CSMS Message: 94-000630

TO : ALL ABI BROKERS.

FROM : DALE SNELL

SUBJECT : MOD ACT REGULATORY CHANGES

DATE : 06/22/94

4820-02-P
RP 94-18
ADM-9-03-CO:R:IT:R
912068 RB

DEPARTMENT OF THE TREASURY
UNITED STATES CUSTOMS SERVICE

19 CFR PARTS 10, 101, 111, 123, 128, 141, 143, 145, 148, 159

(T.D. 94-51)

RIN 1515-AB53

EXPRESS CONSIGNMENTS; FORMAL AND INFORMAL
ENTRIES OF MERCHANDISE; ADMINISTRATIVE EXEMPTIONS

AGENCY: U.S. CUSTOMS SERVICE, DEPARTMENT OF THE TREASURY.
ACTION: INTERIM REGULATIONS; SOLICITATION OF COMMENTS.
SUMMARY: THE AMENDMENTS CONTAINED IN THIS DOCUMENT ARE BEING
PUBLISHED AS INTERIM REGULATIONS TO IMPLEMENT CERTAIN STATUTORY
AMENDMENTS TO THE CUSTOMS LAWS REGARDING ADMINISTRATIVE
EXEMPTIONS. THESE STATUTORY AMENDMENTS ARE CONTAINED IN THE
CUSTOMS MODERNIZATION PROVISIONS OF THE NORTH AMERICAN FREE TRADE
AGREEMENT IMPLEMENTATION ACT. ALSO, THE INTERIM REGULATIONS
CLARIFY THE PROCEDURES FOR SHIPMENTS BROUGHT INTO THE UNITED
STATES BY EXPRESS CONSIGNMENT OPERATORS OR CARRIERS AND MAKE
CLEAR THAT ALL SHIPMENTS CARRIED INTO THE UNITED STATES BY
EXPRESS CONSIGNMENT OPERATORS OR CARRIERS ARE REQUIRED TO BE
ENTERED, UNLESS SPECIFICALLY EXEMPT FROM ENTRY. THESE INTERIM
REGULATIONS ALSO IMPLEMENT THE CUSTOMS MODERNIZATION PROVISIONS
IN THE NORTH AMERICAN FREE TRADE AGREEMENT IMPLEMENTATION ACT
EXEMPTING FROM ENTRY CERTAIN MERCHANDISE (UNDELIVERABLE
SHIPMENTS, RAILWAY FREIGHT LOCOMOTIVES AND CARS, AND INSTRUMENTS
OF INTERNATIONAL TRAFFIC).
2
DATES: INTERIM RULE EFFECTIVE INSERT DATE 45 DAYS FROM DATE OF
PUBLICATION IN THE FEDERAL REGISTER ; COMMENTS MUST BE RECEIVED
ON OR BEFORE INSERT DATE 30 DAYS FROM DATE OF PUBLICATION IN THE
FEDERAL REGISTER .
ADDRESSES: WRITTEN COMMENTS (PREFERABLY IN TRIPLICATE) MUST BE
SUBMITTED TO U.S. CUSTOMS SERVICE, ATTN: REGULATIONS BRANCH,
FRANKLIN COURT, 1301 CONSTITUTION AVENUE, NW., WASHINGTON, D.C.
20229, AND MAY BE INSPECTED AT THE REGULATIONS BRANCH, 1099 14TH
STREET, NW., SUITE 4000, WASHINGTON, D.C.
FOR FURTHER INFORMATION CONTACT:
WILLIAM G. ROSOFF, OFFICE OF REGULATIONS AND RULINGS,
(202-482-7040).
SUPPLEMENTARY INFORMATION:
BACKGROUND
ON DECEMBER 8, 1993, THE PRESIDENT SIGNED INTO LAW PUBLIC
LAW 103-182, THE NORTH AMERICAN FREE TRADE AGREEMENT
IMPLEMENTATION ACT (107 STAT. 2057). TITLE VI OF THIS ACT,
POPULARLY KNOWN AS THE CUSTOMS MODERNIZATION ACT (THE ACT)
AMENDED CERTAIN CUSTOMS LAWS. SECTION 651 OF THE ACT AMENDED
321, TARIFF ACT OF 1930, AS AMENDED (19 U.S.C. 1321).
BEFORE ITS AMENDMENT BY THE ACT, 321 AUTHORIZED
ADMINISTRATIVE EXEMPTIONS FROM DUTY AND TAXES ON ARTICLES SUCH AS
GIFTS AND PERSONAL AND HOUSEHOLD GOODS, AND IN CERTAIN OTHER
SITUATIONS. SPECIFICALLY, 321 AUTHORIZED THE SECRETARY OF THE
TREASURY, IN ORDER TO AVOID EXPENSE AND INCONVENIENCE TO THE
3
GOVERNMENT DISPROPORTIONATE TO THE AMOUNT OF REVENUE THAT WOULD
OTHERWISE BE COLLECTED, TO DISREGARD A DIFFERENCE OF LESS THAN
$10 BETWEEN THE DUTY ACTUALLY DUE ON AN ENTRY AND THE ESTIMATED
DUTIES DEPOSITED. ON THE SAME BASIS, 321 AUTHORIZED THE
SECRETARY TO ADMIT FREE OF DUTY AND TAX ANY ARTICLE THE VALUE OF
WHICH WAS LESS THAN $50 IN THE CASE OF BONA FIDE GIFTS ($100 IF
THE GIFT WAS FROM CERTAIN ISLAND POSSESSIONS) SENT FROM PERSONS
IN FOREIGN COUNTRIES TO PERSONS IN THE UNITED STATES. SECTION
321 AUTHORIZED THE SECRETARY TO ADMIT FREE OF DUTY AND TAX ANY
ARTICLE THE VALUE OF WHICH WAS LESS THAN $25 IN THE CASE OF
PERSONAL OR HOUSEHOLD ARTICLES ACCOMPANYING THE TRAVELER. IN ALL
OTHER CASES (I.E., IF NOT A BONA FIDE GIFT SENT FROM A PERSON IN
A FOREIGN COUNTRY TO A PERSON IN THE UNITED STATES OR A PERSONAL
OR HOUSEHOLD ARTICLE ACCOMPANYING A TRAVELER), THE SECRETARY WAS
AUTHORIZED TO ADMIT FREE OF DUTY AND TAX ANY ARTICLE THE VALUE OF
WHICH WAS LESS THAN $5.
IN THE LAST THREE CASES (I.E., BONA FIDE GIFTS, PERSONAL OR
HOUSEHOLD ARTICLES, AND ALL OTHER CASES), THE EXEMPTIONS WERE
SUBJECT TO THE CONDITION THAT THE AGGREGATE FAIR RETAIL VALUE IN
THE COUNTRY OF SHIPMENT OF ARTICLES IMPORTED BY ONE PERSON ON ONE
DAY COULD NOT EXCEED THE AUTHORIZED AMOUNT. ALSO, THE EXEMPTIONS
IN THESE CASES WERE NOT TO BE GRANTED IN ANY CASE IN WHICH
MERCHANDISE COVERED BY A SINGLE ORDER OR CONTRACT WAS FORWARDED
IN SEPARATE LOTS TO SECURE THE BENEFIT OF THE PROVISION.
4
THE SECRETARY WAS AUTHORIZED TO PRESCRIBE REGULATIONS TO
IMPLEMENT THESE PROVISIONS. SECTION 321 SPECIFICALLY AUTHORIZED
THE SECRETARY TO DIMINISH ANY OF THE DOLLAR AMOUNTS REFERRED TO
ABOVE.
SECTION 651 OF THE ACT INCREASED THE DOLLAR AMOUNTS
DESCRIBED AND, INSTEAD OF SETTING MAXIMUM DOLLAR AMOUNTS BELOW
WHICH THE SECRETARY WAS AUTHORIZED TO MAKE THE EXEMPTIONS
APPLICABLE, AUTHORIZED THE SECRETARY TO MAKE THE EXEMPTIONS
APPLICABLE TO AN AMOUNT TO BE SPECIFIED IN REGULATIONS, BUT NOT
LESS THAN A STATED AMOUNT. THAT IS, THE AMENDED 321 NOW
PROVIDES MINIMUM DOLLAR AMOUNTS FOR THE EXEMPTIONS.
IN THE CASE OF THE DIFFERENCE BETWEEN DUTY ACTUALLY DUE ON
AN ENTRY AND THE ESTIMATED DUTIES DEPOSITED, THE DOLLAR AMOUNT
WAS INCREASED TO A MINIMUM OF $20. ALSO, THIS PROVISION WAS
CHANGED TO AUTHORIZE CUSTOMS TO APPLY THE EXEMPTION TO THE TOTAL
OF DUTIES, FEES, AND TAXES, INSTEAD OF ONLY DUTIES AND TAXES, AS
HAD BEEN THE CASE. IN THE CASE OF BONA FIDE GIFTS, PERSONAL OR
HOUSEHOLD ARTICLES, AND ALL OTHER CASES, THE DOLLAR AMOUNTS WERE
RESPECTIVELY INCREASED TO $100 ($200, IF THE GIFT IS FROM ONE OF
THE NAMED ISLAND POSSESSIONS), $200, AND $200, RESPECTIVELY.
