FAQ Section 321 Entry Type 86
Entry Type 86 is a US Customs and Border Protection (CBP) entry type for goods valued under $800 USD - previously allowed under what is commonly known as a Section 321. These are filed on the ACE manifest without a formal Customs entry, provided there were no entry restrictions. Entry Type 86 shipments are not required to pay duties and taxes and as a result, an entry bond is not required. This is an appealing option for many businesses. Keep reading to understand how Entry Type 86 will affect Section 321 shipments.
Why Did CBP Create Entry Type 86?
CBP created Entry Type 86 to better assess what goods are entering the US under this low value provision, which will improve their ability to screen these goods in the interest of the safety and security of the US.
Are Duties And Taxes Owed?
No, your low value shipments will be entered as an entry; however, no duties and taxes will be applicable. A Power of Attorney will be required to be in place with your chosen Customs Broker in order to conduct customs business on your behalf, and you will receive a service fee from your Customs Broker for entry services.
How Do I File An Entry Type 86?
Your Customs Broker will file an electronic Entry Type 86 the same way they file an electronic Entry Type 01 Consumption Entry or Type 11 Informal Entry.
Will I Need A Tax ID Number?
Depending on the commodity, you may or may not need to provide a Tax ID number for the consignee at the time of entry.
Are Entry Type 86 Entries Paid On Statement?
Entry Type 86 entries are not required to be paid on statement.
Is An Entry Type 86 Allowable For PGA Regulated Goods?
Yes, provided there are no fees associated with the PGA. If there are, Entry Type 86 is not allowed. Additionally, goods subject to Anti-dumping and or Countervailing duties, quota and other products such as alcohol and tobacco are excluded from Entry Type 86 use.
Are you looking for assistance importing your low-value goods? Call us to understand your options.