CUSTOMS READY TO ENFORCE NEW SED FORM FILING DEADLINE
U.S. Customs has sent word to its outbound field staff around the country to be on the lookout for exporters and freight forwarders that file the outdated Census Bureau shipper’s export declaration forms after April 1.
Census’ Foreign Trade Division developed the new SED form last year, Commerce Form 7525-V, to make it consistent with the agency’s U.S. principal party in interest rules and the data requirements of the Automated Export System.
SEDs are used by Census to compile the country’s trade statistics, while Customs uses the information to target illegal exports.
To ensure that the industry replaces its old SED forms, Census sent a letter March 1 instructing Customs, which collects the documents on behalf of the agency, to take “necessary and appropriate action to ensure the enforcement of this provision.”
Allen Gina, director of outbound programs for Customs, has sent notifications to the Customs Management Center directors, port directors and field inspectors to reject the old SEDs after April 1. As a result, exports may be detained and filers risk a $150 penalty per outdated SED filed.
“We made a point to talk to the major trade groups about the new SEDs,” said Adam Wysocki, AES team program manager for Customs’ outbound programs in Washington. “The word has been widespread.”
Three Federal Register notices have been published by the U.S. government since the announcement of the new SED form last year. The industry was given a 180-day grace period to switch to the new forms.
Large industry groups, such as the National Customs Brokers and Forwarders Association of America, American Association of Exporters and Importers and Customs Electronic Systems Action Committee, have alerted their membership about the new SED filing deadline in their newsletters and meetings.
“Ample notice has been presented. I have to assume the industry is ready,” said Peter H. Powell Sr., president of the NCBFAA, and chief executive officer of C.H. Powell Co., based in Westwood, Mass.
The industry may print the new form onto “buff”-colored paper from Census’ Web site at http://www.census.gov/foreign-trade .
For many exporters and forwarders, the new SED form deadline is not an issue, because they’re filing this information through Customs’ AES, or via Census’ free Internet link, AESDirect. “With the surge of electronic filing, it should affect fewer companies than if there was no electronic alternative,” Powell said.