DUTY DEFERRAL CLAIM PART II, THE BLOCK 37
AMOUNT WILL REFLECT THE COMPARISON OF THE U.S.
DOLLARS DUE ON THE COMMODITIES REPORTED IN PART I
OF THE CLAIM AND THE U.S. EQUIVALENCY OF THE TOTAL
CANADIAN DOLLARS PAID FROM THE PART II INFORMATION.
THE ACTUAL COMPARISON WILL BE SHOWN IN A BLOCK 37
CALCULATION SUMMARY.

IF THE U.S. EQUIVALENCY OF THE TOTAL CANADIAN DOLLARS
PAID IS GREATER THAN OR EQUAL TO THE U.S. DUTY OWED, A
$0 AMOUNT SHOULD BE REPORTED IN BLOCK 37.

BLOCK 37 CALCULATION SUMMARY - THE "BLOCK 37 CALCULATION
SUMMARY" WILL BE REPORTED ADJACENT TO THE "BLOCK 39
SUMMARY" AND WILL BE SHOWN IN THE AREA ENCOMPASSED BY
BLOCKS 33 AND 34. BLOCK 37 CALCULATION SUMMARY WILL
CONTAIN THE TOTAL U.S. DOLLARS DUE ON THE COMMODITIES

REPORTED IN PART I OF THE CLAIM AND THE U.S. EQUIVALENCY
OF THE TOTAL CANADIAN DOLLARS PAID.

REPORT THE "BLOCK 37 CALCULATION SUMMARY" IN THE
FOLLOWING FORMAT:

BLOCK 37 CALCULATION SUMMARY:
U.S. DUTIES OWED: XXXX.XX
CA/US (EQUIVALENT) DUTIES PAIDXXXX.XX
SUM = U.S. DUTIES OWED XXXX.XX

BLOCK 38 - TAX - NO REPORTING REQUIREMENT

BLOCK 39 - OTHER - RECORD THE TOTAL ESTIMATED
ANTIDUMPING OR COUNTERVAILING DUTIES AND ANY APPLICABLE
FEES PAID. DO NOT SHOW ANTIDUMPING OR COUNTERVAILING
DUTY AMOUNTS THAT WERE BONDED FOR. THE AMOUNTS SHOWN IN
BLOCK 39 OF THE SUMMARY SHOULD REFLECT THE AMOUNTS
ACTUALLY BEING PAID.

FOR THOSE CLAIMS SUBJECT TO PAYMENT OF ANTIDUMPING
DUTIES, COUNTERVAILING DUTIES AND/OR ANY APPLICABLE
FEES, EACH FEE MUST BE INDICATED IN THE AREA ENCOMPASSED
BY BLOCKS 30 THROUGH 32, WHICH WILL SERVE AS THE "BLOCK
39 SUMMARY." THE INDIVIDUAL AMOUNT OF EACH FEE MUST BE
SHOWN ON THE CORRESPONDING LINE IN BLOCK 32.
COUNTERVAILING AND/OR ANTIDUMPING DUTY AMOUNTS ARE TO BE
INCLUDED IN THE "BLOCK 39 SUMMARY" ONLY WHEN THEY ARE
ACTUALLY DEPOSITED. BONDED AMOUNTS SHOULD NOT BE
INCLUDED. THE BLOCK 39 SUMMARY MUST BE ON THE FIRST
PAGE IF THE SUMMARY CONSISTS OF MORE THAN ONE PAGE.

THE APPLICABLE COLLECTION CODE MUST BE SHOWN ON THE LINE
IN THE FORMAT AS PROVIDED IN THE CUSTOMS DIRECTIVE 099-
3550-061, INSTRUCTIONS FOR PREPARATION OF C.F. 7501,
DATED SEPTEMBER 18, 1992.

BLOCK 40 - TOTAL - RECORD THE SUM OF BLOCKS 37 AND 39.
THIS WILL BE COMPLETED UPON SUBMISSION OF PART II OF THE
DUTY DEFERRAL CLAIM. THE DOLLAR AMOUNT TO BE SHOWN IN
BLOCK 40 WILL BE THE SUM OF BLOCKS 37 AND 39.

BLOCK 41 - SIGNATURE OF DECLARANT, TITLE, AND DATE:
RECORD THE SIGNATURE OF THE DECLARANT, THE JOB TITLE OF
THE OWNER, PURCHASER OR AGENT WHO SIGNS THE DECLARATION,
AND THE MONTH, DAY AND YEAR WHEN THE DECLARATION IS
SIGNED.

