Entry Type 86 Requirements and Application Process Explained
Entry Type 86 is a customs entry process introduced by U.S. Customs and Border Protection to simplify the importation of low-value goods valued at $800 or less. It offers a streamlined alternative to traditional formal and informal entries, reducing paperwork and clearance time for eligible shipments. This entry type is particularly useful for eCommerce businesses looking to optimize cross-border fulfillment.
Unlike previous methods, Entry Type 86 includes regulated items not eligible under Section 321 exemptions, making it a versatile choice for many importers. It helps save on duties, taxes, and fees when applicable, although certain shipments requiring specific fee collections must use other entry types.
By understanding how Entry Type 86 works and who can use it, importers can take advantage of faster processing and potential cost savings. This approach is designed to improve efficiency while maintaining compliance with CBP regulations.
Understanding Entry Type 86
The Entry Type 86 is a specific customs classification used for the importation of low-value shipments, mainly from e-commerce. It offers exemptions from duties and taxes while ensuring compliance with regulatory oversight.
Definition and Significance
Entry Type 86 applies to shipments valued below the de minimis threshold of $800. This classification primarily serves e-commerce and small parcel imports, allowing for streamlined customs clearance.
It allows importers to avoid customs duties and many fees, reducing costs. However, shipments requiring fee collection, like certain agricultural products, must use different entry types.
The process requires electronic filing of import documents, enabling customs to monitor and verify shipments quickly. It promotes efficiency and reduces delays in clearance, benefiting businesses and consumers alike.
Legal Context and Regulatory Framework
Entry Type 86 was introduced following amendments to the Tariff Act of 1930, particularly addressing Section 321 low-value imports. It falls under U.S. Customs and Border Protection (CBP) regulations focused on enhancing trade efficiency.
Brokers filing under this entry type must exercise responsible supervision and control, per 19 C.F.R. § 111.28(a). This standard ensures accuracy and compliance in all customs transactions.
The system maintains regulatory control by requiring documented proof of shipment details and value, despite the exemption from duties. This helps CBP track imports and enforce trade policies while supporting a faster clearance process.
Applications of Entry Type 86
Entry Type 86 serves to simplify customs processing for low-value shipments, particularly in eCommerce. It allows importers to avoid duties while adhering to specific regulatory standards. The process involves strict eligibility criteria and precise documentation to ensure compliance with U.S. Customs and Border Protection (CBP).
Eligibility and Filing Process
Entry Type 86 applies to shipments valued under $800 per person, per day. It is designed for goods that previously did not qualify under the de minimis threshold but still require customs oversight. Importers or brokers must file electronically through the Automated Broker Interface (ABI) or using customs compliance systems.
Brokers are required to exercise responsible supervision and control during filing, in accordance with 19 C.F.R. § 111.28(a). This includes accurate declaration of shipments and adherence to all regulatory requirements to avoid penalties or shipment delays. Importers must ensure that shipments are appropriately categorized and meet value and product restrictions.
Documentation Requirements
Importers must submit specific documents electronically when filing Entry Type 86. These include an entry summary, commercial invoice, and any applicable permits or licenses for regulated goods. Additionally, the filing must include data elements that confirm the shipment’s eligibility under the $800 threshold.
Because Entry Type 86 shipments are exempt from most duties, taxes, and fees, importers must ensure that any applicable fees, such as agricultural inspection fees, are accounted for separately via other entry types if necessary. Compliance with these documentation standards facilitates quicker customs clearance while maintaining regulatory oversight.