CLA-2 CO:R:C:M 955917 LTO
District Director
U.S. Customs Service
1000 2nd Avenue
Room 2200
Seattle, Washington 98104
RE: Protest 3001-93-100839; SoundXchange Model A; HQ 955108; EN
85.17; functional unit
Dear District Director:
The following is our decision regarding Protest 3001-93-
100839, which concerns the classification of the SoundXchange
Model A under the Harmonized Tariff Schedule of the United States
(HTSUS). The subject merchandise was entered on June 7, 1993,
and the entry was liquidated on September 24, 1993. The protest
was timely filed on December 22, 1993.
FACTS:
The article in question is the SoundXchange Model A
("SoundXchange"), which is a speaker-style product for multimedia
communications on personal computers (PC). The SoundXchange is
used for communication on a computer network, and provides voice
recording and playback capabilities for personal computers. It
is designed for computers which already contain a sound board or
for computers with built-in sound.
The SoundXchange consists of two loudspeakers, two
microphones, amplifier circuitry, a monitor mounting bracket, AC
power adapter and an audio cable hat, which plugs into a sound
digitizing board that has been previously installed inside the
PC. The SoundXchange delivers audio signals directly to and
receives audio signals directly from the sound digitizing board,
which in turn is connected directly to the central processing
unit (CPU) in the PC.
- 2 -
The protestant contends that the SoundXchange is
classifiable under subheading 8471.92.00, HTSUS, which provides
for combined input/output units of automatic data processing
machines, subheading 8518.50.00, HTSUS, which provides for
electric sound amplifier sets, or subheading 8520.90.00, HTSUS,
which provides for other sound recording apparatus, whether or
not incorporating a sound reproducing device. The merchandise
was classified upon liquidation under subheading 8517.81.00,
HTSUS, which provides other electrical apparatus for line
telephony. The protestant has not provided any legal argument in
support of his position.
ISSUE:
Whether the SoundXchange Model A is classifiable as other
electrical apparatus for line telephony under subheading
8517.81.00, HTSUS.
LAW AND ANALYSIS:
The General Rules of Interpretation (GRI's) to the HTSUS
govern the classification of goods in the tariff schedule. GRI 1
states in pertinent part that "for legal purposes, classification
shall be determined according to the terms of the headings and
any relative section or chapter notes . . . ."
The subheadings at issue are as follows:
8471 Automatic data processing machines and
units thereof . . . :
Other:
Input or output units, whether
or not entered with the rest of
a system and whether or not
containing storage units in the
same housing:
8471.92.10 Combined input/output units
(3.7% ad valorem)
* * * * * * * * * * * * *
8517 Electrical apparatus for line telephony
or telegraphy, including such apparatus
for carrier-current line systems; parts
thereof:
Other apparatus:
8517.81.00 Telephonic (8.5%)
* * * * * * * * * * * * *
8518 Microphones and stands therefor;
loudspeakers, whether or not mounted in - 3 -
their enclosures; headphones, earphones
and combined microphone/speaker sets;
audio-frequency electric amplifiers;
electric sound amplifier sets; parts
thereof:
8518.50.00 Electric sound amplifier sets (4.9%)
* * * * * * * * * * * *
8520 Magnetic tape recorders and other sound
recording apparatus, whether or not
incorporating a sound reproducing device:
8520.90.00 Other (3.9%)
In HQ 955108, dated October 19, 1993, Customs held that the
SoundXchange, models "A" and "B", were classifiable under
subheading 8517.81.00, HTSUS. We determined that the
SoundXchange was a "functional unit" (section XVI, note 4, HTSUS)
whose components were intended to contribute together to the
function of communication as defined under heading 8517, HTSUS.
We stated that "[a]lthough the merchandise is not a telephone, it
is an 'apparatus for the transmission between two points of
speech or other sounds (or of symbols representing written
messages, images or other data), by variation of an electric
current . . . connecting the transmission station to the
receiving station.'" See Harmonized Commodity Description and
Coding System Explanatory Note (EN) 85.17, pg. 1360. We further
stated that "[e]ven if the merchandise is described under
headings 8518, 8520, or 8471, HTSUS, it is precluded from
classification under those headings, because Explanatory Note
85.17 states that if the merchandise is described under heading
8517, HTSUS, the merchandise is to be classified under that
heading." Accordingly, as the protestant has not presented any
additional arguments, we will adhere to our prior decision, a
copy of which is enclosed.
HOLDING:
The SoundXchange Model A is classifiable under subheading
8517.81.00, HTSUS.
The protest should be DENIED. In accordance with section
3A(11)(b) of Customs Directive 099 3550-065, dated August 4,
1993, Subject: Revised Protest Directive, this decision, together
with the Customs Form 19, should be mailed by your office to the
protestant no later than 60 days from the date of this letter.
Any reliquidation of the entry in accordance with the decision
must be accomplished prior to the mailing of the decision. Sixty
days from the date of the decision the Office of Regulations and
Rulings will take steps to make the decision available to Customs - 4 -
personnel via the Customs Rulings Module in ACS and the public
via the Diskette Subscription Service, Lexis, Freedom of
Information Act and other public access channels.
Sincerely,
John Durant, Director
Commercial Rulings Division
Enclosure