CBP Issues Instructions for Duty Drawback Claims on Goods Destroyed by Hurricane Sandy

CBP issued instructions for duty drawback claims for merchandise destroyed by Hurricane Sandy, in a CSMS message. If duties and taxes were paid and the goods are either exported or destroyed, the goods may qualify for a duty drawback refund under 19 U.S.C § 1313(c), it said. The importer will be required to provide documentation to CBP with details about the condition of the merchandise, as well as any insurance claims filed. If the importer has been reimbursed for duties and taxes via an insurance claim, the merchandise is not eligible for drawback, CBP said.

CBP will waive the requirement to file a CBP Form 7553, Notice of Intent to Export or Destroy, as long as the importer provides detailed supporting documents showing the movement of the merchandise from import through to its ultimate exportation or destruction, it said. This documentation must include the submission of any comprehensive insurance claim filed by the claimant which indicates to CBP that duties and taxes were not included, as well as third-party destruction documentation which demonstrates to CBP that the merchandise was completely destroyed and will no longer be an article of commerce, CBP said. All drawback claims which are submitted to CBP should be clearly marked as “Hurricane Sandy” filings to allow for acceptance of the claim with these special requirements.

Questions regarding these procedures should be directed to the New York Drawback office at 973-368-6950 or Laurie Dempsey, Branch Chief, Entry, Summary, and Drawback at laurie.dempsey@dhs.gov.