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What’s New in
ATA Carnets! August 9th, 2016
Donna Mullins Mullins International Solutions
Amanda Barlow Roanoke Insurance Group Inc.
What is an ATA Carnet?
Merchandise Passport
International development tool
International customs document
Allows temporary entry of items, duty-free
and tax-free, whether shipped or hand-carried
Established by international ATA convention
Why is ATA Carnet Good for Your
Business?
Eliminates posting of a financial guarantee Deposit of duties and taxes e.g., yen, euro, sterling.
EU, minimum 20% of value
China, minimum 17% of value
Mexico, minimum 16% of value
Temporary importation under bond (TIB)
One document for all customs transactions (Exception: export/import licenses)
ATA Carnet Benefits continue…
Unlimited entries/departures for up to one year
Acts as U.S. Customs registration (CBP4455)
Minimizes language problems
Split and partial shipments possible
Arrangements made in advance and
in U.S. dollars
What can go on ATA Carnet? Not Trade Show items only!
3 Primary Categories:
1. CS--Commercial Samples
2. PE--Professional Equipment
3. EF—Goods for Exhibitions and Fairs
Real Life ATA Carnet Shipments Computer equipment
Wearing apparel
Billiards tables
Camera equipment
Aircraft, autos, boats
Display booths
Human skulls
Theatrical scenery
Catering equipment
Trade show booths
Jewelry
Live animals
Sporting goods
Musical instruments
Power systems
Rare books
What Cannot Go on ATA Carnet
NOT covered: giveaways, food items, plants, consumables, disposable items, postal traffic and personal autos for touring
No “substantial transformation” in product or value
No repairs nor replacements
Where Can ATA Carnets Go?
76 member countries and the customs territories they administer:
France Monaco
Spain Canary Islands
South Africa Namibia, Lesotho, Botswana, Swaziland
New ATA Carnet Countries New Members:
2011: UAE, Bosnia Herzegovina and Mexico
2013: Albania and Madagascar
2014: Bahrain
2015: Indonesia
2016: BRAZIL joined June 28
Coming Soon:
Saudi Arabia
Qatar
US ATA Carnets, US
CBP and Foreign
Customs Compliance
How do you ensure a U.S. ATA
Carnet is Compliant?
VOID VOID
1
1
2
2
ATA Carnet Best Practices
1.Box H on the Green Cover must be validated
2.General List must be clearly described include
any and all unique identifying characteristics
3.Expired US ATA Carnets must be accepted by
CBP for re-importation
4.Foreign Customs has the right to restrict entry
5.Split and Partial shipments are possible, but
require a lot of attention
6.Request a Duplicate ATA Carnet
Options to Avoid the ATA Carnet
Police!
1.Exportation Counterfoil Stamp
2.Re-importation Counterfoil stamp
3.Certificate of Disposition (CBP 3227)
4. Other Customs verified related documentation
5. Police report
6. Extending an ATA Carnet
7. Selling goods on an ATA Carnet
Extending the ATA Carnet
Option 1: Extending the ATA Carnet with a
Replacement ATA Carnet
Option 2: Converting to another form of
Temporary Entry
Selling the goods entered on
an ATA Carnet
Duty + Tax + Penalty
Penalty = 10% of the duty and taxes
Split/Partial Shipments: only accessed on
the total value of the items not re-
exported
Foreign ATA
Carnets and US
CBP Compliance
How do Foreign ATA Carnets Work?
Foreign ATA Carnets and US CBP
Compliance
1.Exportation Counterfoil Stamp
2.Re-importation Counterfoil stamp
3. Other Customs verified related documentation
4. Police report
5. Extending a Foreign ATA Carnet with US CBP
6. Selling goods entered on an ATA Carnet
Extending the Foreign ATA Carnet
in the U.S.