B.PART II - CANADIAN ENTRY INFORMATION
(SATISFACTORY EVIDENCE)

THE CANADIAN ENTRY INFORMATION REQUIRED TO SUBSTANTIATE THE
WAIVER OR REDUCTION OF U.S. DUTIES OWED ON THE IMPORTED
MERCHANDISE AS REPORTED ON PART I OF THE NAFTA DUTY DEFERRAL
CLAIM WILL CONSIST OF THE FOLLOWING:

(1)CANADIAN ENTRY NUMBER
(2)CANADIAN TARIFF CLASSIFICATION NUMBER
(3)CANADIAN RATE OF DUTY
(4)CANADIAN DUTY AMOUNT PAID,
REPORTED IN BOTH CANADIAN
DOLLARS AND U.S. DOLLARS
(5)CANADIAN DATE OF IMPORT

PREPARATION OF THE CF 7501:

(1)MINIMUM REQUIRED INFORMATION:

WHEN REPORTING PART II OF THE NAFTA DUTY DEFERRAL CLAIM ON
THE C.F. 7501, THE CANADIAN ENTRY INFORMATION WILL BE
SEPARATED FROM THE U.S. IMPORT INFORMATION BY PLACING A
BROKEN LINE BETWEEN PART I AND PART II.

IN ADDITION TO THE FINAL UPDATED REPORTING OF THE PART I
IMPORT/EXPORT INFORMATION SETTING FORTH THE EXPORTER'S
OBLIGATION OF U.S. DUTIES DUE, THE FOLLOWING LINE ITEM
INFORMATION WILL BE REQUIRED FOR PART II OF THE CLAIM:

BLOCK 28 - LINE NUMBER: RECORD THE APPROPRIATE LINE
NUMBER, IN SEQUENCE, BEGINNING WITH THE NUMBER 001.

A "LINE NUMBER" WILL REFER TO ALL OF THE
FOLLOWING:

(1) CANADIAN ENTRY NUMBER.

(2) THE CANADIAN TARIFF
CLASSIFICATION NUMBER (THIS
TARIFF NUMBER REPORTS THE GOOD
ENTERED INTO THE COMMERCE OF
CANADA).

(3)CANADIAN RATE OF DUTY FOR
THAT TARIFF NUMBER.

(4) CANADIAN DUTY AMOUNT PAID
ALONG WITH THE U.S. CONVERSION.

(5)CANADIAN DATE OF IMPORT.

BLOCK 29 - DESCRIPTION OF MERCHANDISE: REPORTING
REQUIREMENTS ARE:

(1)CANADIAN ENTRY NUMBER WITH CANADIAN DATE OF
IMPORT

(2)THE GOOD BEING IMPORTED INTO
CANADA.

BLOCK 30 A. - HTS NUMBER: RECORD THE APPROPRIATE
CANADIAN HTS NUMBER. THIS WILL BE REPORTED AT THE
10 DIGIT REPORTING NUMBER.

BLOCK 34 A. - HTS RATE: RECORD THE APPROPRIATE
CANADIAN DUTY RATE.

BLOCK 35 - DUTY AND I.R. TAX: RECORD THE CANADIAN
DUTY PAID. THE REPORTED CANADIAN DUTY PAID SHOULD
BE SHOWN IN PARENTHESES. THE U.S. EQUIVALENT
AMOUNT WILL BE SHOWN DIRECTLY UNDER THE CANADIAN
DUTY PAID. THE AMOUNT SHOWN IN THIS COLUMN MUST BE
DIRECTLY OPPOSITE THE APPROPRIATE CANADIAN HTS
RATE.

BLOCK 36 - DECLARATION: SELF-EXPLANATORY.

BLOCK 37 - DUTY: RECORD THE TOTAL ESTIMATED U.S. DUTY
OWED.

FOR THE NON-ABI AND ABI FILING OF THE NAFTA DUTY
DEFERRAL CLAIM PART II, THE BLOCK 37 AMOUNT WILL
REFLECT THE COMPARISON OF THE U.S. DOLLARS DUE ON
THE COMMODITIES REPORTED IN PART I OF THE CLAIM AND
THE U.S. EQUIVALENCY OF THE TOTAL CANADIAN DOLLARS
PAID FROM THE PART II INFORMATION. THE ACTUAL
COMPARISON WILL BE SHOWN IN A BLOCK 37 CALCULATION
SUMMARY.

IF THE U.S. EQUIVALENCY OF THE TOTAL CANADIAN DOLLARS
PAID IS GREATER THAN OR EQUAL TO THE U.S. DUTY OWED, A
$0 AMOUNT SHOULD BE REPORTED IN BLOCK 37.

REPORTED IN PART I OF THE CLAIM AND THE U.S. EQUIVALENCY
OF THE TOTAL CANADIAN DOLLARS PAID.

