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CSMS # 53992279 - CBP Verification of Bond Amounts and Requests for Additional Security for Temporary Importation Under Bond (TIB) Entries

On November 7, 2022, U.S. Customs and Border Protection (CBP), Office of Trade issued an internal memorandum to CBP personnel to provide guidance for verifying bond amounts for Temporary Importation Under Bond (TIB) entries and requesting additional security under a Single Transaction Bond (STB) when a Continuous Bond (CB) is on file but is not sufficient to cover the TIB requirements in 19 CFR § 10.31(f).

The Bond Amounts Required for TIB entries are as follows:

• For all merchandise except the categories below, the bond shall be in an amount equal to 2x the estimated duties, including fees, determined at the time of entry per 19 CFR § 10.31(f).
• In the case of samples solely for use in taking orders entered under subheading 9813.00.20, HTSUS, motion-picture advertising films entered under subheading 9813.00.25, HTSUS, and professional equipment, tools of trade and repair components for such equipment or tools entered under subheading 9813.00.50, HTSUS, the bond shall be in an amount equal to 110 percent of the estimated duties, including fees, determined at the time of entry per 19 CFR § 10.31(f).
• In the case of restricted/prohibited merchandise, the bond shall be in an amount equal to the greater of 2x the duty including fees or 3x the value (19 CFR § 113.62(n)(1)) of the merchandise.

CBP Requests for Additional Security for TIB entries:

The regulations under 19 CFR § 10.31(f) allow for the use of either a CB or STB to secure TIB entries. There are situations where the CB on file with CBP is not in an amount sufficient to meet the TIB bonding requirements, noted above, placing the revenue at risk.

If the CB is not sufficient to cover the TIB requirements, the Office of Finance – Revenue Division (OF-RD), Port of Entry, or Center may require an additional STB to protect the revenue. The additional STB will be in an amount equal to the difference between the CB amount and the bond amount required for the TIB entry.

For example:

If the CB used to secure the TIB entry is for $50,000 and the bond amount required for the TIB entry, is $150,000, an additional STB in the amount of $100,000 is required.

As stated above, the regulations under 19 CFR § 10.31(f) allow for a CB to be used to secure TIB entries, and further, multiple TIBs can be filed using the same CB. If an STB is needed, the amount requested should be the difference between the CB and the TIB bond amount for that entry, regardless of how many entries are secured by the same valid CB.

For example:

If 3 TIB entries are submitted on the same $50,000 CB and the TIB bond amount required for each TIB entry is $100,000, the amount requested for the additional STB will be $50,000 for each TIB entry.

Notice of the required additional STB from CBP must be in writing to the Importer and must contain the amount of the additional bond required, as well as information about the reason for the additional bonding. The notice can be provided in an entry summary reject notice, a cargo reject notice, on a CBP Form 29 Notice of Action, or via insufficiency letter (from OF-RD only). When notice is provided by CBP in an entry summary or cargo reject notice, the timeframes for rejecting entries in the Entry Summary Acceptance and Rejection policy apply.

This guidance serves as a supplement to Customs Directive 3510-004, Monetary Guidelines for Setting Bond Amounts, dated July 23, 1991 and will remain in effect from the date of issuance until either updated guidance or an updated Directive is issued.

This guidance will be included in the next external version of the ACE Entry Summary Business Process Document and Monetary Guidelines for Setting Bond Amounts Directive.

Any questions related to this notice, bond policy, or the external version of the ACE Entry Summary Business Process Documents should be sent to the Office of Trade, Commercial Operations, Revenue, and Entry Division, Bond Policy at otbond@cbp.dhs.gov.

Any questions related to bond sufficiency should be sent to the Office of Finance, Revenue Division at bondquestions@cbp.dhs.gov.

If you receive instructions from CBP to provide additional security for a TIB entry contrary to this notice, please contact Bond Policy within the Commercial Operations, Revenue and Entry (CORE) Division at otbond@cbp.dhs.gov.