SECTION 651 REMOVED FROM 321 THE SPECIFIC AUTHORIZATION
TO, BY REGULATION, DIMINISH ANY OF THE DOLLAR AMOUNTS SPECIFIED
IN THE PROVISION. SECTION 651 RETAINED THE SPECIFIC
AUTHORIZATION IN 321 FOR REGULATIONS TO PRESCRIBE EXCEPTIONS TO
5
ANY EXEMPTION WHENEVER THE SECRETARY FINDS SUCH ACTION IS
CONSISTENT WITH THE PURPOSE OF THE PROVISIONS OR IS NECESSARY TO
PROTECT THE REVENUE OR TO PREVENT UNLAWFUL IMPORTATIONS.
THE PROVISION IN THE CUSTOMS REGULATIONS CONTAINING THE
AUTHORIZATION TO DISREGARD A DIFFERENCE OF LESS THAN $10 BETWEEN
THE DUTY ACTUALLY DUE ON AN ENTRY AND THE ESTIMATED DUTIES
DEPOSITED IS FOUND IN 19 CFR 159.6. THE PROVISIONS IN THE
CUSTOMS REGULATIONS PERTAINING TO THE ADMINISTRATIVE EXEMPTION
FOR BONA FIDE GIFTS ARE FOUND IN 19 CFR 10.152 AND 145.32 AND THE
PROVISION FOR PERSONAL OR HOUSEHOLD ARTICLES IS FOUND IN 19 CFR
148.51 (SEE ALSO 148.12, 148.64). THE PROVISIONS IN THE
CUSTOMS REGULATIONS PERTAINING TO THE $5 ADMINISTRATIVE EXEMPTION
FOR ALL OTHER ARTICLES ARE FOUND IN 19 CFR 10.151 AND 145.31.
CONDITIONS FOR THE EXEMPTIONS PROVIDED FOR IN 19 CFR 10.151 AND
10.152 ARE CURRENTLY FOUND IN 19 CFR 10.153.
PROVISIONS PERTAINING TO THE ADMINISTRATIVE EXEMPTIONS UNDER
321 ARE ALSO FOUND IN PART 128 OF THE CUSTOMS REGULATIONS,
WHICH RELATES TO EXPRESS CONSIGNMENTS. SECTION 128.24(D) OF THAT
PART REFERS TO LOW VALUE SHIPMENTS (I.E., SHIPMENTS VALUED AT $5
OR LESS) AND PROVIDES THAT SUCH SHIPMENTS MUST BE SEGREGATED FROM
SHIPMENTS VALUED AT MORE THAN $5 WHEN THE SPECIAL INFORMAL ENTRY
PROCEDURES PROVIDED FOR IN PART 128 ARE USED. THIS PROVISION WAS
INTENDED TO COVER ARTICLES WHICH COULD BE ADMINISTRATIVELY
EXEMPTED FROM DUTIES AND TAXES UNDER 321(A)(2)(C) (SEE T.D. 89-
53, PUBLISHED IN THE FEDERAL REGISTER ON MAY 8, 1989 (54 FR
19561)). 6
THESE INTERIM REGULATIONS CONFORM THE CUSTOMS REGULATIONS TO
THE CHANGES MADE TO 321 BY 651 OF THE ACT. IN ADDITION, THE
INTERIM REGULATIONS CLARIFY ENTRY PROCEDURES APPLICABLE TO
MERCHANDISE SUBJECT TO 321. THE DOLLAR AMOUNTS CURRENTLY
PROVIDED FOR IN 19 CFR 10.151 THROUGH 10.153, 145.31, 145.32,
148.12, 148.51, 148.64 AND 159.6 ARE CHANGED TO THE MINIMUMS
PROVIDED FOR IN THE AMENDED 321.
THE INTERIM REGULATIONS AMEND PART 143 TO CLARIFY THE
PROCEDURES FOR ENTRIES OF SHIPMENTS QUALIFYING FOR THE
ADMINISTRATIVE EXEMPTIONS IN 321(A)(2). SHIPMENTS COVERED IN
321(A)(2) ARE INCLUDED IN THE MERCHANDISE WHICH MAY BE ENTERED
UNDER THE PROCEDURES PROVIDED FOR BY REGULATION UNDER 19 U.S.C.
1498. THAT PROVISION AUTHORIZES THE SECRETARY OF THE TREASURY TO
PRESCRIBE RULES AND REGULATIONS FOR THE DECLARATION AND ENTRY OF
THE MERCHANDISE DESCRIBED IN THE SECTION. ENTRIES WHICH MAY BE
PROVIDED FOR BY REGULATION UNDER 1498 ARE DISTINGUISHED FROM
ENTRIES WHICH ARE REQUIRED TO BE FILED UNDER 19 U.S.C. 1484
(I.E., FORMAL ENTRIES). AS AUTHORIZED BY 1498, THESE
AMENDMENTS PROVIDE THAT THE PERSON WHO MAY MAKE ENTRY OF
SHIPMENTS COVERED BY 321(A)(2) IS THE OWNER, PURCHASER, OR
CONSIGNEE OF THE MERCHANDISE OR, WHEN APPROPRIATELY DESIGNATED BY
ONE OF THESE PERSONS, A CUSTOMS BROKER LICENSED UNDER 19 U.S.C.
1641. UNDER THE SAME AUTHORITY, AN AMENDMENT TO PART 143 MAKES
IT CLEAR THAT THE PERSON WHO MAY MAKE ENTRY OF OTHER MERCHANDISE
(I.E., MERCHANDISE NOT QUALIFYING FOR THE ADMINISTRATIVE
7
EXEMPTIONS IN 321(A)(2)) WHICH QUALIFIES FOR INFORMAL ENTRY IS
THE OWNER OR PURCHASER OF THE MERCHANDISE OR, WHEN APPROPRIATELY
DESIGNATED BY THE OWNER, PURCHASER, OR CONSIGNEE OF THE
MERCHANDISE, A CUSTOMS BROKER LICENSED UNDER 19 U.S.C. 1641.
A CORRESPONDING AMENDMENT TO PART 111, CONCERNING CUSTOMS
BROKERS, IS ADDED TO THE LIST OF TRANSACTIONS FOR WHICH A
BROKER'S LICENSE IS NOT REQUIRED. THE NEW PROVISION PROVIDES
THAT A PERSON ENTERING MERCHANDISE QUALIFYING FOR AND ENTERED
UNDER THE INFORMAL ENTRY PROCEDURES AUTHORIZED BY
19 U.S.C. 1498 IS NOT REQUIRED TO BE LICENSED AS A BROKER UNLESS
REQUIRED TO BE SO LICENSED BY REGULATIONS ISSUED UNDER THE
AUTHORITY OF 1498. A REFERENCE TO THE PROVISION INCLUDED IN
PART 143 IS INCLUDED IN THE NEW PROVISION.
ALSO UNDER THE AUTHORITY OF 19 U.S.C. 1498, AMENDMENTS ARE
MADE TO PART 143 TO CLEARLY PROVIDE THE PROCEDURES FOR ENTRIES OF
THE MERCHANDISE COVERED IN 321(A)(2). SHIPMENTS OF SUCH
MERCHANDISE MAY BE ENTERED BY PRESENTING THE BILL OF LADING (OR A
MANIFEST LISTING EACH BILL OF LADING) OR OTHER DOCUMENT USED TO
FILE OR SUPPORT ENTRY. MANIFEST INFORMATION IS REQUIRED
CONSISTING OF THE COUNTRY OF ORIGIN OF THE MERCHANDISE, SHIPPER
NAME, ADDRESS AND COUNTRY, ULTIMATE CONSIGNEE NAME AND ADDRESS,
SPECIFIC DESCRIPTION OF THE MERCHANDISE, QUANTITY, AND VALUE.
CROSS REFERENCES ARE PROVIDED TO 148.12 AND 148.62 TO MAKE IT
CLEAR THAT ENTRY BY ORAL DECLARATION CONTINUES TO BE ALLOWED.
NO AMENDMENT TO THE REGULATIONS IS BEING PROMULGATED AT THIS
TIME TO IMPLEMENT THE NEW SUBSECTION (A)(3) OF 321, ADDED BY
8
651 OF THE ACT. THIS PROVISION ALLOWS CUSTOMS TO WAIVE THE
COLLECTION OF DUTIES, FEES, AND TAXES DUE ON ENTERED MERCHANDISE
WHEN SUCH DUTIES, FEES, OR TAXES ARE LESS THAN $20, IN ORDER TO
AVOID EXPENSE AND INCONVENIENCE TO THE GOVERNMENT
DISPROPORTIONATE TO THE AMOUNT OF REVENUE THAT WOULD OTHERWISE BE
COLLECTED. REGULATIONS IMPLEMENTING THIS PROVISION ARE BEING
DELAYED PENDING AN ANALYSIS OF THE EXPENSE AND INCONVENIENCE TO
THE GOVERNMENT IN VIEW OF THE REVENUE INVOLVED.
SECTION 159.6, AUTHORIZING CUSTOMS TO DISREGARD A DIFFERENCE
OF LESS THAN $10 (NOW $20 UNDER THE AMENDED 321(A)(1)) BETWEEN
DUTIES DEPOSITED AND DUTIES ACTUALLY DUE ON AN ENTRY, IS AMENDED
TO AUTHORIZE CUSTOMS TO APPLY THE EXEMPTION TO THE TOTAL OF
DUTIES, FEES, AND TAXES, AS PROVIDED FOR IN 321(A)(1), AS
AMENDED BY 651 OF THE ACT.
CUSTOMS ALSO IS MAKING AMENDMENTS TO THE CUSTOMS REGULATIONS
IN PART 128 RELATING TO EXPRESS CONSIGNMENTS. THESE AMENDMENTS
ARE INTENDED TO MAKE IT CLEAR THAT ALL SHIPMENTS CARRIED INTO THE
UNITED STATES BY EXPRESS CONSIGNMENT OPERATORS AND CARRIERS ARE
REQUIRED TO BE ENTERED, UNLESS SPECIFICALLY EXEMPT FROM ENTRY.
