GSP Expiration Advisory

With the passage of the tax bill Congress is set to leave town this week without renewing the Generalized System of Preferences (GSP) tariff program.  The failure to renew GSP has nothing to do with Congressional support, there is strong bi-partisan support for GSP, the clock just ran out on 2017 as they worked to pass tax reform by the end of year.  Congress will extend GSP early in 2018 and the duty free treatment of products imported from GSP countries will continue.  In the interim, until Congress renews the GSP, importers should continue to declare GSP-eligible imports with the relevant special program symbol (A, A+ or A*) as a prefix to the HTS number on entry forms.

Importers will remain responsible for maintaining paperwork ensuring that the products are eligible for GSP, in case a CF 28 form is requested, or an audit is conducted.  Once Congress renews the program, duty refunds will be automatically issued for entries that were submitted through ACE, but no interest will be paid.

Hope this does not create huge inconvenience for you but it should be a very short term issue.

 

Have a wonderful Holiday Season.

Best,

Bill

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s