BRO-2-01-CO:R:C:E 224768 AJS
Mr. Randy Pohler
International Consultation Services
P.O. Box 999
Del Rio, TX 78841
RE: Consultant who is not customs broker; customs business; 19
U.S.C 1641; HQ 221598; 19 CFR 177.1(c); 19 CFR 177.1(d); 19 CFR
162; 19 CFR 162.1b; 19 CFR 162.1d.
Dear Sir:
This is in reply to your request of June 7, 1993, concerning
various consulting services which you would like to provide.
FACTS:
Your letter asks whether a consultant who is not a licensed
customs broker may assist businesses in complying with the entry
and record keeping requirements of the Customs Regulations. At
no time would a Customs document requiring a power of attorney be
signed by anyone other than the importer of record or his
designee.
Your request also specifically asks whether a consultant may
provide the following services:
1. Training on manifesting, invoicing and immediate delivery
application procedures.
2. Preparation and submission to U.S. Customs requests for
classification determinations. These requests would normally be
signed by an authorized representative of the importer of record,
however, on very rare occasions these requests would be signed by
yourself for the importer of record. These requests would be
submitted by the importer of record based on your
recommendations.
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3. Preparation or have prepared entry summaries (CF 7501)
based on the information supplied by the importer of record.
These entries would never be signed by the anyone other than the
importer of record or his authorized designee.
4. Filing and keeping current the records required by 19 CFR
162. Your request states that you intend to provide businesses
with an administrative/clerical service which will allow them to
have a central depository for records and a source of reliable
expertise when it comes to dealing with the requirements of the
U.S. Customs Service.
Your request additionally states that you will make on-site
visits to plants outside the United States to assist in ensuring
compliance with manifesting and security requirements.
ISSUE:
Whether the above described activities constitute the
conducting of customs business which would require a Customs
broker's license.
LAW AND ANALYSIS:
Section 641 of the Tariff and Trade Act of 1930 (19 U.S.C.
1641), as amended by section 212 of the Tariff and Trade Act of
1984, Public Law 98-573, provides that no person may conduct
customs business (other than solely on behalf of that person)
unless that person holds a valid customs broker's license issued
by the Secretary of the Treasury. 19 U.S.C. 1641(b)(1). Section
641 was also amended by providing the following definition of the
term "customs business":
The term "customs business" means those activities
involving transactions with the Customs Service concerning the
entry and admissibility of merchandise, its classification
and valuation, the payment of duties, taxes, or other charges
assessed or collected by the Customs Service upon merchandise by
reason of its importation, or the refund, rebate, or drawback
thereof.
19 U.S.C. 1641(a)(2); 19 CFR 111.1(c) (emphasis added). It is
our interpretation that this definition limits "customs business"
to those situations where a person is dealing directly with a
Customs official at the customhouse on behalf of a client. HQ
221598 (10/16/89).
The answer is yes to your first general question. Based on
the above interpretation, an unlicensed Customs broker may
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assist a business in complying with the entry and record keeping
requirements of Customs as long as that individual does not deal
directly with Customs officials.
The answer is also yes for specific question number 1. This
type of training would not appear to be any type of direct
dealing with Customs officials and is thus permissible.
The answer is yes to question number 2. The submission of
requests for classification determinations is permissible for
certain types of agents under 19 CFR 177.
19 CFR 177.1(c) provides that a ruling may be requested by
any person who, as an importer or exporter of merchandise, or
otherwise, has a direct and demonstrable interest in the question
or questions presented in the ruling request, or by the
authorized agent of such person. A "person" in this context
includes an individual, corporation, partnership, association, or
other entity or group. Therefore, if you are the authorized
agent of the required person you may submit ruling requests on
their behalf.
We note for your reference that 19 CFR 177.1(d)(1) describes
an "authorized agent" as a person expressly authorized by a
principal to act on his behalf. In addition, a ruling requested
by a person acting as an agent must include a statement
describing the authority under which the request is made.
Furthermore, any person appearing before the Customs Service as
an agent in connection with a ruling request may be required to
present evidence of his authority to represent the principal.
The answer is yes to question number 3. You may prepare
entry summaries based on information supplied by the importer of
record. However, you may not sign these entry summaries nor deal
directly with Customs officials in the filing of these documents
because this would involve conducting Customs business.
The answer is yes to question number 4. You may store and
maintain the records required by 19 CFR 162. 19 CFR 162.1b
provides that any owner, importer, consignee, or their agent who
imports, or knowingly causes to be imported, any merchandise into
the Customs territory of the United States, shall make and keep
records as defined in section 162.1a(a). Therefore, if you are
an agent for an importer you may keep the records required under
this section. Although as such an
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agent, these records may be examined by Customs officers and you
may be issued a summons concerning said records pursuant to 19
CFR 162.1d.
The answer is also yes to the final general question raised.
You may visit plants outside the United States to assist in
compliance with manifesting and security requirements as long as
you do not deal directly with U.S. Customs officials.
HOLDING:
The above described activities do not constitute the
conducting of Customs business which would require a Customs
broker's license.
Sincerely,
John Durant, Director