BASICALLY, A 3-TIER APPROACH APPLIES TO SUCH SHIPMENTS.
THAT IS, SHIPMENTS VALUED IN EXCESS OF $1250 ARE REQUIRED TO BE
FORMALLY ENTERED, AS PROVIDED FOR UNDER 19 U.S.C. 1484 IN
PARTS 141, 142, AND 143 (EXCEPT SUBPART C) OF THE CUSTOMS
REGULATIONS. SHIPMENTS VALUED BETWEEN $200 AND $1250 MAY BE
ENTERED UNDER THE INFORMAL ENTRY PROCEDURES, AS PROVIDED FOR
9
UNDER 19 U.S.C. 1498 (UNLESS THE SHIPMENTS CONSIST OF MERCHANDISE
WHICH MAY NOT BE ENTERED UNDER THOSE PROCEDURES). THESE
PROCEDURES CONSIST OF THE FILING OF A CUSTOMS FORM 3461, EITHER
MODIFIED TO COVER ALL IMPORTATIONS UNDER THE SPECIAL PROCEDURES
FOR EXPRESS CONSIGNMENT OPERATOR OR CARRIER IMPORTATIONS OR ALL
SUCH IMPORTATIONS ON A DAILY OR FLIGHT BASIS, AND THE ADVANCE
FILING OF THE MANIFEST INFORMATION PROVIDED FOR IN 19 CFR 128.21.
THIS INFORMATION CONSISTS OF THE COUNTRY OF ORIGIN, SHIPPER NAME,
ADDRESS AND COUNTRY, ULTIMATE CONSIGNEE NAME AND ADDRESS,
SPECIFIC DESCRIPTION OF THE MERCHANDISE AND THE TARIFF
CLASSIFICATION OF THE MERCHANDISE, QUANTITY, SHIPPING WEIGHT, AND
VALUE. AN ENTRY SUMMARY (CUSTOMS FORM 7501) AND ESTIMATED DUTIES
ARE REQUIRED TO BE FILED WITH CUSTOMS WITHIN 10 DAYS OF RELEASE
OF THESE SHIPMENTS.
THE THIRD TIER IS FOR SHIPMENTS VALUED AT $200 OR LESS.
THESE SHIPMENTS ALSO MAY BE ENTERED UNDER THE INFORMAL ENTRY
PROCEDURES, AS PROVIDED FOR UNDER 19 U.S.C. 1498 (UNLESS THE
SHIPMENTS CONSIST OF MERCHANDISE WHICH MAY NOT BE ENTERED UNDER
THOSE PROCEDURES). THE PROCEDURES FOR THESE SHIPMENTS ARE THE
SAME AS THOSE FOR THE SECOND-TIER SHIPMENTS (VALUED BETWEEN $200
AND $1250), EXCEPT THAT THE TARIFF CLASSIFICATION OF THE
MERCHANDISE IS NOT REQUIRED FOR THE SHIPMENTS AND NO ENTRY
SUMMARY OR ESTIMATED DUTIES IS REQUIRED TO BE FILED.
AN AMENDMENT TO 19 CFR 101.1, ADDING A DEFINITION OF
"SHIPMENT", MAKES IT CLEAR THAT THE MONETARY EXEMPTION FOR THIRD-
TIER SHIPMENTS IS BASED ON THE BILL OF LADING OR OTHER EVIDENCE
10
USED TO FILE OR SUPPORT ENTRY, OR ORAL DECLARATION WHEN
APPLICABLE. FOR EXAMPLE, IF THE DOCUMENT USED TO FILE OR SUPPORT
ENTRY IS AN INDIVIDUAL BILL OF LADING TO THE ULTIMATE CONSIGNEE
IN THE UNITED STATES, THE MONETARY LIMITATION IS APPLIED ON THE
BASIS OF THE VALUE OF THE SHIPMENT ON THE INDIVIDUAL BILL OF
LADING. THIS IS SO WHETHER THE DOCUMENT USED TO FILE OR SUPPORT
ENTRY IS ITSELF THE BILL OF LADING OR AN ADVANCE MANIFEST, AS
DESCRIBED IN 19 CFR 128.21, LISTING EACH OF THE INDIVIDUAL BILLS
OF LADING. ON THE OTHER HAND, IF THE DOCUMENT USED TO FILE OR
SUPPORT ENTRY IS A MASTER BILL OF LADING (AS OPPOSED TO EACH
INDIVIDUAL BILL OF LADING), THE MONETARY LIMITATION IS APPLIED ON
THE BASIS OF THE TOTAL VALUE OF THE SHIPMENTS ON THE MASTER BILL
OF LADING. THE SAME IS TRUE OF THE APPLICATION OF THE MONETARY
LIMITATION IN 321(A)(2) FOR OTHER IMPORTATIONS (I.E., THOSE NOT
INVOLVING AN EXPRESS CONSIGNMENT ENTITY). THIS IS SO BECAUSE THE
DEFINITION OF "SHIPMENT" IS FOR GENERAL PURPOSES IN CHAPTER I OF
TITLE 19 OF THE CFR, UNLESS THE CONTEXT OF THE TERM REQUIRES A
DIFFERENT MEANING (SEE 19 CFR 101.1).
AS IS TRUE GENERALLY UNDER THESE AMENDMENTS, THE PERSON WHO
MAY MAKE ENTRY FOR THE SHIPMENTS VALUED BETWEEN $200 AND $1250
WHICH MAY BE ENTERED UNDER THE INFORMAL ENTRY PROCEDURES IS THE
OWNER OR PURCHASER OF THE SHIPMENT OR, WHEN APPROPRIATELY
DESIGNATED BY THE OWNER, PURCHASER, OR CONSIGNEE OF THE SHIPMENT,
A CUSTOMS BROKER LICENSED UNDER 19 U.S.C. 1641. THE PERSON WHO
MAY MAKE ENTRY FOR THE SHIPMENTS VALUED $200 OR LESS WHICH MAY BE
11
ENTERED UNDER THE INFORMAL ENTRY PROCEDURES IS THE OWNER,
PURCHASER, OR CONSIGNEE OR, WHEN APPROPRIATELY DESIGNATED BY ONE
OF THESE PERSONS, A CUSTOMS BROKER LICENSED UNDER 19 U.S.C. 1641.
AS DISCUSSED ABOVE, THE AUTHORITY FOR THIS DISTINCTION IS THAT
THESE ENTRIES ARE MADE UNDER 19 U.S.C. 1498 AND THE SECRETARY OF
THE TREASURY IS SPECIFICALLY AUTHORIZED TO PRESCRIBE RULES AND
REGULATIONS FOR THE DECLARATION AND ENTRY OF SUCH SHIPMENTS.
AMENDMENTS ARE ALSO MADE TO PART 141. SECTION 141.4 IS
AMENDED TO CLARIFY THAT SHIPMENTS SUBJECT TO THE ADMINISTRATIVE
EXEMPTIONS UNDER 321(A)(2) MUST BE ENTERED UNDER SPECIAL
INFORMAL ENTRY PROCEDURES FOR LOWER VALUE SHIPMENTS. ONLY
MERCHANDISE SPECIFICALLY EXEMPT FROM ENTRY (I.E., SO-CALLED
INTANGIBLES, UNDER GENERAL NOTE 13 (FORMERLY GENERAL NOTE 4),
HTSUS, AND CERTAIN VESSELS) IS EXEMPT FROM ALL FORMS OF ENTRY.
ALSO, A CONFORMING AMENDMENT TO THE CITATION OF THE GENERAL NOTE
IN 141.4 IS NECESSARY BECAUSE OF THE REDESIGNATION OF THE
GENERAL NOTE (I.E., GENERAL NOTE 4, HTSUS, THE PREDECESSOR TO
GENERAL NOTE 13, WAS REDESIGNATED AS GENERAL NOTE 13; SEE
PRESIDENTIAL PROCLAMATION 6641, DECEMBER 15, 1993, PUBLISHED IN
THE FEDERAL REGISTER ON DECEMBER 20, 1993 (58 FR 67032, 66867)).
UNDELIVERABLE SHIPMENTS
THE NORTH AMERICAN FREE TRADE AGREEMENT IMPLEMENTATION ACT
AMENDED GENERAL NOTE 4 (NOW GENERAL NOTE 13) BY ADDING OTHER
ARTICLES WHICH ARE EXEMPT FROM ENTRY ( 681 OF PUBLIC LAW 103-
182). THE NEWLY ADDED ARTICLES ARE ARTICLES WHICH ARE RETURNED
12
AS UNDELIVERABLE TO THE UNITED STATES WITHIN 45 DAYS OF THEIR
DEPARTURE FROM THE UNITED STATES. THE ARTICLES MAY NOT HAVE LEFT
THE CUSTODY OF EITHER THE CARRIER OR FOREIGN CUSTOMS SERVICE
DURING THAT TIME. THE DEPARTURE FROM THE UNITED STATES OF
ARTICLES FOR WHICH THE EXEMPTION IS GRANTED MAY NOT BE TREATED AS
SATISFYING ANY REQUIREMENT FOR EXPORTATION IN ORDER TO RECEIVE A
BENEFIT FROM, OR MEET AN OBLIGATION TO, THE UNITED STATES.
