HQ 0110945 - Vessel repair; LASH barges; 19 U.S.C. 1466(h)(1) Vessel: SAM HOUSTON V-48 - United States International Trade Commision Rulings

United States International Trade Commision Rulings And Harmonized Tariff Schedule

faqs.org Rulings By Number Rulings By Category Tariff Numbers

faqs.org > Rulings and Tariffs Home > Rulings By Number > 1992 HQ Rulings > HQ 0110899 - HQ 0111107 > HQ 0110945

HQ 110945

December 5, 1990

VES-13-18-CO:R:P:C 110945 KVS

CATEGORY: CARRIER

Chief
Residual Liquidation and Protest Branch
6 World Trade Center
New York, NY 10048-0954

RE: Vessel repair; LASH barges; 19 U.S.C. 1466(h)(1) Vessel: SAM HOUSTON V-48
Vessel Repair Entry: 514-3003000-0

Dear Sir:

This is in response to your memorandum dated November 9, 1990, regarding a petition for review filed in connection with the subject vessel, which transmits for review certificates of documentation and use for LASH barges used in conjunction with the SAM HOUSTON V-48, vessel repair entry no. 514-30030000-0. Our findings are set forth below.

FACTS:

The vessel SAM HOUSTON is a Lighter Aboard Ship (LASH) barge mother vessel. Vessel repair entries were filed to cover various repairs made to nine barges. An application for relief for these repairs was filed and was denied in part in Headquarters decision 110023CG BEW, dated September 18, 1989. The petition for review currently under consideration was timely filed.

ISSUE:

Whether the cost of parts, materials, equipment, and repairs made abroad to a U.S.-documented LASH barge which is used as a cargo container is exempt from vessel repair duties imposed pursuant to 19 U.S.C. 1466(a).

LAW AND ANALYSIS:

Title 19, United States Code, section 1466(a) provides, in pertinent part, for payment of duty in the amount of 50 percent ad valorem on the cost of foreign repairs to vessels engaged, intended to engage, or documented under the laws of the United States to engage in the foreign or coastwise trade.

Section 1466 was amended by the Act of August 20, 1990 (Pub L. 101-382), whereby a new paragraph (h)(1) was added which exempts from duty under section 1466(a), the cost of parts, materials, equipment and repairs made abroad to U.S.-documented LASH barges used as cargo containers, with certain effective date restrictions not here relevant.

In a letter dated October 2, 1990, the appropriate vessel repair liquidation unit was informed of the need for the submission of additional evidence regarding documentation and use for the subject barges to be eligible for relief under the new amendment. In response to our request, the petitioner has submitted a certification of documentation and use as a cargo container for each of the barges under consideration. Therefore, since the barges have met the statutory requirements, we hereby grant relief.

HOLDING:

Pursuant to 19 U.S.C. 1466(h)(1), the cost of parts, materials, equipment and repairs made abroad to a U.S.-documented LASH barge which is used as a cargo container is exempt from duty.

Sincerely,

B. James Fritz

Previous Ruling Next Ruling