FAQ

Frequently Asked Questions

You Want Answers...ITM Has You Covered.

Duty Drawback

  • What fees are involved in a duty drawback program?

    ITM manages all drawback programs on a 100% contingency basis. There are no upfront charges or hidden fees. We do not charge to prepare and submit drawback applications or to reply to any inquiries from CBP related to drawback. If no money is recovered then there is no cost to the client. 

  • How can I tell if my company is a candidate for duty drawback and if it’s worth pursuing a program?

    EXAMPLE: 1 million in duties paid and 50% of overall sales are exported.  This would give an estimate of $500,000 in recovery of duties. 


    See if you Qualify

  • How much effort will be required by my company to participate in duty drawback?

    ITM is a full-service provider but will need your support to initiate and run the program. Our relationship will start with a kick off meeting that will include key representatives from your company and your specifically assigned Tariff Manager from ITM.  We will work with the designated members of your organization to obtain the necessary information needed for the program.

  • What if I am the exporter and not the importer or just import but do not export? Can I still claim duty drawback?

    Under the regulations, it is the importer who pays the duties but the exporter who is entitled to claim drawback.  Often a claimant is both the importer and exporter but you can also claim drawback if you are only one, the other, or neither.  In these different scenarios, ITM can put a program in place by connecting all of the parties and securing the appropriate support documentation required by CBP.

  • What about maintaining confidentiality?

    ITM gets it…No one wants their information shared or their pricing revealed.  ITM has a standard non-disclosure agreement which we routinely use but we are willing to use one provided by our clients. We know that the NDA provides our clients with the necessary comfort that their information is protected but an NDA also enables ITM to work with your vendors. By forming an NDA between ITM and your suppliers, we have found that vendors are significantly more agreeable to providing their information for use in a drawback program.

  • How far back can we go when filing duty drawback?

    In most programs, a claimant can go back 5 years on the imports from the date the claim is filed.

  • What does the timeline look like when implementing a drawback program?

  • Are the 301 tariffs still in effect?

    The 301 duties are still being applied to almost everything coming into the U.S. from China. 

    Unless you qualify for an exemption or exclusion, you are likely paying between 7.5% - 25% duty

    on your imported items from China. If you, or your customers are exporting these items, ITM can help you get them back by setting up a duty drawback program.

  • Are 301 tariffs eligible for drawback?

    Yes! You can claim drawback on 301 duties. Many of our existing clients have added hundreds of 

    thousands of dollars to their recoveries. New clients, some who had never paid duty before, 

    have established lucrative drawback programs and are recouping a significant amount of the 

    duties that they paid on imports from China.

Classification

  • How often should I review my imports?

    ITM recommends review of your imports on an annual basis. CBP reviews items regularly and is making new rulings on a daily basis.

  • My broker handles my classification. Why should I hire ITM for a classification review?

    Brokers have the understanding of the HTSUS but they do not take the initiative to get all of the details about your products. At ITM, we combine our expert knowledge of the HTSUS and the rulings issued by CBP as well as do an in-depth analysis of your product in order to find the correct HTS. 

  • What if it’s found during a classification review that we overpaid duties? Can I recover some of the overpaid duties?

    Yes! If ITM finds that a company has misclassified an item or items and overpaid duty, we can go back about 18 months and protest the applicable entries. If CBP is in agreement of our protest, we  advise our clients to make the appropriate classification changes going forward so they can partake in the lower duty rate while remaining compliant.  

Free Trade

  • When participating in a FTA, how important is it to review the classification of my imports?

    Everything related to a Free Trade Agreement starts with the proper classification of your goods.  If a classification is inaccurate, your free trade certificate or declaration will be incorrect.

  • If my products qualify for one FTA with the United States, will they qualify for all 14 different trade agreements?

    No. Each agreement has unique requirements in order to qualify. You must review each one to determine unique eligibility.

  • If I have a FTA certificate already in place and I receive a new item may I just add the new item to an existing certificate?

    No, a new certificate must be in place for each new item not listed on the original certificate, However, when qualifying goods you may list several on one certificate. 

Don’t see the answer you were looking for? Submit your question and ITM will reach out within 24 hours.

Recover funds that are rightfully yours

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