Customs Assigned Importer Number (CAIN)
What is a Customs Assigned Importer Number (CAIN)?
A Customs Assigned Importer Number (CAIN) is a unique identification number assigned to certain importers by U.S. Customs and Border Protection (CBP). The number is used primarily to help Customs identify and track an importer’s shipments and ensure compliance with U.S. import regulations and tax requirements. CAINs are generally assigned to foreign importers who do not have a U.S. Social Security Number (SSN) or Employer Identification Number (EIN) but may also be transferred to U.S. individuals or businesses who do not have one of these numbers.
The role and importance of CAIN
CAIN plays a vital role in international trade. It helps customs authorities identify importers and effectively tracks import transactions to ensure that all duties and taxes are paid accurately. In addition, CAIN ensures that importers comply with relevant regulations to avoid delays or fines due to non-compliance. For foreign importers without an SSN or EIN, CAIN is a key tool for entering the US market.
How to apply for CAIN?
The process of applying for CAIN is relatively simple, but some necessary documents need to be prepared. First, the importer needs to submit CBP Form 5106 (Create/Update Importer of Record) to US Customs and Border Protection. In addition, documents such as proof of business registration and identification of the business owner or principal stakeholder are also required. After applying, CBP will review the information and assign a CAIN. Once approved, the CAIN will be used for all future import activities.
The difference between CAIN EIN and SSN
CAIN, EIN (Employer Identification Number), and SSN (Social Security Number) are three different identification numbers used for other purposes. The US Social Security Administration issues the SSN, which is used primarily for personal taxation and social security. The EIN is issued by the US Internal Revenue Service and is used to identify business entities for tax reporting purposes. The CAIN is issued by US Customs and Border Protection and is used exclusively to identify and track importers’ goods. For foreign importers without an SSN or EIN, the CAIN is essential.
Related FAQs
Who needs CAIN?
Foreign importers who do not have a US Social Security Number (SSN) or Employer Identification Number (EIN) generally need CAIN.
How much does CAIN cost?
Obtaining CAIN is generally free, but other fees, such as customs duties and customs brokerage fees, may be involved in the import process.
What is the difference between CAIN and EIN?
CAIN is used for customs purposes, while EIN is used for tax purposes. CAIN is for foreign importers who do not have an EIN or SSN.
How long is a CAIN valid for?
CAIN is valid for the long term as long as the importer’s information remains the same, but it must be updated promptly if any changes occur.
In what situations can CAIN be used?
CAIN is used for all imports that must be declared to US Customs, including customs clearance and duty payment.
