Voluntary tender pays duty owed before formal CBP action, reducing penalty exposure. Prior disclosure formally discloses violations to CBP before discovery, reducing penalty multiplier from 4x to 1x. Both useful in different contexts; sometimes both are filed for comprehensive remediation.
This guide covers Voluntary Tender vs Prior Disclosure. Refund and recovery work spans multiple statutes and mechanisms – drawback, CAPE refunds, PSCs, protests, reliquidation under § 1520.
For SMB importers, the practical implementation depends on volume, sector, and operational structure.
Voluntary tender
Pays duty owed before formal action. Reduces penalty exposure. Less formal than prior disclosure.
Prior disclosure
Formal disclosure of violations to CBP before discovery. Reduces penalty multiplier (typically from 4x to 1x).
When to use each
Voluntary tender for quantifiable underpayments. Prior disclosure for systemic compliance issues with multiple periods or types of violation.
Combined approach
For comprehensive remediation, file prior disclosure with accompanying voluntary tender. Maximizes penalty reduction.
Frequently asked questions
When is this most relevant?
For SMB importers facing audit, refund opportunity, or compliance gap remediation.
What documentation matters?
CBP forms, supporting records, supplier certificates, and BOM analysis as applicable.
What is the timeline?
Simple matters 2-4 weeks; complex audits or refund filings 3-12 months.
What does this cost?
Project scope $5,000-$45,000 depending on complexity. Refund work often on contingency.
How do I begin?
Book a 15-minute scoping call. We confirm fit before any engagement.
Get started
Run a refund opportunity audit on your import history. Free preliminary estimate.