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