REPORT THE "BLOCK 37 CALCULATION SUMMARY" IN THE
FOLLOWING FORMAT:

BLOCK 37 CALCULATION SUMMARY:
U.S. DUTIES OWED: XXXX.XX
CA/US (EQUIVALENT) DUTIES PAIDXXXX.XX
SUM = U.S. DUTIES OWED XXXX.XX

BLOCK 38 - TAX - NO REPORTING REQUIREMENT

THE APPLICABLE COLLECTION CODE MUST BE SHOWN ON THE LINE
IN THE FORMAT AS PROVIDED IN THE CUSTOMS DIRECTIVE 099-
3550-061, INSTRUCTIONS FOR PREPARATION OF C.F. 7501,
DATED SEPTEMBER 18, 1992.

BLOCK 41 - SIGNATURE OF DECLARANT, TITLE, AND DATE:
RECORD THE SIGNATURE OF THE DECLARANT, THE JOB
TITLE OF THE OWNER, PURCHASER OR AGENT WHO SIGNS
THE DECLARATION, AND THE MONTH, DAY AND YEAR WHEN
THE DECLARATION IS SIGNED.

5.FINAL ACTION

AS REQUIRED IN 181.53(G) C.R., RECORDKEEPING REQUIREMENTS,
THE PERSON CLAIMING A WAIVER OR REDUCTION OF DUTY ON GOODS
UNDER THE NAFTA DUTY DEFERRAL PROGRAM SHALL MAINTAIN ADEQUATE
RECORDS CONCERNING THE VALUE OF ALL INVOLVED GOODS AT THE
TIME OF THEIR IMPORTATION IN THE UNITED STATES. FAILURE TO
MAINTAIN SUCH RECORDS WILL RESULT IN THE DENIAL OF THE CLAIM.

A.CUSTOMS WILL TAKE FINAL ACTION BY COMPARING THE
EVIDENCE SUBMITTED VERIFYING THE TOTAL PAID
CANADIAN DUTY TO THE TOTAL AMOUNT OF U.S. DUTY THAT
WOULD HAVE BEEN DUE IF THE MERCHANDISE HAD BEEN
ENTERED FOR CONSUMPTION.

B.CUSTOMS WILL FINALIZE THE CLAIM BY

(1) LIQUIDATING AT THE FULL DUTIES AMOUNT
TENDERED;

(2) WAIVING OR REDUCING THE CLAIM AS FILED; OR

(3) ISSUING A BILL FOR THE ASSESSED AMOUNT.

C.UPON LIQUIDATION OF THE CLAIM, THE ACTION WILL
APPEAR ON THE CUSTOMS POSTING BULLETIN.

THE LIQUIDATION PROCEDURE OF THE CLAIMS WILL
ACCOMPLISH LIQUIDATION DATES AS FOLLOWS:

(1)THOSE DUTY DEFERRAL OBLIGATIONS FOR U.S.
DUTIES DUE UPON EXPORT THAT HAVE NOT HAD THE
REQUIRED CANADIAN ENTRY INFORMATION SUBMITTED
WITHIN THE 60 DAYS WILL HAVE A CURRENT
LIQUIDATION DATE (AS GIVEN WITH THE ACS
LIQUIDATION PROCESS) AND WILL HAVE THE
SUBSEQUENT 90 DAY PROTEST PERIOD.

(2)THOSE DUTY DEFERRAL OBLIGATIONS FOR U.S.
DUTIES DUE AND SUBMITTED WITH THE CANADIAN
ENTRY INFORMATION WITHIN THE 60 DAY DEFERRAL
TIME WILL BE LIQUIDATED USING THE ACS
LIQUIDATION MODULE.

D.THE POSTING BULLETIN WILL BE THE LEGAL
NOTIFICATION OF CUSTOMS FINALIZING THE CLAIM.

F.CLAIMS WILL BE FILED AND ARCHIVED BY CUSTOMS IN
THE SAME MANNER AS LIQUIDATED ENTRIES.

6.ADJUSTMENTS

ADJUSTMENTS MAY BE MADE TO THE NAFTA DUTY DEFERRAL CLAIMS AS
PROVIDED FOR IN 181.53(I), SUBSEQUENT CLAIMS FOR PREFERENTIAL
TARIFF TREATMENT.

A.THE ADJUSTMENT WILL BE ACCOMPLISHED USING THE
RELIQUIDATION FUNCTION CODE IN ACS.

(1)THE ADJUSTMENTS WILL BE SHOWN ON THE
CUSTOMS POSTING BULLETIN.

7.VERIFICATION OF THE NAFTA DUTY DEFERRAL CLAIM, 181.54
C.R.

A.THE INFORMATION SUBMITTED AS SATISFACTORY
EVIDENCE FOR WAIVER OR REDUCTION OF DUTIES IS
SUBJECT TO VERIFICATION WHICH WILL INCLUDE A DATA
EXCHANGE WITH THE CANADIAN CUSTOMS ADMINISTRATION.