THE AMENDMENT TO 141.4 IMPLEMENTS THIS PROVISION. THE
AMENDMENT REQUIRES THE PERSON CLAIMING THE EXEMPTION TO CERTIFY
THAT THE MERCHANDISE COMPLIES WITH THE PROVISION. IN ADDITION,
THE AMENDMENT REQUIRES THE PERSON CLAIMING THE EXEMPTION TO
PROVIDE, UPON REQUEST BY CUSTOMS, ANY EVIDENCE NECESSARY TO
SUPPORT THE CLAIM.
OTHER EXEMPTIONS FROM ENTRY
SECTION 681 OF THE ACT ALSO ADDED A PROVISION TO THE TARIFF
SCHEDULE EXEMPTING FROM ENTRY AND RELEASE REQUIREMENTS RAILWAY
LOCOMOTIVES (PROVIDED FOR IN HEADINGS 8601 AND 8602, HTSUS) AND
RAILWAY FREIGHT CARS (PROVIDED FOR IN HEADING 8606, HTSUS) ON
WHICH NO DUTY IS OWED (ADDITIONAL U.S. NOTE 1, CHAPTER 86,
HTSUS). ALSO, 681 OF THE ACT PROVIDED FOR THE ADDITION OF A
NOTE TO CHAPTER 99, HTSUS, UNDER WHICH CERTAIN CANADIAN RAILWAY
FREIGHT CARS PROVIDED DUTY-FREE TREATMENT IN SUBHEADINGS
9905.86.05 AND 9905.86.10, HTSUS, ARE EXEMPT FROM ENTRY AND
13
RELEASE REQUIREMENTS. THE RAILWAY FREIGHT CARS PROVIDED FOR IN
SUBHEADING 9905.86.05, HTSUS, ARE THOSE PRODUCED BEFORE JULY 1,
1991, OR IF ENTERED AFTER JULY 1, 1994, PRODUCED NOT LESS THAN 3
YEARS BEFORE THE DATE OF IMPORTATION, AND PROVIDED FOR IN HEADING
8606, HTSUS. THE RAILWAY FREIGHT CARS PROVIDED FOR IN SUBHEADING
9905.86.10, HTSUS, ARE THOSE IMPORTED FOR TEMPORARY USE IN
TRANSPORTATION IN THE UNITED STATES AND CERTIFIED BY THE IMPORTER
TO BE EXPORTED WITHIN 1 YEAR FROM THE DATE OF IMPORTATION AND
PROVIDED FOR IN HEADING 8606, HTSUS. IN THE CASE OF BOTH NOTES
(TO BE ADDED TO CHAPTER 86 AND 99, HTSUS), THE SECRETARY OF THE
TREASURY IS AUTHORIZED BY REGULATION TO ESTABLISH APPROPRIATE
REPORTING REQUIREMENTS AND TO REQUIRE THAT A BOND BE POSTED TO
ENSURE COMPLIANCE.
THE AMENDMENT TO 141.4 IMPLEMENTS THESE PROVISIONS. IN
THE CASE OF RAILWAY LOCOMOTIVES AND FREIGHT CARS WHICH ARE EXEMPT
FROM ENTRY ON THE BASIS THAT NO DUTY IS OWED ON THEM AND THEY ARE
CLASSIFIED IN HEADINGS 8601, 8602, OR 8606, HTSUS (I.E., WITHOUT
REFERENCE TO SUBHEADING 9905.86.05 OR 9905.86.10, HTSUS), NO
SPECIAL EVIDENTIARY REQUIREMENT IS IMPOSED BECAUSE DUTY-FREE
TREATMENT IS NOT CONDITIONED ON ANY SPECIAL CONDITION (OTHER THAN
DUTY-FREE STATUS BECAUSE OF ORIGIN).
IN THE CASE OF RAILWAY FREIGHT CARS WHICH ARE EXEMPT FROM
ENTRY BY VIRTUE OF SUBHEADING 9905.86.05 OR 9905.86.10, HTSUS,
BECAUSE THERE ARE CONDITIONS OTHER THAN THE ABSENCE OF DUTY BEING
OWED ON THE FREIGHT CARS, THE AMENDMENT CONTAINS SPECIAL
EVIDENTIARY REQUIREMENTS. THE REQUIREMENTS, CONCERNING THE TIME
14
OF PRODUCTION OF THE FREIGHT CAR AND THE DURATION OF THE STAY IN
THE UNITED STATES OF THE FREIGHT CAR, SHALL BE MET BY A
CERTIFICATION (DOCUMENTARY OR ELECTRONIC), SUBJECT TO CUSTOMS
VERIFICATION. IN THE CASE OF THE REQUIREMENT TO EXPORT THE
FREIGHT CAR WITHIN 1 YEAR FROM THE DATE OF IMPORTATION, IN
SUBHEADING 9905.86.10, HTSUS, THE AMENDMENT SPECIFICALLY PROVIDES
THAT A FREIGHT CAR ADMITTED INTO THE UNITED STATES UNDER THIS
PROVISION WHICH IS NOT EXPORTED WITHIN THE 1 YEAR PERIOD BECOMES
SUBJECT TO ENTRY AND THE PAYMENT OF ANY APPLICABLE DUTIES.
AS AUTHORIZED BY THE STATUTORY PROVISION, THE AMENDMENT
PROVIDES THAT LOCOMOTIVES AND FREIGHT CARS DESCRIBED IN
ADDITIONAL U.S. NOTE 1 OF CHAPTER 86, HTSUS, AND FREIGHT CARS
DESCRIBED IN SUBHEADING 9905.86.05 OR 9905.86.10, HTSUS, MAY BE
RELEASED ONLY AFTER THE IMPORTER HAS FILED A BOND ON CUSTOMS FORM
301, CONTAINING EITHER THE BASIC IMPORTATION AND ENTRY CONDITIONS
(19 CFR 113.62) OR THE INTERNATIONAL CARRIER BOND CONDITIONS (19
CFR 113.64). AMENDMENTS TO 19 CFR 123.12 ARE ADDED CONCERNING
THE ENTRY OF FOREIGN LOCOMOTIVES AND EQUIPMENT IN INTERNATIONAL
TRAFFIC, TO ADD REFERENCES TO THE PROVISIONS IMPLEMENTING THESE
PROVISIONS.
INSTRUMENTS OF INTERNATIONAL TRAFFIC
SECTION 681 OF THE ACT ADDED A PROVISION TO THE TARIFF
SCHEDULE EXEMPTING FROM FORMAL ENTRY PROCEDURES INSTRUMENTS OF
INTERNATIONAL TRAFFIC, SUCH AS CONTAINERS, LIFT VANS, RAIL CARS
AND LOCOMOTIVES, TRUCK CABS AND TRAILERS, ETC. THE PROVISION
15
ALSO PROVIDED FOR THE PERIODIC REPORTING AND PAYMENT OF FEES
ASSOCIATED WITH THE IMPORTATION OF SUCH INSTRUMENTS OF
INTERNATIONAL TRAFFIC.
THE EXEMPTION FROM ENTRY FOR INSTRUMENTS OF INTERNATIONAL
TRAFFIC IS ALREADY PROVIDED FOR IN THE CUSTOMS REGULATIONS (SEE
19 CFR 10.41A). THERE ARE NO FEES ASSOCIATED WITH THE
IMPORTATION OF INSTRUMENTS OF INTERNATIONAL TRAFFIC. THEREFORE,
NO SUBSTANTIVE AMENDMENT TO THE CUSTOMS REGULATIONS IS NECESSARY
TO IMPLEMENT THIS PROVISION. HOWEVER, TO ALERT THE PUBLIC TO THE
EXEMPTION FROM ENTRY FOR INSTRUMENTS OF INTERNATIONAL TRAFFIC, A
PROVISION IS ADDED REFERRING TO THIS EXEMPTION FROM ENTRY AND 19
CFR 10.41A IN THE LIST OF EXCEPTIONS FROM THE GENERAL RULE IN
141.4.
ACCORDINGLY, CUSTOMS IS PROMULGATING ON AN INTERIM BASIS
AMENDMENTS AS DESCRIBED ABOVE AND SET FORTH BELOW.
DELAYED EFFECTIVE DATE AND PUBLIC COMMENT REQUIREMENTS
THE AGENCY INTENDS THAT THESE INTERIM REGULATIONS BECOME
EFFECTIVE ON THE 45TH DAY FOLLOWING THE DATE OF PUBLICATION,
I.E., 15 DAYS AFTER THE CLOSE OF THE COMMENT PERIOD. THE AGENCY
BELIEVES IT HAS GOOD CAUSE UNDER 5 U.S.C. 553(D)(1) AND (3) OF
THE ADMINISTRATIVE PROCEDURE ACT (APA) (5 U.S.C. 553) TO
PROMULGATE INTERIM REGULATIONS BECAUSE THE REGULATIONS PROVIDE AN
IMMEDIATE BENEFIT TO BOTH THE GOVERNMENT AND THE PUBLIC BY
INCREASING EXEMPTIONS WHICH ALREADY EXIST. THESE INTERIM
16
REGULATIONS ARE INTENDED TO IMPLEMENT CONGRESSIONAL INTENT
EMBODIED IN 19 U.S.C. 1321, AS AMENDED, THAT THESE EXEMPTIONS,
WHEN GRANTED, SHOULD EXIST AT STATUTORY MINIMUMS.
