Q. How do eligible entities comply with the "safe harbor" exemption?
A. Entities seeking to claim the exemption may certify for itself and for all sub-entities that it owns or controls. Both United States and foreign entities may certify. In the case of a certification by a foreign entity, the foreign entity, which may be unlikely to collect and maintain information in accordance with United States federal and state tax and other laws, may certify that it maintains the required information in accordance with their foreign equivalents. The certification is to be signed by the chief executive officer of the entity making the certification, or in the event an entity does not have a chief executive officer, the senior manager responsible for overseeing the entity's activities. A producer of materials not covered by the certification regime as well as materials covered by the certification regime is not disqualified from using the certification regime for materials covered by the certification regime. Those entities who wish to use the certification process must file an initial certification within 180 days after publication of the 2008 final rule, that is, by June 16, 2009. This will provide sufficient time for entities to determine if they wish to certify and come into compliance with the certification requirements. Initial certifications of producers who begin production after the expiration of the 180 day period are due within 60 days of the start of production. See, 28 C.F.R. § 75.9.
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