HQ 0555712 - Protest No. 0901-90-925752, requesting duty-free entry relating to the implementation of section 484M of Title III of the Customs and Trade Act of 1990. - United States International Trade Commision Rulings

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HQ 555712

January 29, 1991
CLA-2 CO:R:C:S 555712 SER

CATEGORY: CLASSIFICATION

District Director of Customs
111 West Huron St.
Buffalo, NY 14202

RE: Protest No. 0901-90-925752, requesting duty-free entry relating to the implementation of section 484M of Title III of the Customs and Trade Act of 1990.

Dear Sir:

The above-referenced protest concerns your denial of duty- free entry for articles entered under the Educational, Scientific, and Cultural Materials Importation Act of 1982. The issue of this protest involves the effective period of duty-free treatment of this Act, and the documentation required to receive this duty-free treatment.

FACTS:

Numerous entries were made from August 12, 1985, through December 31, 1986, for merchandise properly classified in items 960.50 through 960.70, Tariff Schedules of the United States (TSUS). The Omnibus Trade and Competitiveness Act of 1988 and Presidential Proclamation 5978 of May 12, 1989, provided for duty-free entry for merchandise properly classified in these items, provided the proper documentation was submitted. The required proper documentation was not submitted. Accordingly, the entries were liquidated dutiable under the appropriate tariff item numbers.

ISSUE:

Does the Customs and Trade Act of 1990 affect the duty-free treatment of the merchandise at issue?

LAW AND ANALYSIS:

To give effect to the Nairobi Protocol to the Florence Agreement on the Importation of Educational, Scientific, and Cultural Materials, Congress enacted the Educational, Scientific, and Cultural Materials Importation Act of 1982 (Public Law 97- 446), which established temporary duty reductions for merchandise which fell in several specified categories. These categories are: (1) books, publications, and documents; (2) works of art and
collector's pieces; (3) visual and auditory materials; (4) scientific instruments and apparatus; and (5) articles for the blind. Entries of merchandise under this legislation could be liquidated duty-free provided:
a) a Federal agency (or agencies) designated by the President determines that such an article is visual or auditory material of an educational, scientific or cultural character within the meaning of the [Act], or
b) [articles] are imported by, or certified by the importer to be for the use of, any public or private institution or association approved as educational, scientific, or cultural by a Federal agency or agencies designated by the President for the purpose of duty- free treatment admission pursuant to the Nairobi Protocol to the Florence Agreement.

The effective period of this Act initially expired on August 11, 1985, but inasmuch as Customs and the importing community were assured it would be extended, Customs generally continued to accept entries of such merchandise under the duty-free provisions if the articles met the designation or certification requirements. Section 1121 of the Omnibus Trade and Competitiveness Act of 1988 (Public Law 100-418) and Presidential Proclamation 5978 of May 12, 1989, applied retroactively to entries made on or after August 12, 1985, and prior to May 30, 1989, for duty-free treatment to all eligible articles that met the certification and designation requirements. The protestant had not provided the proper documentation, as required, and the entries were assessed duty.

Section 484M of Title III of the Customs and Trade Act of 1990 (Public Law 101-382), which is entitled "Certain Films and Recordings", changed the requirements for duty-free treatment of merchandise classified in items 960.50 through 960.70, TSUS, and entered between August 11, 1985 and December 31, 1987, by dispensing with the documentation or certification requirements previously needed. This provision allows liquidation or reliquidation, as appropriate, of any entry or withdrawal from warehouse for consumption covered by TSUS item numbers 960.50 through 960.70 which was made after August 11, 1985, and before January 1, 1987, regardless of whether any certification or designation documentation was provided.

To implement this legislation, Customs now requests the importer's written request for liquidation/re-liquidation of merchandise covered by this section of the Customs and Trade Act. (A copy of telex 9253071 dated September 10, 1990, of the field instructions to implement this provision, is enclosed). Under this section, no other documentation is required for duty-free treatment.

The entries at issue were made from August 12, 1985, through December 31, 1986, and were classified in items 960.50 through 960.70, TSUS. Subject to the written request for reliquidation by the importer, these entries should be reliquidated duty-free with full refund of duties paid.

HOLDING:

Subject to the written request of the importer, this protest should be granted in full. A copy of this decision should be attached to Form 19 to be returned to the protestant.

Sincerely,

John Durant, Director
Commercial Rulings Division

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