FURTHERMORE, EXISTING RIGHTS AND OBLIGATIONS ARE NOT
OTHERWISE CHANGED. THE AGENCY BELIEVES THE PUBLIC WANTS THESE
NEW STATUTORY MINIMUMS TO BECOME EFFECTIVE AS SOON AS POSSIBLE AS
THE PUBLIC SHOULD BENEFIT FROM THE EFFICIENCIES AND SAVINGS
RESULTING THEREFROM. IN ADDITION, THE AGENCY DOES NOT BELIEVE
THE PUBLIC NEEDS TIME TO CONFORM ITS CONDUCT SO AS TO AVOID
VIOLATION OF THESE REGULATIONS. THE DUE AND TIMELY EXECUTION OF
THE AGENCY'S RESPONSIBILITIES WOULD BE UNNECESSARILY IMPEDED BY A
TIME CONSUMING NOTICE AND COMMENT PERIOD. THE AGENCY BELIEVES
SUCH DELAY IS UNNECESSARY BECAUSE IT DOES NOT EXPECT THE PUBLIC
TO OBJECT TO THE REGULATIONS BEING PROMULGATED AS THEY MERELY
PROVIDE THE RELIEF THAT CONGRESS INTENDED.
EVEN THOUGH, BASED ON THE DISCUSSION SET FORTH ABOVE,
CUSTOMS BELIEVES THE AMENDMENTS IN THIS DOCUMENT MAY BE
PROMULGATED ON AN INTERIM BASIS AND COULD BE EFFECTIVE
IMMEDIATELY, CUSTOMS IS PROVIDING A 45-DAY DELAYED EFFECTIVE
DATE, WITH A 30 DAY COMMENT PERIOD PRECEDING THAT EFFECTIVE DATE.
THIS REPRESENTS A PRACTICAL COMPROMISE BETWEEN THE NEED FOR
TEMPORAL URGENCY AND THE DESIRABILITY OF PUBLIC PARTICIPATION IN
THE RULEMAKING PROCESS.
IN THE SPIRIT OF THE APA, THE AGENCY IS SOLICITING PUBLIC
COMMENT REGARDING ITS DECISION TO PROMULGATE THESE INTERIM
REGULATIONS AND IN DELAYING THEIR EFFECTIVE DATE ONLY FOR THAT
17
PERIOD OF TIME NECESSARY TO REVIEW ANY RELEVANT COMMENTS
REGARDING THAT DECISION. UNLESS THE COMMENTS SHOW THAT THERE
EXISTS GOOD CAUSE FOR NOT MAKING THE REGULATIONS EFFECTIVE ON AN
INTERIM BASIS, THE REGULATIONS WILL BECOME EFFECTIVE ON AN
INTERIM BASIS ON THE 45TH DAY FOLLOWING THE DATE OF PUBLICATION.
COMMENTS
CONSEQUENTLY, THE AGENCY HEREBY SOLICITS COMMENTS ON BOTH
THE SUBSTANCE OF THESE REGULATIONS AND THEIR INTENDED EFFECTIVE
DATE. THE COMMENTS SHOULD CLEARLY STATE WHETHER THEY ADDRESS THE
SUBSTANCE OF THE INTERIM RULE OR THE AGENCY'S DETERMINATION TO
MAKE THE RULE EFFECTIVE ON AN INTERIM BASIS. IF, BASED ON THE
COMMENTS, GOOD CAUSE IS SHOWN THAT THE REGULATIONS SHOULD NOT
BECOME EFFECTIVE ON AN INTERIM BASIS, A DOCUMENT WILL BE ISSUED
WITHDRAWING THE INTERIM REGULATIONS BEFORE THEIR EFFECTIVE DATE.
IF NO SUCH GOOD CAUSE IS SHOWN, THE INTERIM REGULATIONS WILL GO
INTO EFFECT. THE AGENCY WILL THEN BE ABLE TO GAIN EXPERIENCE
WITH THE INTERIM REGULATION, FULLY CONSIDER SUBSTANTIVE COMMENTS,
AND DECIDE WHETHER THE INTERIM REGULATION NEEDS AMENDMENT BEFORE
ITS PROMULGATION AS A FINAL RULE.
CONSIDERATION WILL BE GIVEN TO ANY WRITTEN COMMENTS
(PREFERABLY IN TRIPLICATE) THAT ARE TIMELY SUBMITTED TO CUSTOMS.
ALL SUCH COMMENTS RECEIVED FROM THE PUBLIC PURSUANT TO THIS
NOTICE OF RULEMAKING WILL BE AVAILABLE FOR PUBLIC INSPECTION IN
ACCORDANCE WITH THE FREEDOM OF INFORMATION ACT (5 U.S.C. 552),
1.4, TREASURY DEPARTMENT REGULATIONS (31 CFR 1.4), AND
103.11(B), CUSTOMS REGULATIONS (19 CFR 103.11(B)), DURING
18
REGULAR BUSINESS DAYS BETWEEN THE HOURS OF 9:00 A.M. AND 4:30
P.M. AT THE REGULATIONS BRANCH, 1099 14TH STREET, NW., SUITE
4000, WASHINGTON, D.C.
REGULATORY FLEXIBILITY ACT AND EXECUTIVE ORDER 12866
SINCE THIS DOCUMENT IS NOT SUBJECT TO THE NOTICE AND PUBLIC
PROCEDURE REQUIREMENTS OF 5 U.S.C. 553, IT IS NOT SUBJECT TO THE
PROVISIONS OF THE REGULATORY FLEXIBILITY ACT (5 U.S.C. 601 ET
SEQ.). THIS DOCUMENT IS NOT A "SIGNIFICANT REGULATORY ACTION"
UNDER E.O 12866.
PAPERWORK REDUCTION ACT
THE COLLECTIONS OF INFORMATION CONTAINED IN THIS INTERIM
RULEMAKING WERE PREVIOUSLY APPROVED BY THE OFFICE OF MANAGEMENT
AND BUDGET (OMB) IN ACCORDANCE WITH THE PAPERWORK REDUCTION ACT
OF 1980 UNDER CONTROL NUMBERS 1515-0069 ( 128.21, 128.23,
128.24) AND 1515-0065 ( 141.4, 143.23).

19
DRAFTING INFORMATION
THE PRINCIPAL AUTHOR OF THIS DOCUMENT WAS RUSSELL BERGER,
REGULATIONS BRANCH, U.S. CUSTOMS SERVICE. HOWEVER, PERSONNEL
FROM OTHER OFFICES PARTICIPATED IN ITS DEVELOPMENT.
LIST OF SUBJECTS
19 CFR PART 10
ALTERATIONS, BONDS, CUSTOMS DUTIES AND INSPECTION, EXPORTS,
FOREIGN RELATIONS, IMPORTS, PREFERENCE PROGRAMS, REPAIRS,
REPORTING AND RECORDKEEPING REQUIREMENTS, TRADE AGREEMENTS.
19 CFR PART 101
CUSTOMS DUTIES AND INSPECTION, EXPORTS, IMPORTS,
ORGANIZATION AND FUNCTIONS (GOVERNMENT AGENCIES).
19 CFR PART 111
ADMINISTRATIVE PRACTICE AND PROCEDURE, BROKERS, CUSTOMS
DUTIES AND INSPECTION, IMPORTS.
19 CFR PART 123
ADMINISTRATIVE PRACTICE AND PROCEDURE, AIRCRAFT, BONDS,
CANADA, CUSTOMS DUTIES AND INSPECTION, IMPORTS, MEXICO, REPORTING
20
AND RECORDKEEPING REQUIREMENTS, TRADE AGREEMENTS, VEHICLES,
VESSELS.
19 CFR PART 128
CARRIERS, COURIERS, CUSTOMS DUTIES AND INSPECTION, EXPRESS
CONSIGNMENTS, IMPORTS.
19 CFR PART 141
CUSTOMS DUTIES AND INSPECTION, ENTRY PROCEDURES, INVOICES,
REPORTING AND RECORDKEEPING REQUIREMENTS.
19 CFR PART 143
AUTOMATED BROKER INTERFACE, CUSTOMS DUTIES AND INSPECTION,
ELECTRONIC ENTRY FILING, IMPORTS, INVOICE REQUIREMENTS.
19 CFR PART 145
CUSTOMS DUTIES AND INSPECTION, IMPORTS, POSTAL SERVICE.
19 CFR PART 148
CUSTOMS DUTIES AND INSPECTION, REPORTING AND RECORDKEEPING
REQUIREMENTS.
19 CFR PART 159
LIQUIDATION OF ENTRIES FOR MERCHANDISE, SUSPENSION OF
LIQUIDATION PENDING DISPOSITION OF AMERICAN MANUFACTURER'S CAUSE
OF ACTION.
AMENDMENTS
TITLE 19, CHAPTER I, PARTS 10, 101, 111, 123, 128, 141, 143,
145, 148, AND 159 OF THE CUSTOMS REGULATIONS (19 CFR PARTS 10,
101, 111, 123, 128, 141, 143, 145, 148 AND 159) IS AMENDED AS SET
FORTH BELOW:
21
PART 10 - ARTICLES CONDITIONALLY FREE, SUBJECT TO A REDUCED
RATE, ETC.
