TMEP § 819.04
The excess character ID fee applies to any class in which: (1) the applicant uses a free-form text ID entry (i.e., any entry that does not use the USPTO’s Acceptable Identification of Goods and Services Manual (ID Manual) within the electronic form) in the initial application; and (2) the identification of goods and/or services in that class exceeds 1,000 characters. In this situation, the applicant must pay the excess character ID fee for each additional group of 1,000 characters beyond the first 1,000 characters, for that class. 37 C.F.R. §§2.6(a)(1)(vi), 2.22(d).
The characters counted include text, punctuation, spaces, and any ID Manual entries in that class. If necessary to separate it from following entries, the trademark electronic filing system will add a semi-colon and space (i.e., "; ") to entries added from the ID Manual in the electronic form, and/or at the end of a free-form text ID entry.
Example: The applicant uses the ID Manual within the electronic form and adds "t-shirts; hats;" in Class 25, then switches to the free-form text box and enters an additional 1,000-character description of other goods in Class 25. The total character count for Class 25 is 1,016 (1,000 characters for the description entered in the freeform text box plus 16 characters for the letters, space, and punctuation for the "t-shirts; hats;" entries added from the ID Manual in the electronic form). The free-form text ID fee applies, and the excess character ID fee for this class would be the fee for one group of 1,000 characters beyond the first 1,000 characters, for one class.
In a multiple-class application, the excess character ID fee does not apply to: (1) any class where only entries from the ID Manual within the electronic form are used; or (2) any class where the total character count for the class is 1,000 characters or fewer.
Example: The application is for Classes 9 and 25. Free-form text ID entries are used in both classes, along with other ID Manual entries. The total character count for Class 9 is 1,050 characters. The total character count for Class 25 is 100 characters. The excess character ID fee only applies to Class 9 and would not be required for Class 25, because the identifications in Class 25 do not exceed 1,000 characters. If Class 9 had 2,050 characters, the excess character ID fee total would be the fee for two groups of 1,000 characters beyond the first 1,000 characters.
Example: The application is for Classes 9 and 25. Free-form text ID entries are only used in Class 9. Class 25 consists only of entries from the ID Manual within the electronic form. The total character count for Class 9 is 1,050 characters. The total character count for Class 25 is also 1,050 characters. The excess character ID fee only applies to Class 9. Although Class 25 exceeds 1,000 characters, Class 25 does not contain any free-form text ID entries.
At Filing Only. The excess character ID fee will only be required by the trademark electronic filing system at filing and will not be required during examination.