Commercial Information Circulars
24-hour hotline : 23 922 922
e-mail address : enquiry@tid.gov.hk
Ref : EIC 111/3
28 August 2008
Dear Sirs,
Commercial Information Circular No. 434/2008
US : First Sale Declaration Requirement
The US Customs and Border Protection (CBP) and the Department of the Treasury announced in the Federal Register (FR) notice of 25 August 2008 an interim rule to establish a first sale declaration requirement contained in the Food, Conservation, and Energy Act of 2008 to gather information for all goods entered for consumption or withdrawn from warehouse for consumption on the transaction valuation of goods imported into the US. Effective 20 August 2008 for a one-year period, all importers will be required to provide a declaration to CBP at the time of filing a consumption entry when, in a series of sequential sales, the transaction value of the imported merchandise is determined on the basis of the "first or earlier sale" of goods. The CBP is seeking public comments on the interim rule. Interested parties may submit comments to CBP on or before 24 October 2008. A copy (pdf format) of the FR notice is appended to this circular for reference.
DETAILS
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Effective 20 August 2008 through 19 August 2009, importers are required to provide CBP with an "F" indicator next to the declared value at the line level on CBP Form 7501, or the electronic equivalent, when the declared value of the imported merchandise is determined on the basis of the price paid by the buyer in a sale occurring earlier than the last sale prior to the introduction of the merchandise into the US.
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On 21 August 2008, the CBP issued a news release announcing a 30-day grace period for the first sale data collection implementation. Due to the complexity of the programming changes required, CBP is delaying the reporting of the first sale declaration requirement for 30 days to allow the trade time for software programming changes. However, entries subject to the first sale declaration requirement that were not reported between 20 August and 19 September 2008, will require amendment. The news release can be accessed through the following link to the CBP's website at :
http://www.cbp.gov/xp/cgov/newsroom/news_releases/08212008_2.xml.
ENQUIRIES
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For enquiries concerning the content of this circular, please contact the undersigned at 2398 5682.
Yours faithfully,
(Miss Bonny CHAO)
for Director-General of Trade and Industry
| Note : | While every effort is made to ensure the accuracy of the above information, the Department cannot guarantee this to be so and will not be held liable for any reliance placed on the same. |