1. THE GENERAL AUTHORITY FOR PART 10 IS REVISED TO READ AS
FOLLOWS, AND THE SPECIFIC SECTIONAL AUTHORITY FOR 10.152 AND
10.153 IS REMOVED:
AUTHORITY: 19 U.S.C. 66, 1202, 1321, 1481, 1484, 1498, 1508,
1623, 1624;
* * * * *
2. PART 10 IS AMENDED BY REVISING BOTH THE CENTER HEADING
PRECEDING 10.151 CURRENTLY SET FORTH AS "IMPORTATIONS NOT OVER
$5 AND BONA FIDE GIFTS", AS WELL AS ITS TABLE OF CONTENTS, TO
READ AS FOLLOWS:
IMPORTATIONS NOT OVER $200 AND BONA FIDE GIFTS
10.151 IMPORTATIONS NOT OVER $200.
10.152 BONA-FIDE GIFTS.
10.153 CONDITIONS FOR EXEMPTION.
3. SECTION 10.151 IS AMENDED BY REVISING ITS SECTION
HEADING AND ITS TEXT TO READ AS FOLLOWS:
10.151 IMPORTATIONS NOT OVER $200.
SUBJECT TO THE CONDITIONS IN 10.153 OF THIS PART, THE
DISTRICT DIRECTOR SHALL PASS FREE OF DUTY AND TAX ANY SHIPMENT OF
MERCHANDISE, AS DEFINED IN 101.1(O) OF THIS CHAPTER, IMPORTED
BY ONE PERSON ON ONE DAY HAVING A FAIR RETAIL VALUE, AS EVIDENCED
BY THE BILL OF LADING (OR OTHER DOCUMENT FILED AS THE ENTRY) OR
MANIFEST LISTING EACH BILL OF LADING, IN THE COUNTRY OF SHIPMENT
NOT EXCEEDING $200, UNLESS HE HAS REASON TO BELIEVE THAT THE
22
SHIPMENT IS ONE OF SEVERAL LOTS COVERED BY A SINGLE ORDER OR
CONTRACT AND THAT IT WAS SENT SEPARATELY FOR THE EXPRESS PURPOSE
OF SECURING FREE ENTRY THEREFOR OR OF AVOIDING COMPLIANCE WITH
ANY PERTINENT LAW OR REGULATION. MERCHANDISE SUBJECT TO THIS
EXEMPTION SHALL BE ENTERED UNDER THE INFORMAL ENTRY PROCEDURES
(SEE SUBPART C, PART 143, AND 128.24, 145.31, 148.12, AND
148.62, OF THIS CHAPTER).
4. SECTION 10.152 IS REVISED TO READ AS FOLLOWS:
10.152 BONA-FIDE GIFTS.
SUBJECT TO THE CONDITIONS IN 10.153 OF THIS PART, THE
DISTRICT DIRECTOR SHALL PASS FREE OF DUTY AND TAX ANY ARTICLE
SENT AS A BONA-FIDE GIFT FROM A PERSON IN A FOREIGN COUNTRY TO A
PERSON IN THE UNITED STATES, PROVIDED THAT THE AGGREGATE FAIR
RETAIL VALUE IN THE COUNTRY OF SHIPMENT OF SUCH ARTICLES RECEIVED
BY ONE PERSON ON ONE DAY DOES NOT EXCEED $100 OR, IN THE CASE OF
ARTICLES SENT FROM A PERSON IN THE VIRGIN ISLANDS, GUAM, AND
AMERICAN SAMOA, $200. ARTICLES SUBJECT TO THIS EXEMPTION SHALL
BE ENTERED UNDER THE INFORMAL ENTRY PROCEDURES (SEE SUBPART C,
PART 143, AND 145.32, 148.12, 148.51, AND 148.64, OF THIS
CHAPTER). AN ARTICLE IS "SENT" FOR PURPOSES OF THIS SECTION IF
IT IS CONVEYED IN ANY MANNER OTHER THAN ON THE PERSON OR IN THE
ACCOMPANIED OR UNACCOMPANIED BAGGAGE OF THE DONOR OR DONEE.
5. SECTION 10.153 IS REVISED BY REMOVING THE REFERENCES TO
"$50" AND "$100" WHEREVER APPEARING IN PARAGRAPHS (B), (D)(2),
(D)(3) AND (F), AND BY ADDING IN PLACE THEREOF, RESPECTIVELY,
"$100" AND "$200".
23
PART 101 - GENERAL PROVISIONS
1. THE AUTHORITY FOR PART 101 IS REVISED TO READ AS
FOLLOWS:
AUTHORITY: 5 U.S.C. 301, 19 U.S.C. 2, 66, 1202 (GENERAL NOTE 17,
HARMONIZED TARIFF SCHEDULE OF THE UNITED STATES), 1623, 1624,
UNLESS OTHERWISE NOTED.
2. SECTION 101.1 IS REVISED BY ADDING A NEW PARAGRAPH (O)
TO READ AS FOLLOWS:
101.1 DEFINITIONS.
* * * * *
(O) SHIPMENT. "SHIPMENT" MEANS THE MERCHANDISE DESCRIBED
ON THE BILL OF LADING OR OTHER DOCUMENT USED TO FILE OR SUPPORT
ENTRY, OR IN THE ORAL DECLARATION WHEN APPLICABLE.
PART 111 - CUSTOMS BROKERS
1. THE GENERAL AUTHORITY FOR PART 111, AND THE SPECIFIC
SECTIONAL AUTHORITY FOR 111.3, ARE REVISED TO READ AS FOLLOWS:
AUTHORITY: 19 U.S.C. 66, 1202 (GENERAL NOTE 17, HARMONIZED
TARIFF SCHEDULE OF THE UNITED STATES), 1624, 1641, UNLESS
OTHERWISE NOTED.
111.3 ALSO ISSUED UNDER 19 U.S.C. 1484, 1498;
* * * * *
2. SECTION 111.3 IS REVISED BY ADDING A NEW PARAGRAPH (E)
TO READ AS FOLLOWS:
111.3 TRANSACTIONS FOR WHICH LICENSE IS NOT REQUIRED.
* * * * *
24
(E) INFORMAL ENTRIES. A PERSON ENTERING MERCHANDISE
QUALIFYING FOR, AND ENTERED UNDER, THE INFORMAL ENTRY PROCEDURES
AUTHORIZED BY 19 U.S.C. 1498 IS NOT REQUIRED TO BE LICENSED AS A
BROKER, UNLESS REQUIRED TO BE SO LICENSED UNDER 143.26 OF THIS
CHAPTER, ISSUED UNDER THE AUTHORITY OF 1498.
PART 123 - CUSTOMS RELATIONS WITH CANADA AND MEXICO
1. THE GENERAL AUTHORITY FOR PART 123, AND THE SPECIFIC
SECTIONAL AUTHORITY FOR 123.12-123.18, ARE REVISED TO READ AS
FOLLOWS:
AUTHORITY: 19 U.S.C. 66, 1202 (GENERAL NOTE 17, HARMONIZED
TARIFF SCHEDULE OF THE UNITED STATES (HTSUS)), 1431, 1624;
* * * * *
123.12 ALSO ISSUED UNDER 19 U.S.C. 1202 (CHAPTER 86,
ADDITIONAL U.S. NOTE 1, HTSUS), 1322;
123.13-123.18 ALSO ISSUED UNDER 19 U.S.C. 1322;
* * * * *
2. SECTION 123.12 IS AMENDED BY REVISING THE FIRST
SENTENCE, RESPECTIVELY, OF PARAGRAPHS (A)(1) AND (A)(2), AND BY
REVISING PARAGRAPH (B), TO READ AS FOLLOWS:
123.12 ENTRY OF FOREIGN LOCOMOTIVES AND EQUIPMENT IN
INTERNATIONAL TRAFFIC.
(A) * * *
(1) ON INWARD TRIP. UNLESS FORMALLY ENTERED AND
CLEARED THROUGH CUSTOMS INTO THE UNITED STATES, OR UNLESS EXEMPT
FROM ENTRY AS PROVIDED IN 141.4(B)(4) OF THIS CHAPTER, A
FOREIGN LOCOMOTIVE SHALL BE USED ON THE INWARD TRIP ONLY IN
25
CONNECTION WITH TAKING THE INBOUND TRAIN TO THE LAST PLACE IN A
CONTINUOUS HAUL, INCLUDING THE SWITCHING OF CARS WHICH IT HAS
HAULED INTO THE UNITED STATES. * * *
(2) ON OUTWARD TRIP. UNLESS FORMALLY ENTERED AND
CLEARED THROUGH CUSTOMS INTO THE UNITED STATES, OR UNLESS EXEMPT
FROM ENTRY AS PROVIDED IN 141.4(B)(4) OF THIS CHAPTER, FOREIGN
LOCOMOTIVES MAY BE USED ON THE OUTWARD TRIP ONLY IN CONNECTION
WITH THROUGH TRAINS CROSSING THE BOUNDARY, INCLUDING SWITCHING TO
MAKE UP SUCH TRAINS. * * *
(B) ADMISSION OF EMPTY EQUIPMENT. EMPTY FOREIGN RAILROAD
EQUIPMENT SHALL BE ADMITTED TO THE UNITED STATES WITHOUT FORMAL
ENTRY AND PAYMENT OF DUTY ONLY IF:
(1) THE PASSENGERS OR GOODS TO BE LOADED ARE TO BE
TRANSPORTED DIRECTLY TO OR THROUGH A FOREIGN COUNTRY; OR
(2) THE EQUIPMENT IS EXEMPT FROM ENTRY AS PROVIDED IN
141.4(B)(4) OF THIS CHAPTER.
* * * * *
PART 128 - EXPRESS CONSIGNMENTS
1. THE AUTHORITY FOR PART 128 IS REVISED TO READ AS
FOLLOWS:
AUTHORITY: 19 U.S.C. 66, 1202 (GENERAL NOTE 17, HARMONIZED
TARIFF SCHEDULE OF THE UNITED STATES), 1321, 1484, 1498, 1551,
1555, 1556, 1565, 1624.
