US Drawback Feasibility Estimator
Estimate potential 99% duty refunds for exported or destroyed US imports under 19 U.S.C. § 1313.
The 99% Rule & TFTEA
Per US law, CBP retains 1% of the duties/fees as an administrative charge. The importer recovers 99% of the qualified amounts paid.
19 U.S.C. § 1313 Citation
"Modernized drawback under TFTEA (Trade Facilitation and Trade Enforcement Act) allows for 8-digit HTS substitution."
Indicative calculation for planning only. Verify against the applicable CBP notification in force on your shipment date before filing or contracting.
Estimated net refund (99% of total paid)
Impact Summary
Recovery of $0 represents a 99% return on qualified payments. CBP retention of 1% is $0 per 19 U.S.C. § 1313.
Time Limits
- Claims must be filed within 5 years of the date of import.
- Proof of exportation (B/L, AWB) is mandatory for unused drawback.
- Substitution drawback allows for using matching commercial inventory.
Overview & methodology
Types of Drawback Recovery
The two most common forms are Unused Merchandise Drawback (exporting the goods in the same condition as imported) and Manufacturing Drawback (using imported inputs to create a new product for export). Under TFTEA modernization, importers can use "substitution" to claim refunds based on 8-digit HTS codes rather than tracking specific physical units.
Numerical Example: China Tariff Recovery Estimate (Section 301)
Qualified fees like MPF and HMF are also eligible for the 99% refund, provided they were paid at the time of entry.