USCBP does NOT accept Replacement ATA Carnets
Two Options:
1.Convert an ATA Carnet to a Temporary Import
under Bond (TIB)
2.Six months Grace period
Converting an ATA Carnet to a TIB
Before expiration date of the ATA Carnet
Allows an additional year to remain in the U.S.
ATA Carnet Number must appear on the TIB
paperwork
Merchandise description, weight and value must
match the ATA Carnet General List
ATA Carnet’s re-exportation voucher should be
presented and validated by U.S. Customs
referencing the TIB/Entry number and date
Six Months Grace Period
US CBP Must stamp an expired Foreign ATA
Carnet exiting the U.S.
Late re-exportations are permitted, and mitigation
of duties will be afforded if re-exported:
Up to 90 days after ATA Carnet expiration: 25% of the
duty and 10% penalty (minimum $50)
90 to 180 days after ATA Carnet expiration: 50% of the
duty and 10% penalty (minimum $100)
Selling off of an ATA Carnet
Do not try to convert to a Consumption Entry
Request an Anticipatory Breach for Liquidated
Damages to be paid
A CBP F 5955A penalty notice must be issued (by
Entry Division), generating a Customs case
number and listing the ATA Carnet details, and
citing applicable duty. (A flat $100.00 for duty-free
or low-duty ATA Carnets).
ATA Carnets and US
CBP Compliance
Stay Compliant with Export Licenses
and CBP requirements!
ATA Carnets do not substitute for export
licenses
Seek licenses with appropriate authorities
and present them with the ATA Carnet at time
of customs clearance
Last Port of Export no longer enforced
10/28/2011
Importer Security Filing (ISF) 10+2
ATA Carnets are NOT exempt from 10+2
ATA Carnets ARE exempt from the 10+2
Bond requirement when returning to the U.S.
by ocean
CBP modified its system to accept 9 types of
coded transactions ATA Carnet is 06
HTSUS is still required
Electronic Export Information
Requirement
October 2nd, 2014 ATA Carnets were once again
exempted
Ensure to note ATA Carnet NO EEI per 30.37(q)
or (r) on the required manifest/shipping
documents where the ITN number/exemption
typically is noted.
Secret to ATA Carnet
Compliance!
The ATA Carnet Along with
the Goods are always
together for Customs
Clearance, and when in doubt
call your ATA Carnet provider!
Obtaining a U.S.
ATA Carnet for
exportation
How does a U.S. Exporter get
an ATA Carnet?
Logistics providers can apply for the
ATA Carnet on your behalf
Insurance Companies can provide ATA
Carnet service
Mullins International Solutions
The Application Process.
Six Part Process:
1.Pre-registered account
2.Info on Exporter and its Customs
Brokers and/or Freight Forwarder
3.Describe the goods
4.Countries
5.Security Deposit
6.Fees
USCIB as the US CBP appointed National Guarantee Organization requires a security deposit
Typically 40% of the value of the goods
Two options available:
Cash deposit
ATA Carnet Surety bond
What is the Security Deposit?
How much does the ATA Carnet
cost? Basic Fee: $225-$380 based on the value of the General List. Sample: $50,000 in value and posting an ATA Carnet Surety Bond.
Processing: $340
Bond Prem: $200
S & H fee: $20
Total Cost: $560
How long does it take to get the
ATA Carnet?
Standard Processing 2nd Business day
Rush Processing Next day $75
Same-Day Processing available at pick up
locations around the country $150
Additional Value Added Services
Duplicate Carnet: used for a lost, stolen or destroyed Carnet. Expiration date remains the same
Lost Document Coverage: covers the cost of obtaining a Duplicate ATA Carnet
ATA Carnet Cargo Insurance: All Risk enhanced policy that covers new and used goods tailored to the ATA Carnet shipment. Most importantly covers the duties, taxes and penalties if the goods are lost, damage or stolen.
Thank You!
Donna Mullins
Phone: 404.429.6341
Amanda Barlow
212.412.9229