2. SECTION 128.21 IS AMENDED BY REVISING PARAGRAPH (A)(4)
TO READ AS FOLLOWS:
26
128.21 MANIFEST REQUIREMENTS.
(A) ADDITIONAL INFORMATION. * * *
(4) SPECIFIC DESCRIPTION OF THE MERCHANDISE, AND UNDER
THE FOLLOWING CONDITIONS, THE HARMONIZED TARIFF SCHEDULE OF THE
UNITED STATES (HTSUS) SUBHEADING NUMBER:
(I) IF THE MERCHANDISE IS REQUIRED TO BE FORMALLY
ENTERED AS PROVIDED IN 128.25; OR
(II) IF THE MERCHANDISE IS ELIGIBLE FOR, AND IS
ENTERED UNDER, THE INFORMAL ENTRY PROCEDURES AS PROVIDED IN
128.24, BUT MAY NOT BE PASSED FREE OF DUTY AND TAX AS
CONSISTING OF A SHIPMENT OF MERCHANDISE IMPORTED BY ONE PERSON ON
ONE DAY HAVING A FAIR RETAIL VALUE IN THE COUNTRY OF SHIPMENT NOT
EXCEEDING $200, AS PROVIDED IN 128.24(E).
* * * * *
3. SECTION 128.23 IS REVISED TO READ AS FOLLOWS:
128.23 ENTRY REQUIREMENTS.
(A) GENERAL RULE. EXCEPT AS PROVIDED IN PARAGRAPH (C) OF
THIS SECTION, ALL ARTICLES CARRIED BY AN EXPRESS CONSIGNMENT
ENTITY SHALL BE ENTERED BY A PERSON WITH THE RIGHT TO FILE ENTRY.
(B) PROCEDURES. (1) GENERAL. ALL EXPRESS CONSIGNMENT
ENTITIES UTILIZING THE PROCEDURES IN THIS PART SHALL COMPLY WITH
THE REQUIREMENTS OF THE CUSTOMS AUTOMATED COMMERCIAL SYSTEM
(ACS). THESE REQUIREMENTS INCLUDE THOSE UNDER THE AUTOMATED
MANIFEST SYSTEM (AMS), CARGO SELECTIVITY, STATEMENT PROCESSING,
THE AUTOMATED BROKER INTERFACE SYSTEM (ABI), AND ENHANCEMENTS OF
ACS. 27
(2) ENTRY NUMBER. ALL ENTRY NUMBERS MUST BE FURNISHED
TO CUSTOMS IN A CUSTOMS APPROVED BAR CODED READABLE FORMAT IN
ORDER TO ASSIST IN THE PROCESSING OF EXPRESS CONSIGNMENT CARGO
UNDER THE CUSTOMS AUTOMATED COMMERCIAL SYSTEM (ACS).
(3) PAPER ENTRY DOCUMENT WAIVER. THE DISTRICT
DIRECTOR IS AUTHORIZED, AT THE TIME OF ENTRY, TO ACCEPT THE
APPROPRIATE ELECTRONIC EQUIVALENT IN LIEU OF ENTRY DOCUMENTS FOR
THOSE ENTRIES DESIGNATED AS NOT REQUIRING EXAMINATION OR REVIEW
WHEN THE ADVANCE MANIFEST REQUIREMENTS OF 128.21(A) OF THIS
PART HAVE BEEN MET.
(C) EXCEPTION. ARTICLES SPECIFICALLY EXEMPT FROM ENTRY BY
141.4(B) OF THIS CHAPTER NEED NOT SATISFY THE GENERAL RULE AS
SET FORTH IN PARAGRAPH (A) OF THIS SECTION.
4. SECTION 128.24 IS AMENDED BY REVISING THE LAST SENTENCE
OF PARAGRAPH (B), AND THE FIRST SENTENCE OF PARAGRAPH (C), AND BY
REVISING PARAGRAPHS (D) AND (E) TO READ AS FOLLOWS:
128.24 INFORMAL ENTRY PROCEDURES.
* * * * *
(B) PROCEDURES. * * * THE PARTY WHO MAY MAKE ENTRY
UNDER 143.26 OF THIS CHAPTER MAY SUBMIT A COPY OF THE INVOICE
OR THE ADVANCE MANIFEST AS DESCRIBED IN 128.21 IN LIEU OF OTHER
CONTROL DOCUMENTS.
(C) ALTERNATIVE PROCEDURE. THE PARTY WHO MAY MAKE ENTRY
UNDER 143.26 OF THIS CHAPTER MAY BE REQUIRED TO SUBMIT AN
INDIVIDUAL CUSTOMS FORM 3461 COVERING THE ELIGIBLE SHIPMENTS ON A
DAILY BASIS OR BY FLIGHT BASIS. * * *
28
(D) ENTRY SUMMARY. AN ENTRY SUMMARY (CUSTOMS FORM 7501)
MUST BE PRESENTED IN PROPER FORM, AND ESTIMATED DUTIES DEPOSITED
WITHIN 10 DAYS OF THE RELEASE OF THE MERCHANDISE UNDER EITHER THE
REGULAR OR ALTERNATIVE PROCEDURE DESCRIBED IN THIS SECTION.
HOWEVER, SEE PARAGRAPH (E) OF THIS SECTION IF THE SHIPMENT IS
VALUED AT $200 OR LESS.
(E) SHIPMENTS VALUED AT $200 OR LESS. SHIPMENTS VALUED AT
$200 OR LESS MEETING THE REQUIREMENTS OF 10.151 OF THIS CHAPTER
SHALL BE PASSED FREE OF DUTY AND TAX. SUCH SHIPMENTS MUST BE
SEGREGATED FROM SHIPMENTS VALUED AT MORE THAN $200 IF AN ADVANCE
MANIFEST IS USED AS THE ENTRY DOCUMENT, AS PROVIDED FOR IN
128.21. IF SUCH AN ADVANCE MANIFEST IS USED AS THE ENTRY
DOCUMENT, THE FOLLOWING ARE NOT REQUIRED TO BE PROVIDED FOR
SHIPMENTS QUALIFYING UNDER THIS PARAGRAPH:
(1) THE HARMONIZED TARIFF SCHEDULE OF THE UNITED
STATES (HTSUS) SUBHEADING NUMBER (SEE 128.21(A)(4)); AND
(2) AN ENTRY SUMMARY (SEE PARAGRAPH (D) OF THIS
SECTION).
5. SECTION 128.25 IS REVISED TO READ AS FOLLOWS:
128.25 FORMAL ENTRY PROCEDURES.
FORMAL ENTRY, AS PROVIDED FOR UNDER 19 U.S.C. 1484 IN PARTS
141, 142, AND 143 (EXCEPT FOR SUBPART C), OF THIS CHAPTER, IS
REQUIRED FOR ALL SHIPMENTS EXCEEDING THE MONETARY LIMITATION FOR
INFORMAL ENTRY (SEE 128.24) AND ANY SHIPMENT FOR WHICH THE
INFORMAL ENTRY PROCEDURES MAY NOT BE USED (SEE 128.24).
6. SECTION 128.26 IS REMOVED.
29
PART 141 - ENTRY OF MERCHANDISE
1. THE GENERAL AUTHORITY FOR PART 141 CONTINUES TO READ AS
FOLLOWS, AND THE SPECIFIC SECTIONAL AUTHORITY FOR 141.4 IS
REVISED TO READ AS FOLLOWS:
AUTHORITY: 19 U.S.C. 66, 1448, 1484, 1624.
* * * * *
141.4 ALSO ISSUED UNDER 19 U.S.C. 1202 (GENERAL NOTE 13;
CHAPTER 86, ADDITIONAL U.S. NOTE 1; CHAPTER 89, ADDITIONAL U.S.
NOTE 1; CHAPTER 98, SUBCHAPTER III, U.S. NOTE 4; CHAPTER 99,
SUBCHAPTER V, U.S. NOTE 9, HTSUS), 1498;
* * * * *
2. SECTION 141.4 IS REVISED TO READ AS FOLLOWS:
141.4 ENTRY REQUIRED.
(A) GENERAL. ALL MERCHANDISE IMPORTED INTO THE UNITED
STATES IS REQUIRED TO BE ENTERED, UNLESS SPECIFICALLY EXCEPTED.
(B) EXCEPTIONS. THE FOLLOWING ARE THE EXCEPTIONS TO THE
GENERAL RULE:
(1) THE EXEMPTIONS LISTED IN GENERAL NOTE 13 TO THE
HARMONIZED TARIFF SCHEDULE OF THE UNITED STATES (HTSUS).
(2) VESSELS (NOT INCLUDING VESSELS CLASSIFIED IN
HEADINGS 8903 AND 8907 AND SUBHEADINGS 8905.90.10 AND 8906.00.10
OR IN CHAPTER 98, HTSUS, SUCH AS UNDER SUBHEADINGS 9804.00.35 OR
9813.00.35). SEE ALSO CHAPTER 89, ADDITIONAL U.S. NOTE 1, HTSUS.
(3) INSTRUMENTS OF INTERNATIONAL TRAFFIC DESCRIBED IN
10.41A OF THIS CHAPTER, UNDER THE CONDITIONS PROVIDED FOR IN
30
THAT SECTION. SEE ALSO CHAPTER 98, SUBCHAPTER III, U.S. NOTE 4,
HTSUS.
(4) RAILWAY LOCOMOTIVES CLASSIFIED IN HEADING 8601 OR
8602, HTSUS, AND FREIGHT CARS CLASSIFIED IN HEADING 8606, HTSUS,
ON WHICH NO DUTY IS OWED (SEE PARAGRAPH (D) OF THIS SECTION).
SEE CHAPTER 86, ADDITIONAL U.S. NOTE 1, HTSUS; CHAPTER 99,
SUBCHAPTER V, U.S. NOTE 9, HTSUS; SEE ALSO 19 CFR PART 123 FOR
REPORTING REQUIREMENTS FOR RAILWAY EQUIPMENT BROUGHT INTO THE
UNITED STATES FROM CANADA OR MEXICO.
