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Notice to Masters of Vessels: Guidelines for Avoiding Violations and Penalties 

Masters or vessel owners may incur penalties for violations of United States Customs laws, 

including violations committed by members of their crews. If masters take proper precautions, 

however, penalties may be avoided or reduced. The precautions listed below are intended to 

guide vessel owners and masters of vessels in their efforts to obey the law and avoid violations. 

ARRIVAL AND ENTRY

REPORT OF ARRIVAL 

The “Report of Arrival” is a simple notification accomplished by telephone. “Entry” is a more 

formal documentary process. Report of arrival is made when the master of a vessel immediately 

reports his arrival to the nearest Customs facility. Making entry requires the master, licensed 

deck officer, or vessel agent to appear in person at the customhouse to present the paperwork 

needed to make entry. The following vessels must report to a Customs officer immediately upon 

arrival (19 U.S.C. 1433,1401(k)): 

 Any vessel from a foreign port or place; 

 Any foreign vessel from a domestic port; 

 Any vessel of the United States arriving from another U.S. port and having merchandise 

on board being transported in bond (this does not include bonded ship’s stores or 

supplies), or transporting unentered foreign merchandise; or 

 Any vessel, either U.S. or foreign, which has visited a hovering vessel (19 USC 1401(k)), 

or has delivered or received merchandise or passengers outside or U.S. waters. 

REPORT OF DEATH OR ILLNESS 

The U.S. Public Health Service http://phs.os.dhhs.gov/ laws and foreign quarantine regulations 

require that masters of vessels arriving from foreign areas immediately report by radio to the 

quarantine station any deaths that have occurred among passengers or crew, or any illnesses 

having one or more of the following symptoms: 

 Temperature of 100 F or greater accompanied or followed by rash, jaundice, or 

glandular swelling; 

 Temperature of 100 F or greater which persisted for two days or more; 

 Diarrhea severe enough to interfere with work or normal activity. 

ENTRY 

The following vessels must make formal entry at the Customhouse within 48 hours of arrival (19 

U.S.C. 1434(a): 
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 Any vessel from a foreign port or place; 

 Any foreign vessel from a domestic port; 

 Any vessel of the United States arriving from another U.S. port and having merchandise 

on board being transported in bond (this does not include bonded ship’s stores or 

supplies), or transporting unentered foreign merchandise; or 

 Any vessel, either U.S. or foreign, which has visited a hovering vessel (19 USC 1401(k)), 

or has delivered or received merchandise or passengers outside or U.S. waters. 

Formal entry may be made for all vessels by filing the following documents: 

 The original and one copy of a complete manifest; 

 Any bills of health issued at the foreign port or place from which the vessel arrived; 

 U.S. vessels must also file a Customs Form (CF) 226, a foreign repairs declaration, 

indicating any repairs that were made abroad. A negative declaration on CF 226 is 

required if no repairs were made. 

Important: If a vessel which has arrived from a foreign port or place departs or attempts to depart 

from a Customs collection district without report of arrival or without making entry as required, 

the master will be subject to a penalty of $5,000 for the first of each of the arrival or entry 

violations and $10,000 for each subsequent violation. The vessel may be subject to arrest, 

seizure, and forfeiture (19 U.S.C. 1433, 1436). (See also Foreign Repairs & Equipment) 

MERCHANDISE

MANIFEST VIOLATIONS 

Masters of vessels will incur a penalty of $1,000 if a manifest is not presented to Customs (19 

U.S.C. 1584). 

If the Customs officer finds that unmanifested merchandise is on board or has been unladen from 

a vessel, prior to making entry, a penalty equal to the domestic value of the merchandise -- up to 

a maximum of $10,000 -- may be incurred. The merchandise is also subject to forfeiture if it 

belongs to the master of a vessel, the vessel owner, or any officer or crewmember. 

Masters of vessels who unlade unmanifested merchandise could also incur a penalty for unlading 

without a permit. (See Lading and Unlading Violations). The permit is obtained from Customs 

during the preliminary entry process. 

If masters of vessels describe merchandise on a manifest and that merchandise is not found or 

located on the vessel, a penalty of $1,000 may be imposed. 

