HQ 082420: Protest No. 3501-8-000017, cash register, point-of-sale terminal, automatic data processing machine

Native CBP ruling rendition. Applicability is fact-specific; modification/revocation relationships and original publisher date are retained. Publisher sentinel year0001 means unknown date, not a historical legal adoption.

                            HQ 082420

                          May 21, 1990

CLA-2 CO:R:C:G  082420  JMH

CATEGORY:  Classification

TARIFF NO.:  676.15

Area Director
U.S. Customs Service
Room 137
110 S. Fourth St.
Minneapolis, MN  55401

RE:  Protest No. 3501-8-000017, cash register, point-of-sale
     terminal, automatic data processing machine

Dear Sir:

     The following is our decision regarding the Protest for
Further Review No. 3501-8-000017, dated May 25, 1988.  At issue
is the classification under the Tariff Schedules of the United
States (TSUS) of Entry No. 791-0873793-7.  The entry which
consists of certain office machines imported by Sumitomo
Corporation.

FACTS:

     The articles in question are the ESPER 9700 and ESPER 9710
food service systems.  The ESPER 9700 and the ESPER 9710 are
designed for use in fast food and family style restaurants.  Both
models incorporate a flexible keyboard, alpha-numeric front and
rear displays, cash drawer, and a free-standing dot-matrix
printer.  The dot-matrix printer issues legible receipts or
requisitions.  The units are designed to be converted from a
stand-alone unit, into a network of communicating terminals with
up to 256 Kilobytes of programmable terminal memory.

     In their condition as imported, the units' functions include
cash register functions, price look-ups, and various management
reports such as inventory analysis, server reports and financial
reports.  Optional devices such as remote kitchen printers and
inter-register communications devices can convert these stand
alone units into a network of communicating terminals.

     The importer believes that  these units are classified under
item 676.22, TSUS, as cash registers.  The models were classified
upon entry under item 676.15, TSUS, as point-of-sale terminals.
                               -2-


ISSUE:

     Whether the ESPER 9700 and the ESPER 9710 are classified as
cash registers under item 676.22, TSUS or as point-of-sale
terminals under item 676.15, TSUS.

LAW AND ANALYSIS:

     Point-of-sale terminals are machines which perform more
functions than those performed by electronic cash registers.
Being more than a cash register precludes classification within
the TSUS provision for cash registers.  See Headquarters Ruling
Letter 070653, dated December 9, 1983.

     The articles in question are designated as "food service
systems."  A "system" denotes usage of a magnitude far greater
than a mere cash register.  Although the term "cash register" may
be broadly construed, the abilities of the ESPER 9700 and the
ESPER 9710 exceed the automatic input of recurrent or pre-set
data.  The models in question have the ability to process data
beyond the final sale of goods and services.  These units are
able to contribute to most aspects of managing a restaurant.

     The ESPER 9700 and the ESPER 9710 are more than a cash
register.  They are properly classified under item 676.15, TSUS,
as accounting, computing and other data processing machines.

HOLDING:

     The ESPER 9700 and the ESPER 9710 are more than a cash
register.  They are properly classified under item 676.15, TSUS,
as accounting, computing and other data processing machines.  The
protest should be denied in full.  A copy of this decision should
be attached to the Form 19 Notice of action for the protest.

                              Sincerely,



                              John Durant, Director
                              Commercial Rulings Division