CBP Won't Allow for Accelerated Payment of TFTEA Drawback Claims
CBP will not use accelerated payment for processing claims under the new drawback procedures until the associated regulations become final, Sandler Travis' Michael Cerny, who chairs the Trade Support Network’s drawback working group, said in a blog post. The agency is required to begin accepting drawback claims under the Trade Facilitation and Trade Enforcement Act as of Feb. 24 and is in the process of issuing associated rules. "Claimants filing for drawback under the more advantageous TFTEA provisions will have to wait months, if not longer, to obtain their refunds," Cerny said.
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The lack of accelerated payment will mute some initial advantages created by the TFTEA changes, Cerny said. "Drawback claimants are expected to start taking advantage of these statutory changes as soon as they take effect Feb. 24," but "there will be little immediate practical benefit, as outside this procedure CBP typically takes up to a year to liquidate drawback claims," he said. The National Customs Brokers & Forwarders Association of America said in November that the agency might not allow for accelerated payments for TFTEA claims (see 1711060043). CBP didn't comment.