The vessel owner or anyone else directly or indirectly responsible for any discrepancy may be 

liable for the penalties discussed above. However, if Customs has cited the master of a vessel for 
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the violation, the burden is on the master to prove that someone other than himself is responsible 

for the violation. (19 U.S.C. 1584). 

LADING AND UNLADING VIOLATIONS 

If merchandise is laden on or unladen from a vessel without a permit, masters of vessels will 

incur a penalty equal to the value of the merchandise. The merchandise will also be subject to 

forfeiture and, if the merchandise is worth more than $500, the vessel will be subject to 

forfeiture. Furthermore, anyone else involved in the lading or unlading of the merchandise will 

also incur a penalty equal to the value of the merchandise. (19 U.S.C. 1453). 

A permit to unlade does not allow the unlading of unmanifested merchandise from the vessel. If 

unmanifested merchandise is unladed, masters of vessels will incur a penalty. 

EXPLANATION OF MANIFEST DISCREPANCIES 

Under certain conditions, masters of vessels may be permitted to clarify or explain manifest 

discrepancies, i.e., the difference between unladen cargo as listed on a manifest and the cargo 

which is actually unladen. In such cases, masters of vessels may be able to avoid penalties for 

the filing of a false or incorrect manifest (19 U.S.C. 1584). 

ILLEGAL IMPORTATION OF VESSEL SUPPLIES 

Liquor, tobacco products, and other articles withdrawn from a U.S. bonded warehouse as vessel 

supplies are, by law, intended only for the crew's use on a voyage. If masters of vessels or any 

other officer or crewmember bring any of these articles back to the United States as personal 

baggage, the articles must be declared to a Customs officer. If they are not declared, the articles 

will be subject to seizure and forfeiture and, additionally, any person not declaring the articles 

could incur penalties equal to the value of such undeclared articles. (19 U.S.C. 1453, 1497) 

CONTROLLED SUBSTANCES

The master of a common carrier may incur substantial penalties if unmanifested controlled 

substances are found on board the vessel. The amount of the penalty is determined by the kind of 

substance found: $1,000 per ounce for heroin, morphine, cocaine, isonipecaine, or opiates; $500 

per ounce for smoking opium or marijuana (including hashish); and $200 per ounce for crude 

opium. Clearance of the vessel may be withheld until the penalties are paid or a satisfactory bond 

is given for payment of the penalty. Additionally, the vessel may be subject to seizure and 

possible forfeiture. (19 U.S.C. 1584, 1594) 

HOW TO AVOID PENALTIES 

The penalties assessed against masters of vessels may be remitted or reduced if it can be proved 

that: 
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 Neither the master of a vessel nor the vessel owners had knowledge that narcotic drugs 

were on board, and 

 Both the master of a vessel and the vessel owner exercised the highest degree of care and 

diligence in taking precautions to prevent violations by the other officers and crew 

members. 

It is a master’s responsibility to decide what precautions are reasonably sufficient to guard 

against smuggling and other illegal acts that may be committed by crewmembers. Customs does 

not make these decisions. It may help, however, if you know what precautions Customs has 

considered sufficient in past cases. In some instances, penalties incurred by a master and 

forfeitures of property seized after the crewmembers violated the law have been remitted or 

reduced by Customs when the master showed he had: 

 Posted NOTICES on the ship warning the crewmembers against smuggling and advising 

them of possible penalties and explained the warning orally to crewmembers unable to 

read or understand the language used. 

 Ordered frequent and thorough SEARCHES of the vessel by trustworthy and responsible 

Department Heads acting as personal representatives of the master. 

 Provided a reliable GANGWAY WATCH while in port, and had it maintained at all 

times by responsible crewmembers who were told to keep all unauthorized persons from 

boarding the vessel and to permit only authorized unlading of merchandise and crew's 

effects. 

Precaution should be especially strict when a vessel is to call at a U.S. port after visiting any port 

where narcotics may be expected to be readily available. If a master locates narcotics or suspects 

narcotic activity on a vessel, he should notify Customs immediately. If narcotics packages are 

found and it is necessary to move them, they should be handled carefully to preserve fingerprint 

evidence. Such narcotics should be given to U.S. Customs immediately upon arrival in a U.S. 

port. 

