Glossary
What is formal and informal entry?
Formal and informal entry are the two routes for clearing goods into the United States. Formal entry requires a customs bond and a full entry summary; informal entry is a simplified process available for lower-value consignments. |
What separates formal from informal entry?
- Value — informal entry is available below a CBP-set threshold; above it, formal entry is required
- Bond — formal entry requires a customs bond, informal generally does not
- Documentation — formal entry needs an entry summary; informal is simplified
- Commodity — some goods need formal entry whatever their value
Why the threshold is not the whole story
Value sets the default route, but the commodity often overrides it. Goods subject to anti-dumping duty or countervailing duty, quota restrictions, or certain agency requirements must go formal regardless of what they are worth. Splitting a consignment to stay under the threshold is treated as evasion, not planning.
How this relates to de minimis
De minimis threshold is a third and lower tier: below that value, goods may enter free of duty with minimal formality. Informal entry sits above de minimis and below formal — so a single product line can move between all three routes purely on consignment value.
iCustoms works out the right US entry route from value, commodity and origin before the shipment leaves. |