(C) UNDELIVERABLE ARTICLES. THE EXEMPTION FROM ENTRY FOR
UNDELIVERABLE ARTICLES UNDER GENERAL NOTE 13(E), HTSUS, IS
SUBJECT TO THE FOLLOWING CONDITIONS:
(1) THE PERSON CLAIMING THE EXEMPTION MUST SUBMIT A
CERTIFICATION (DOCUMENTARY OR ELECTRONIC) THAT:
(I) THE MERCHANDISE WAS INTENDED TO BE EXPORTED
TO A FOREIGN COUNTRY;
(II) THE MERCHANDISE IS BEING RETURNED WITHIN 45
DAYS OF DEPARTURE FROM THE UNITED STATES;
(III) THE MERCHANDISE DID NOT LEAVE THE CUSTODY OF
THE CARRIER OR FOREIGN CUSTOMS;
(IV) THE MERCHANDISE IS BEING RETURNED TO THE
UNITED STATES BECAUSE IT WAS UNDELIVERABLE TO THE FOREIGN
CONSIGNEE; AND
(V) THE MERCHANDISE WAS NOT SENT ABROAD TO
RECEIVE BENEFIT FROM, OR FULFILL OBLIGATIONS TO, THE UNITED
STATES AS A RESULT OF EXPORTATION.
31
(2) UPON REQUEST BY CUSTOMS, THE PERSON CLAIMING THE
EXEMPTION SHALL PROVIDE EVIDENCE REQUIRED TO SUPPORT THE CLAIM
FOR EXEMPTION.
(D) RAILWAY LOCOMOTIVES AND FREIGHT CARS. TO BE EXCEPTED
FROM ENTRY, RAILWAY LOCOMOTIVES AND FREIGHT CARS DESCRIBED IN
ADDITIONAL U.S. NOTE 1 OF CHAPTER 86, HTSUS, AND RAILWAY FREIGHT
CARS FROM CANADA DESCRIBED IN SUBHEADING 9905.86.05 OR
9905.86.10, HTSUS, ARE SUBJECT TO THE FOLLOWING REQUIREMENTS, AS
APPLICABLE:
(1) FOR A RAILWAY FREIGHT CAR DESCRIBED IN SUBHEADING
9905.86.05, HTSUS, THE IMPORTER SHALL CERTIFY, SUBJECT TO CUSTOMS
VERIFICATION, THAT THE FREIGHT CAR WAS PRODUCED BEFORE JULY 1,
1991, OR IF ADMITTED AFTER JULY 1, 1994, THAT THE FREIGHT CAR WAS
PRODUCED NOT LESS THAN 3 YEARS BEFORE THE DATE OF IMPORTATION;
(2) FOR A RAILWAY FREIGHT CAR DESCRIBED IN SUBHEADING
9905.86.10, HTSUS, THE IMPORTER SHALL CERTIFY, SUBJECT TO CUSTOMS
VERIFICATION, THAT THE FREIGHT CAR WILL BE EXPORTED WITHIN 1 YEAR
FROM THE DATE OF IMPORTATION. (ANY RAILWAY FREIGHT CAR
32
ADMITTED INTO THE UNITED STATES UNDER THIS PROVISION WHICH IS NOT
EXPORTED WITHIN THE 1-YEAR PERIOD BECOMES SUBJECT TO ENTRY AND
THE PAYMENT OF ANY APPLICABLE DUTIES.);
(3) FOR RAILWAY LOCOMOTIVES AND FREIGHT CARS DESCRIBED
IN ADDITIONAL U.S. NOTE 1 OF CHAPTER 86, HTSUS, AND RAILWAY
FREIGHT CARS DESCRIBED IN SUBHEADING 9905.86.05 OR 9905.86.10,
HTSUS, TO BE RELEASED IN ACCORDANCE WITH PARAGRAPH (B)(4) OF THIS
SECTION, THE IMPORTER SHALL FIRST FILE A BOND ON CUSTOMS FORM
301, CONTAINING THE BOND CONDITIONS SET FORTH IN EITHER 113.62
OR 113.64 OF THIS CHAPTER.
(E) INFORMAL ENTRY. MERCHANDISE QUALIFYING FOR INFORMAL
ENTRY BY REGULATION, PURSUANT TO 19 U.S.C. 1498, IS EXEMPT FROM
FORMAL ENTRY UNDER 19 U.S.C. 1484 AND THIS PART, BUT MUST BE
ENTERED AS REQUIRED UNDER APPLICABLE REGULATIONS (SEE PART 143,
SUBPART C, AND 10.151-10.153, 128.24, 145.31, 145.32, 148.12,
148.13, 148.51, AND 148.62 OF THIS CHAPTER).
PART 143 - SPECIAL ENTRY PROCEDURES
1. THE AUTHORITY FOR PART 143 CONTINUES TO READ AS FOLLOWS:
AUTHORITY: 19 U.S.C. 66, 1481, 1484, 1498, 1624.
2. SECTION 143.21 IS REVISED BY ADDING A PARAGRAPH (L) TO
READ AS FOLLOWS:
143.21 MERCHANDISE ELIGIBLE FOR INFORMAL ENTRY.
* * * * *
33
(L) SHIPMENTS OF MERCHANDISE QUALIFYING FOR THE
ADMINISTRATIVE EXEMPTIONS UNDER 19 U.S.C. 1321(A)(2) AND PROVIDED
FOR IN -
(1) SECTION 10.151 OR 145.31 OF THIS CHAPTER (CERTAIN
IMPORTATIONS NOT EXCEEDING $200 IN VALUE);
(2) SECTION 10.152 OR 145.32 OF THIS CHAPTER (CERTAIN
BONA-FIDE GIFTS NOT EXCEEDING $100 IN VALUE ($200 IN THE CASE OF
ARTICLES SENT FROM A PERSON IN THE VIRGIN ISLANDS, GUAM, OR
AMERICAN SAMOA)); OR
(3) SECTION 148.51 OR 148.64 OF THIS CHAPTER (CERTAIN
PERSONAL OR HOUSEHOLD ARTICLES NOT EXCEEDING $200 IN VALUE).
3. SECTION 143.23 IS REVISED BY ADDING TWO NEW PARAGRAPHS
(I) AND (J) TO READ AS FOLLOWS:
143.23 FORM OF ENTRY.
* * * * *
(I) A SHIPMENT OF MERCHANDISE NOT EXCEEDING $1250 IN VALUE
WHICH IS IMPORTED BY AN EXPRESS CONSIGNMENT OPERATOR OR CARRIER
AND WHICH MEETS THE REQUIREMENTS IN 128.24 OF THIS CHAPTER MAY
BE ENTERED AS PROVIDED IN THAT SECTION.
(J) EXCEPT FOR MAIL IMPORTATIONS (SEE 145.31 AND 145.32
OF THIS CHAPTER), OR IN THE CASE OF PERSONAL WRITTEN OR ORAL
DECLARATIONS (SEE 148.12, 148.13 AND 148.62 OF THIS CHAPTER),
A SHIPMENT OF MERCHANDISE NOT EXCEEDING $200 IN VALUE WHICH
QUALIFIES FOR INFORMAL ENTRY UNDER 19 U.S.C. 1498 AND MEETS THE
REQUIREMENTS IN 10.151 OR 10.152 OF THIS CHAPTER MAY BE ENTERED
BY PRESENTING THE BILL OF LADING OR A MANIFEST LISTING EACH BILL
34
OF LADING (SEE 10.151, 10.152 AND 128.24(E) OF THIS CHAPTER).
THE FOLLOWING INFORMATION IS REQUIRED TO BE FILED AS A PART OF
SUCH ENTRY:
(1) COUNTRY OF ORIGIN OF THE MERCHANDISE;
(2) SHIPPER NAME, ADDRESS AND COUNTRY;
(3) ULTIMATE CONSIGNEE NAME AND ADDRESS;
(4) SPECIFIC DESCRIPTION OF THE MERCHANDISE;
(5) QUANTITY; AND
(6) VALUE.
4. PART 143 IS REVISED BY ADDING A NEW 143.26 TO READ AS
FOLLOWS:
143.26 PARTY WHO MAY MAKE INFORMAL ENTRY OF MERCHANDISE.
(A) SHIPMENTS VALUED BETWEEN $200 AND $1250. A SHIPMENT OF
MERCHANDISE VALUED BETWEEN $200 AND $1250 WHICH QUALIFIES FOR
INFORMAL ENTRY UNDER 19 U.S.C. 1498 MAY BE ENTERED BY THE OWNER
OR PURCHASER OF THE SHIPMENT OR, WHEN APPROPRIATELY DESIGNATED BY
THE OWNER, PURCHASER, OR CONSIGNEE OF THE SHIPMENT, A CUSTOMS
BROKER LICENSED UNDER 19 U.S.C. 1641.
(B) SHIPMENTS VALUED AT $200 OR LESS. A SHIPMENT OF
MERCHANDISE VALUED AT $200 OR LESS WHICH QUALIFIES FOR INFORMAL
ENTRY UNDER 19 U.S.C. 1498 AND MEETS THE REQUIREMENTS IN 19
U.S.C. 1321(A)(2) (SEE 10.151, 10.152, 10.153, 145.31, 145.32,
148.51, 148.64, OF THIS CHAPTER) MAY BE ENTERED BY THE OWNER,
PURCHASER, OR CONSIGNEE OF THE SHIPMENT OR, WHEN APPROPRIATELY
DESIGNATED BY ONE OF THESE PERSONS, A CUSTOMS BROKER LICENSED
UNDER 19 U.S.C. 1641.