CSMS Message: 98-000974

TO : ALL ABI BROKERS.

FROM : JOHN ZZ-PIERCE

SUBJECT : 1998 GSP RENEWAL

DATE : 10/27/1998

8300071

OCTOBER 27, 1998

FO:OB:TA JAP

CATEGORY: GSP

TO : PORT AND CMC DIRECTORS, IMPORT SPECIALISTS, ENTRY
SPECIALISTS, INSPECTORS, AND OTHER INTERESTED PARTIES
SUCH AS BROKERS AND IMPORTERS

FROM : DIRECTOR, TRADE AGREEMENTS

SUBJECT: GSP RENEWAL

EFFECTIVE OCTOBER 21, 1998, SECTION 505(A) OF THE TRADE ACT OF
1974 (19 U.S.C. 2465) WAS AMENDED BY STRIKING "JUNE 30, 1998" AND
INSERTING "DECEMBER 31, 1999". ACCORDINGLY, GOODS ENTERED ON OR
AFTER OCTOBER 21, 1998, ARE ENTITLED TO BE ENTERED DUTY-FREE,
PROVIDED THEY MEET THE REQUIREMENTS OF THE GSP. REPROGRAMMING OF
THE CUSTOMS' AUTOMATED COMMERCIAL SYSTEM (ACS) TO ACCEPT DUTY-
FREE ENTRY SUMMARIES USING THE SPECIAL PROGRAM INDICATOR (SPI)
"A" HAS BEEN COMPLETED.

ON OCTOBER 21, 1998, PRESIDENT CLINTON SIGNED INTO LAW THE
OMNIBUS BUDGET BILL OF 1998. TITLE I, SUBTITLE B, "EXTENSION OF
EXPIRED TRADE PROVISIONS", SECTION 111, :EXTENSION OF DUTY-FREE
TREATMENT UNDER GENERALIZED SYSTEM OF PREFERENCES", PROVIDES FOR
THE RENEWAL OF THE GENERALIZED SYSTEM OF PREFERENCES (GSP)
THROUGH DECEMBER 31, 1999, AS WELL AS FOR THE REFUND OF ALL
DUTIES PAID ON GSP ELIGIBLE MERCHANDISE THAT WAS ENTERED WHILE
THE PROGRAM WAS LAPSED.

THE ENTRY OF ANY ARTICLE TO WHICH DUTY-FREE TREATMENT UNDER TITLE
V OF THE TRADE ACT OF 1974 WOULD HAVE APPLIED IF THE ENTRY HAD
BEEN MADE ON JUNE 30, 1998, AND THAT WAS MADE AFTER JUNE 30,
1998, AND BEFORE THE DATE OF THE ENACTMENT OF THIS ACT, SHALL BE
LIQUIDATED OR RELIQUIDATED AS FREE OF DUTY, AND CUSTOMS SHALL
REFUND ANY DUTY PAID WITH RESPECT TO SUCH ENTRY.

ACTION:

1. EFFECTIVE OCTOBER 21, 1998, THE AMENDMENTS MADE BY THE
SUBTITLE APPLY TO ARTICLES ENTERED OR WITHDRAWN FROM
WAREHOUSE FOR CONSUMPTION ON OR AFTER OCTOBER 21, 1998.

2. THE DUTY RATE OF "FREE", APPLICABLE TO MERCHANDISE
QUALIFYING FOR GSP, SHALL BE EFFECTIVE OCTOBER 21, 1998.
FILERS SHALL BE ENTITLED TO FILE GSP ELIGIBLE ENTRY
SUMMARIES WITHOUT THE PAYMENT OF DUTY FOR SHIPMENTS ENTERED
OR WITHDRAWN FROM WAREHOUSE FOR CONSUMPTION ON OR AFTER
OCTOBER 21, 1998.

3. CUSTOMS WILL BEGIN PROCESSING THOSE ENTRIES FILED VIA THE
AUTOMATED BROKER INTERFACE (ABI) WITH THE SPECIAL PROGRAM
INDICATOR (SPI) "A" FOR REFUND OF DUTIES DEPOSITED FOR GSP
ELIGIBLE GOODS DURING THE PERIOD THE PROGRAM WAS LAPSED,
EFFECTIVE OCTOBER 27, 1998.

NOTE: IMPORTERS WHO FILED THEIR ENTRIES VIA ABI WITH THE
SPI "A" SHOULD RECEIVE THEIR REFUND(S) OF DUTIES
DEPOSITED WITHIN FOUR TO EIGHT WEEKS FROM THE DATE
OF PROCESSING. IMPORTERS ARE ADVISED TO CONTACT
THE APPROPRIATE CUSTOMS PORT OF ENTRY AND INQUIRE
ABOUT THE STATUS OF THEIR REFUND(S) IF NOT
RECEIVED WITHIN THE SPECIFIED PERIOD OF TIME
NOTED.

4. THE FOLLOWING IRS INTEREST RATE WILL BE USED IN CALCULATING
INTEREST ON REFUNDS OF CUSTOMS DUTIES:

JULY 1, 1998 - JULY 31, 1998 .......... 7%

AUGUST 1, 1998 - AUGUST 31, 1998 ...... 7%

OCTOBER 1, 1998 - OCTOBER 20, 1998 .... 7%

5. INTEREST SHALL BE PAID ON ALL REFUNDS FROM THE DATE THE
DUTIES WERE DEPOSITED.

6. FORMAL ENTRY REFUNDS

FILERS WHO USED THE (SPI) "A" ON ENTRY SUMMARIES FILED VIA
ABI NEED TAKE NO FURTHER ACTION AT THIS TIME. CUSTOMS
HEADQUARTERS WILL AUTOMATICALLY BEGIN PROCESSING REFUNDS FOR
ENTRY SUMMARIES LIQUIDATED AS "NO CHANGE" ON OCTOBER 27,
1998.

