CSMS 41089761·Operational·December 23, 2019·View on csms.cbp.gov ↗

Craft Beverage Modernization Act (CBMA) Legislation Extension 2020

Plain-English explanation

CSMS 41089761 is a U.S. Customs and Border Protection (CBP) Cargo Systems Messaging Service bulletin (operational), published on December 23, 2019. It carries the official CBP guidance brokers and importers must follow for the topic — "Craft Beverage Modernization Act (CBMA) Legislation Extension 2020". CSMS messages are the operational layer between Commerce determinations and at-the-border collections: when Commerce publishes a new rate, scope ruling, or instruction, CBP turns it into a CSMS that ACE/ACS systems and brokers act on.

Message body

Full text as published by U.S. Customs and Border Protection

CSMS #41089761 - Craft Beverage Modernization Act (CBMA) – Legislation Extension 2020 U.S. Customs and Border Protection sent this bulletin at 12/23/2019 04:37 PM EST Cargo Systems Messaging Service CSMS #41089761 - Craft Beverage Modernization Act (CBMA) – Legislation Extension 2020 Craft Beverage Modernization Act (CBMA) Initial 2020 Messaging – Legislation Extension 2020 Background Effective January 1, 2018, the Craft Beverage Modernization and Tax Reform Act of 2017 (CBMA) (as contained in Pub. L. No. 115-97) amended the Internal Revenue Code with respect to the tax treatment of certain alcoholic beverages. The provisions of the CBMA were effective during calendar years 2018 and 2019. Effective January 1, 2020, CBMA (as contained in Pub. L. No. 116-94) was extended through calendar year 2020. Under the CBMA, reduced tax rates and/or tax credits are applicable to importations of certain limited quantities of distilled spirits, beer or wine imported from each assigning entity (as described in the CBMA). Further, the allocations of the tax credits or reduced tax rates by the assigning entity to all importers may not exceed the quantities allowed by law. As a result, for an importer to be eligible to receive a reduced tax rate or a tax credit, the importer must be able to substantiate that the assigning entity has assigned an allotment of its reduced tax rate or tax credits to the distilled spirits, beer, or wine imported by that importer. Guidance With respect to CBMA claims on entries with a date of import in 2020, CBP advises the trade community to follow the 2018-2019 procedures and requirements currently in place for CBMA. CBP will issue further instruction on CBMA 2020 claims in early 2020. Please refer questions to CBMA@cbp.dhs.gov. Update your subscriptions, modify your password or e-mail address, or stop subscriptions at any time on your Subscriber Preferences Page . You will need to use your e-mail address to log in. If you have questions or problems with the subscription service, please contact subscriberhelp.govdelivery.com . This service is provided to you at no charge by U.S. Customs and Border Protection . Privacy Policy | GovDelivery is providing this information on behalf of U.S. Department of Homeland Security, and may not use the information for any other purposes. Powered by Privacy Policy | Cookie Statement | Help

Frequently asked questions

What is CSMS 41089761?

CSMS 41089761 is a U.S. Customs and Border Protection (CBP) Cargo Systems Messaging Service bulletin titled "Craft Beverage Modernization Act (CBMA) Legislation Extension 2020". CSMS bulletins are the operational instructions CBP issues to brokers, importers, and ACE filers covering rate changes, system updates, scope guidance, and other day-to-day customs-operations changes.

When was CSMS 41089761 published?

CBP published CSMS 41089761 on December 23, 2019. The bulletin's instructions are typically operative as of the publication date unless the body specifies a different effective date.

Is the CBP CSMS the legally binding instruction?

Yes — for at-the-border filing and entry collection. CSMS messages translate Commerce's Federal Register determinations into operational CBP instructions that ACE/ACS systems and brokers execute. The Federal Register notice is the underlying legal authority; the CSMS is the operational implementation. Both should be read together when reconciling a rate or scope change.

Learn more

Tandom guides relevant to CBP CSMS messages

Subscribe to and triage CBP CSMS messages

How to subscribe to CBP Cargo Systems Messaging Service and triage the messages that change broker filing behavior, without losing the ones that matter.

Open resource

Real-time alerts when a CSMS message changes a duty rate

Set up alerts when a CBP CSMS message changes a duty rate on an HTS code you depend on. Built for brokers, forwarders, and importer compliance teams.