On August 23, 2011, CBP's Revenue Division posted a website notice concerning collection of the required $50 application fee that is due when a party is applying to CBP for authorization to handle merchandise in bond (a party applying for bonded carrier status). The CBP Regulations (19 CFR 112.12(a)) require that applicants for bonded carrier authorization must submit a continuous activity code 2 (C2) bond in the proper amount and a check for $50 to CBP.
The purpose of CBP's notice is to educate the trade that (1) the fee must be paid to a particular Revenue Division group in Indianapolis, along with required information to accompany payment (prior to this it was paid at the local port), and (2) that ANY C2 bond filed with the Bond Team must either (a) give evidence that the $50 was paid, or (b) state that the bond being filed is not the type of bond described in 19 CFR 112.12(a).
This will be enforced with any C2 bond submitted on or after October 1, 2011.
A quick reading of CBP's posting may make it sound like any C2 bond needs a $50 filing fee. That is not the case. The $50 fee is only required when a firm is applying to CBP for the authorization to be a bonded carrier. If it is already a bonded carrier and just terminating and replacing a bond, no fee is required. The $50 fee is only required of bonded principals that are asking CBP to approve them to be a bonded carrier. The typical bond principal fitting this scenario will be a trucker or customs broker/freight forwarder. Where a fee is required, it is sent to CBP separately (and at least a few days in advance) from the filing of the bond.
We will be modifying FastBond™ to ensure this new requirement is part of any C2 bond package.
Roanoke Trade is dedicated to partnering with you on the management of your bonds and other insurance needs. Contact your Roanoke Trade service representative today at 800-762-6653 or at fastbond@roanoketrade.com to learn more.
Sincerely,
