ITAR registration fees 2025, DDTC compliance, ITAR payment process, CMMC readiness, DECCS registration, ITAR renewal, defense trade controls, Tier 1 Tier 2 Tier 3 ITAR fees
Background: ITAR Registration and Annual Fees
Under ITAR §§ 122.3(a) and 129.8(b)(1), every manufacturer, exporter, or broker involved with defense articles or services must register annually with the Directorate of Defense Trade Controls (DDTC) and pay a corresponding registration fee.
In December 2024, the U.S. Department of State announced significant updates to the registration fee structure, which take effect on January 9, 2025 (89 FR 99081). These adjustments reflect DDTC’s effort to more accurately distribute the administrative costs associated with licensing, compliance, and related oversight activities.
The New Three-Tier Fee System
The updated system introduces three registration tiers, ensuring fees correspond to the level of DDTC engagement and licensing activity.
Tier 1 – $3,000 Annual Flat Fee
- First-time registrants (manufacturers, exporters, and stand-alone brokers).
- Renewal registrations for stand-alone brokers.
- Registrants with no approved licenses or authorizations during the prior 12 months.
- Nonprofit organizations exempt under 26 U.S.C. 501(c)(3) (proof of status required).
Tier 1 Discount: Beginning January 9, 2025, DDTC is piloting a $500 discount program for eligible Tier 1 applicants — reducing the total fee to $2,500. Registrants may petition DDTC to qualify under the Tier 1 Discount Pilot Program.
Tier 2 – $4,000 Flat Fee
Tier 2 applies to registrants who received five or fewer favorable determinations (licenses or authorizations) during the 12 months preceding renewal.
Tier 3 – Calculated Fee
Tier 3 applies to organizations receiving more than five approvals in the previous 12-month period.
Fee formula: $4,000 + ($1,100 × [number of approvals over 5])
If the calculated fee exceeds 3% of the total approved license value, it will be adjusted to 3% of total approvals or $4,000, whichever is greater.
Registrants with numerous low-value applications may qualify for the Tier 3 Total License Value (TLV) Discount, designed to provide cost relief for high-volume, low-value licensing.
How to Make a Registration Payment
All payments are made electronically through the Defense Export Control and Compliance System (DECCS).
- Log into the DECCS Registration Dashboard.
- Once DDTC issues your registration, a “Make Payment” button will appear.
- Click the button to complete payment through Pay.gov.
Important: The originating account must belong to the registrant, not a third party. Payment must be made within 21 calendar days of registration readiness. Failure to pay on time will result in a Returned Without Action (RWA) status, requiring a new submission.
DDTC recommends checking your DECCS payment portal and registered email frequently for status updates.
More info. go to: https://cmmccompliance.us/compliance/itar-compliance/
Accepted Payment Methods
All payments are processed through Pay.gov within DECCS. DDTC provides a full breakdown of accepted payment methods, transaction limits, and processing cut-off times in its Registration Payment FAQ.
Handling Lapsed Registrations
If a registrant allows their registration to lapse, they must pay both the renewal fee and a lapsed fee. Timely renewal through DECCS is essential to avoid delays in maintaining ITAR compliance.
Conclusion
The 2025 ITAR Registration Fee updates represent an important shift toward a more proportional and transparent system. Organizations subject to ITAR should review their activity levels and budget accordingly for the new tiered fee structure.
Staying informed and timely with your DDTC registration and payments helps ensure uninterrupted compliance — a key requirement for maintaining eligibility under CMMC and ITAR frameworks.
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