Fines, Penalties, and Forfeitures

What’s the maximum amount of money Customs can fine a person for negligence in importing (if the circumstances were not disclosed beforehand to Customs)?

According to 19 CFR 162.73(a)(3)(ii), an importer can be penalized 20% of the dutiable value of the goods.

Are fines with Customs set in stone? Do they have any room to work with importers for special circumstances?

Customs can work with penalties and mitigate fines at their discretion if

The importer is inexperienced, and the fine/penalty is a result of that inexperienceThe importer in violation takes steps to correct the source of the penalty (remarking goods, repackaging, fumigation, etc.)The importer has a long-standing history of violation-free imports.An error was made by Customs.

What would cause Customs to seize merchandise?

According to 19 CFR 171 Appendix B G, Customs decision to seize merchandise can be influenced if:

The commodity is prohibited for import.There is an import restriction on the merchandise.The importer has stopped paying required duties and taxes on their imported merchandise.Customs believes they must seize an importer’s goods in order to ensure they receive payment.

After making a verbal report to Customs about an import violation, how long do I have to provide a written statement?

According to 19 CFR 162.74(a)(2), an importer has 10 days from the time the oral report is made to provide a written statement to the Fines, Penalties and Forfeitures Officer.

I’ve made an error with Customs in the amount of duty I have to pay and have been penalized, but Customs has agreed to a reduced amount to cover everything I owe. How can I make sure it’s official?

This is known as “an offer in compromise.” In order for it to be official, you must receive notification in writing from CBP that they received the offer.

We imported a commodity that displayed a trademark which we do not own and Customs seized the shipment. The trademark owner gave us written permission to import the merchandise fourteen days after we were notified of the seizure. How long do we have to get the seizure and penalty reversed?

You have thirty days from the date the notice of seizure was mailed to petition for relief.

Please note: This article is intended for informational purposes only and is not specific legal advice. As an importer, it is your responsibility to meet all the legal requirements for importing goods.

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