GSP REFUNDS FOR ALL OTHER ENTRY SUMMARIES (E.G., WAREHOUSE
WITHDRAWALS, "CHANGE" LIQUIDATIONS, RELIQUIDATIONS,
SUSPENDED ENTRY SUMMARIES) WILL BE PROCESSED IN ACCORDANCE
WITH NORMAL LIQUIDATION PROCEDURES.

ABI FILERS WHO ELECTED TO TRANSMIT THEIR ENTRIES VIA ABI
WITHOUT THE SPI "A" AND NON-ABI FILERS WHO DID OR DID NOT
USE THE SPI "A" MUST REQUEST A REFUND IN WRITING FROM THE
PORT DIRECTOR AT THE PORT OF ENTRY ON OR BEFORE APRIL 19,
1999, (180 DAYS AFTER THE DATE OF ENACTMENT OF THIS ACT). A
SEPARATE LETTER MAY BE PREPARED FOR EACH ENTRY SUMMARY, EACH
IMPORTER, OR MAY COVER ALL ENTRY SUMMARIES FILED BY AN
INDIVIDUAL FILER AT A SINGLE PORT. TO EXPEDITE REFUNDS,
CUSTOMS RECOMMENDS THE FOLLOWING BE INCLUDED IN EACH LETTER:

A. A STATEMENT THAT THE LETTER IS A REQUEST FOR A REFUND
AS PROVIDED UNDER THE OMNIBUS BUDGET BILL OF 1998,
TITLE I, SUBTITLE B, "EXTENSION OF EXPIRED TRADE
PROVISIONS", SECTION 111, "EXTENSION OF DUTY-FREE
TREATMENT UNDER GENERALIZED SYSTEM OF PREFERENCES,(3)
REQUESTS";

B. THE ENTRY NUMBERS AND LINE ITEMS FOR WHICH REFUNDS ARE
BEING REQUESTED; AND

C. THE AMOUNT TO BE REFUNDED FOR EACH LINE ITEM AND, WHERE
MULTIPLE ENTRIES ARE INVOLVED, THE TOTAL AMOUNT OWED
FOR ALL ENTRY SUMMARIES.

7. INFORMAL ENTRY REFUNDS

REFUNDS ON INFORMAL ENTRIES FILED VIA ABI ON A CUSTOMS FORM
7501 WITH THE SPI "A" WILL BE PROCESSED IN ACCORDANCE WITH
THE PROCEDURES OUTLINED IN 6 ABOVE.

8. BAGGAGE DECLARATIONS AND NON-ABI INFORMAL REFUNDS

IF TRAVELERS/IMPORTERS WROTE A STATEMENT DIRECTLY ON THEIR
CUSTOMS DECLARATION (CF 6059B) OR INFORMAL ENTRY (CF 363 OR
CF 7501) INDICATING THEIR DESIRE FOR A REFUND, NO FURTHER
ACTION TO OBTAIN A REFUND WILL BE REQUIRED. IF NO SUCH
STATEMENT WAS MADE TRAVELERS/IMPORTERS MUST MAKE A TIMELY
REQUEST AS DESCRIBED ABOVE IN 6 FOR NON-ABI FILERS.

9. MAIL ENTRY REFUNDS

ADDRESSEES MAY SUBMIT A CLAIM REQUESTING A REFUND OF GSP
DUTIES ALONG WITH A COPY OF THE CF 3419A TO THE APPROPRIATE
INTERNATIONAL MAIL BRANCH (ADDRESS LISTED ON BOTTOM RIGHT
HAND CORNER OF CF 3419A). IT IS ESSENTIAL THAT A COPY OF
THE CF 3419A BE INCLUDED AS THIS WILL BE THE ONLY METHOD OF
IDENTIFYING THE ELIGIBLE GSP PRODUCTS AND ENSURING THAT
DUTIES AND FEES HAVE BEEN PAID.

CONTACTS:

FOR GENERAL OPERATIONAL QUESTIONS:

FORMAL ENTRIES ......... JOHN PIERCE, 202-927-1249
INFORMAL ENTRIES ....... WILLIAM KOTLOWY, 202-927-1364
MAIL ENTRIES ........... ROBERT WOODS, 202-927-1236
PASSENGER CLAIMS ....... MICHAEL PERRON, 202-927-1325

FOR SPECIFIC QUESTIONS RELATING TO ABI PROCESSING:

JAMES HALPIN, OFFICE OF INFORMATION AND TECHNOLOGY, AT
202-927-7128.

QUESTIONS FROM FILERS REGARDING ABI TRANSMISSIONS SHOULD BE
DIRECTED TO THEIR ABI CLIENT REPRESENTATIVES. PERSONS WITH OTHER
QUESTIONS REGARDING THIS NOTICE MAY CONTACT JOHN PIERCE, TRADE
AGREEMENT, AT (202)927-1249.

JOYCE METZGER