Sponsor
Jodey Cook Arrington
Representative · R-TX
Representative · R-TX
The bill strengthens CBP oversight, fraud prevention, and revenue protection by forcing verified U.S. importers, electronic payments, and larger importer bonds, but it does so at the cost of higher compliance expenses, reduced payment and brokerage flexibility, and increased risk of import delays—burdening small importers and potentially disrupting supply chains.
Taxpayers and the public: Strengthened CBP verification rules plus requirement of verified electronic payments reduce fraud, money‑laundering risk, and unpaid duties, improving revenue protection and border security.
Small businesses and U.S. legal authorities: Requiring qualifying foreign firms to use U.S. subsidiaries or U.S. importers of record increases accountability and traceability of import transactions and places them more clearly under U.S. jurisdiction.
Importers, banks, and CBP: Standardizing electronic payment and verification methods creates clearer audit trails and faster payment processing, potentially streamlining customs administration.
Small and medium importers: Significant new upfront and ongoing costs from required U.S. bank accounts, electronic transfer requirements, and a $100,000 importer bond will raise barriers to entry and increase operating expenses for many small import businesses.
Small businesses, shippers, and consumers: Stricter verification and account-setup rules risk import delays, entry holds, and supply‑chain disruptions—especially during the initial transition—raising costs and causing inventory problems.
Customs brokers and small importers: Prohibitions on individuals serving as importer for multiple entities and bans on third‑party payments remove common operational flexibilities, forcing higher staffing, broker fees, or restructured arrangements.
Based on analysis of 4 sections of legislative text.
Requires U.S.-based importers of record, electronic payments from U.S. banks with AML attestation, and $100,000 importer bonds with CBP verification and penalties.
Official title: To amend the Tariff Act of 1930 to impose additional requirements with respect to importers of record, and for other purposes.
Introduced March 5, 2026 by Jodey Cook Arrington · Last progress March 5, 2026
Makes the person or company listed as the importer of record for U.S. customs entries be physically located in the United States, requires duties/taxes/fees to be paid by electronic transfer from U.S.-chartered bank accounts that have AML identity verification, raises minimum continuous import bond amounts to $100,000 for most importers, and directs CBP to write implementing regulations and verification procedures. The changes phase in over months (regulatory deadlines, one-year effective dates, and staggered bond timelines) and include limits on who can serve as importer of record and when broker-held bonds may be used.