BIS “decrementing” export licenses in ACE | KPMG | GLOBAL

BIS “decrementing” export licenses in ACE

BIS “decrementing” export licenses in ACE

A message issued today by the Bureau of Industry and Security (BIS) of the U.S. Commerce Department reports on the deployment by BIS and U.S. Customs and Border Protection (CBP) of a new automated export system (AES) function to assist filers reporting BIS-licensed exports.


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The BIS release explains that AES in late July 2016 began “decrementing” the BIS license value and now returns one or more informational messages to the filer. These messages will not preclude the issuance of an ITN, nor will they result in a “fatal error.” Depending on the circumstances of the filing, the filer may be notified:

  • The BIS license value has been met or exceeded by a prior filing.
  • The BIS license value has been exceeded by the current filing.
  • The allowable shipping tolerance (10% over BIS license value) has been exceeded by the current filing.
  • There is a remaining value on the BIS license (or perhaps a negative value).

This function and associated informational messages were initiated based on suggestions from industry that decrementation of BIS licenses be automated in a manner similar to licenses issued by the Directorate of Defense Trade Controls (DDTC) for items subject to the International Traffic in Arms Regulations (ITAR). 

The intent of this action is to enable better tracking by filers of their own license usage and to identify potential filing errors so that corrective action can be taken immediately. 


For more information, contact a professional with KPMG’s Trade & Customs practice:

Douglas Zuvich | +1 (312) 665-1022 |

Andrew Siciliano | +1 (631) 425-6057 |

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