If a master can show it was impossible for him to take the above precautions, his penalties may 

still be reduced or remitted if he can demonstrate that he exercised the highest degree of care and 

diligence by taking other adequate precautions. 

Training for ships’ officers and crews regarding recommended security precautions can be 

obtained at all U.S. ports by contacting local Customs Port Directors. This training can be 

narrowly or broadly focused and can be tailored to the needs of the master. For a referral to the 

proper local office, masters may also contact: Sea Carrier Initiative Program 

http://www.customs.treas.gov/enforcem/ind.htm Manager, Anti-Smuggling Division, Office of 

Field Operations, U.S. Customs Service, 1300 Pennsylvania Ave., NW, Washington, D.C. 

20229. Information is also available on our web site: www.customs.gov under the Enforcement 

section. 
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FOREIGN REPAIRS & EQUIPMENT

A master of a vessel documented under the laws of the United States to engage in foreign or 

coastwise trade is required to declare the costs of foreign repairs and equipment purchases 

(including boats) on Customs Form 226 upon first arrival of the vessel in the U.S. The same is 

true for a master of a vessel documented under United States law for any other trade or which is 

an undocumented vessel, but which is intended to engage in foreign or coastwise trade. A 

negative declaration on Customs Form 226 is required if no costs were incurred. Subsequently, 

an entry on Customs Form 226 must be made for such repairs and purchases within 10 calendar 

days after the arrival of the vessel. Estimated duties or a bond on Customs Form 301 shall be 

submitted prior to departure of the vessel. Failure to declare, enter, and pay duty on such 

expenditures will subject the vessel to forfeiture or the owner to a monetary penalty up to the 

value of the vessel (19 U.S.C. 1466). 

(See also 19 CFR 4.7(d)(1) & 4.14) 

HOW TO AVOID PENALTIES 

If a master of a vessel or the owner fails to declare purchases of equipment and foreign repairs or 

makes any false statement in connection with such declaration, the vessel will be subject to 

forfeiture or the owner will be subject to a monetary penalty up to the value of the vessel. To 

avoid this, masters should declare all costs of labor, all repairs, and all purchases for the vessel 

that are associated with a debt accrued or a payment made outside the United States, even if it is 

believed that the cost is not subject to duty. Masters should include all foreign repairs and 

purchases of equipment undertaken during the vessel's voyage from the United States, whether 

or not made while the vessel was under their command. 

_______________________________________________________________________ 

U.S. Government Forms Required Upon Entry 

_______________________________________________________________________ 

Form Number of Copies 

First Subsequent 

Port Port(s) 

_______________________________________ 

CF 1300 

VESSEL ENTRANCE OR CLEARANCE STATEMENT 

1 original 

1 copy 1 copy 

_______________________________________ 

CF 1302 

CARGO DECLARATION CARGO DECLARATION (or Electronic Equivalent - 

Consult with U.S. Customs Headquarters Office of Field Operations, Office of Trade 

Programs at (202) 927-0510) 

1 original 

1 copy 1 copy 

_______________________________________ 
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CF 1303 

SHIP'S STORES DECLARATION 

1 original 

1 copy 1 copy 

_______________________________________ 

CF 1304 

CREW'S EFFECTS DECLARATION 

1 original 

1 copy 1 copy 

_______________________________________ 

CF 226 

RECORD OF VESSEL/AIRCRAFT FOREIGN REPAIR OR EQUIPMENT PURCHASE 

(US Vessels Only) 

1 original 

1 copy none 

_______________________________________ 

Immigration Form 1-418* 

CREW LIST 

1 original 

2 copies 1 copy 

*None required for foreign vessels 

_______________________________________ 

Immigration Form 1-418 

PASSENGER LIST 

1 original 

3 copies 1 copy 

_______________________________________ 

There are other laws which apply to vessel owners, and crewmembers which should not be 

overlooked, particularly regarding the clearance of a vessel. Consult U.S. Customs at port 

of arrival. 

 Please visit the U.S. Customs web site at http://www.customs.gov 

 Report Drug Smuggling to U.S. Customs Service 

 1 (800) BE ALERT 
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 U.S. CUSTOMS SERVICE 

 WASHINGTON, D.C. 20229 

CUSTOMS PUBLICATION NO. 581 REVISED AUGUST 1999