3230-039A Quota and Temporary Importation Under Bond (TIB)

Published CBP guidance; operative status and applicability must be assessed from the retained publisher edition.

CUSTOMS DIRECTIVE
ORIGINATING OFFICE: FO:TP:Q DISTRIBUTION: S-01
CUSTOMS DIRECTIVE NO. 3230-039A
DATE: AUGUST 31, 2001
SUPERSEDES: 3230-039, 5/28/99
REVIEW DATE: AUGUST 2003
SUBJECT: QUOTA AND TEMPORARY IMPORTATION UNDER BOND (TIB)
1 PURPOSE. The purpose of this directive is to provide national guidelines for
handling quota-class merchandise entered into the United States under Temporary
Importation Under Bond (TIB) provisi ons.
2 POLICY. The references and procedures outlined in this directive will be
followed to ensure that quota-class merchandise entered on a TIB is accurately
reported and correctly charged.
3 AUTHORITIES/REFERENCES. 19 U.S.C. 1202 (Section XXII, Chapter 98,
Subchapter XIII of the Harmonized Tariff Schedule of the United States), 19 CFR 10.31
- 10.40, 19 CFR 132, Treasury Decisions 54802(53) and 54802(54), Ruling 306885,
dated June 29, 1979, CIS HB 3200-08, dated March 1998, CIS HB 3500-03A, dated
July 2000.
4 RESPONSIBILITIES. It is the responsibility of all Directors, Field Operations and
all Port Directors to ensure compliance with this directive. The information contained in
this directive should be made available to all Customs field officers responsible for the
processing and reporting of quota-class merch andise.
5 PROCEDURES. The following procedures will be adhered to by all Customs
officers who process TIB entry summaries presented to Customs with quota-class
merch andise.
5.1 A filer i s permitted to enter quota-class merchandise on a TIB, entry type 23,
under the appropriate Chapter 98 Harmonized Tariff Schedule (HTS) numbers that
cover TIB provisi ons. TIB entries (su mmaries) are considered to be consumption entries
(summaries) for purposes of administering quotas [T.D. 54802(53) and (54)]. The
rationale for so deeming TIB entries to be consumption entries for purposes of
administering quota, is that to rule otherwise could allow the circu mvention of the quota
laws (i.e., otherwise merch andise subject to quota for which no visa could be obtained
could be entered under a TIB entry and, if consumed in the United States, subject only
to liquidated damages) .
5.2 Customs personnel will proce ss quota-class merchandise entered under TIB
provisi ons through the quota module of ACS, using the function QSUP, once presented

to Customs in proper form. No merchandise subject to a quota that has been filled can
be released to the importer under a TIB.
5.3 Harmonized Tariff Schedule numbers covering TIB provisi ons require alternate
Chapters 1 through 97 numbers of the Harmonized Tariff Schedule. While this data may
be transmitted to ACS by an ABI filer, this is not the case with non-ABI entry
summaries. On non-ABI summaries, the Chapter 98 number requires manual input by
Customs personnel and must occupy the first tariff field position on the QSUP screen
when using two tariff numbers.
5.4 Ordinarily, non-statement, ACH statement as well as non-ACH statement
processing are acceptable methods of payment for TIB entry summaries. However,
payment of quota-cl ass merch andise under TIB provisi ons using non-ACH statement
processing is not acceptable.
5.5 Quota charges for quota-class merchandise entered under Chapter 98,
Subchapter XIII of the Harmonized Tariff Schedule will remain unchanged in the quota
module of ACS, whether or not the bond conditions have been met.
5.6 When quota-cl ass merchandise entered under Chapter 98, Subch apter
XIII of the Harmonized Tariff Schedule, is not timely exported or destroyed, Customs
personnel will issue a demand for payment of liquidated damages equal to double the
estimated duties applicable to such entry, unless a different amount is prescribed by
10.31(f) CR. The term “estimated duties” includes any merchandise processing fees
applicable to such entry.
6 MEASUREMENT. Customs field offices will have successfully execu ted the
requirements of this directive when all quota-class merchandise entered under TIB
provisi ons is reported accurately and timely through the quota system.
Assistant Commissioner
Office of Field Operations