Improving Cashflow-Direct Duty Payment Options

Direct Duty Pay Options: Periodic Monthly Statement and Daily Statement Pay

By enrolling in Periodic Monthly Statements, an Importer can be granted up to 50 days (float) from the shipment date to pay the statement in full.

The Periodic Monthly (PM) Statement simplifies the processing of duties, taxes and fees for importers with Automated Commercial Environment (ACE) accounts. ACE allows duties, taxes and fees to be paid on a monthly basis. 

Importers participating in the PM Statement are extended credit similar to a bank extending credit. A PM Statement will be issued to an Importer on or near the 15th business day of the month for shipments released during the prior month. Generally, payment will be due within 7 days of receiving the statement.

Benefits of a PM Statement

·         Improve Cash Flow

·         Preliminary Summary to estimate monthly cash flow needs

·         Simplified Tracking of Duty Owed

·         Entry Summaries and Statements available Electronically and in Real Time

PM Statement Requirements

Payment of duties and fees through CBP’s ACH payment program

Daily Statement Pay:

Alternatively, you can sign up for ACH Daily Statement Payment and be granted 10 business days to pay duty on entries filed on any given day.

According to U.S. Customs and border Protection (CBP), all Importers will eventually be required to use ACE to pay duties, taxes and fees. Some sureties may apply a premium surcharge for perceived additional risk. 

If you are interested in learning more about these programs and how it can benefit your company, please contact your South East World Wide, Ltd. Sales Representative to discuss.