OT:RR:CTF:EPDR
H326950 SLJ
Mr. Soheil Zarrin
1284 NW 116th Ave.
Portland, Oregon 97229
RE: Iranian-origin carpets; 31 C.F.R. § 560.524(b); personal and household goods; 9804.00.05, HTSUS
Dear Mr. Zarrin,
The following is in response to your request regarding the admissibility of a rug located in Iran.
FACTS:
You wish to import a carpet that is currently located in Iran. You immigrated to the United States (U.S.) from Iran in 2014 and left all of your belongings in Iran. You state that you used the carpet for personal use in your home in Iran before leaving it in 2014. You further state that you would like to import the carpet from Iran to the U.S. and would like clarification on any restrictions to admissibility. We are assuming the carpet is of Iranian origin for the purposes of this ruling.
ISSUE: Whether the carpet is eligible for duty-free importation.
LAW AND ANALYSIS:
31 C.F.R. § 560.201 provides that except as specifically authorized, no goods or services of Iranian origin may be imported into the United States. One exemption to the general rule is found in 31 C.F.R. § 560.524(b), which provides the following:
The importation of Iranian-origin household and personal effects, including baggage and articles for family use, of persons arriving in the United States is authorized; to qualify, articles included in such effects must have been actually used abroad by such persons or by other family members from the same foreign household, must not be intended for any other person or for sale, and must not be otherwise prohibited from importation. For purposes of this paragraph, household and personal effects include all articles meeting the criteria stated in this paragraph regardless of the time elapsed since the importer's arrival in the United States from Iran.
31 C.F.R. § 560.524(b). We note that the relevant Iranian Transactions Regulations have undergone several revisions. Notably, in 2012, 31 C.F.R. § 560.524(b) continued to act as a general license for Iranian-origin household goods and personal effects despite revocations to Section 560.534, which previously and specifically covered admissibility of Iranian-origin carpets. See 77 Fed. Reg. 64,663 (2012).
We have previously found that Iranian-origin carpets are eligible for importation under the personal effects and household goods exception. In HQ 114595, dated July 9, 1999, we ruled that an Iranian-origin carpet was admissible for importation under 31 C.F.R. § 560.524(b). In that case, the importer purchased the carpets in Iran and then used the carpets in his home in Iran and later in France. The importer did not intend to resell the carpets and intended to use the carpets only in his home. Under these circumstances, CBP found that the Iranian-origin carpets were eligible for importation under 31 C.F.R. § 560.524(b).
Based on the information you provided, you used your carpet for personal use in your home in Iran and would like to import the carpet to the U.S. for personal use. Under 31 C.F.R. § 560.524(b), it is permissible to import the carpet to the U.S. since you used the carpet in Iran before importation for personal use and intend to continue using it only for personal use.
Concerning the dutiability of the carpet, all goods imported into the Customs territory of the United States from outside thereof are subject to duty or exempt thereof as provided for by the Harmonized Tariff Schedule of the United States (HTSUS). Subheading 9804.00.05, HTSUS, provides for an exemption from duty for the importation of household effects actually used by the importer or by the importer and his family abroad for at least one year, if the merchandise is not intended for any other person or for sale. According to 19 C.F.R. §148.52(a), this exemption includes carpets, and the year of use need not be continuous, nor need it immediately precede the time of importation.
Based on your submission, so long as the imported subject carpet is for personal use and is not offered for sale, the carpet meets the requirements of subheading 9804.00.05, HTSUS, as long as you used the carpet for at least one year prior to leaving Iran in 2014. We note that certain imports from Iran may be subject to requirements promulgated by the Office of Foreign Assets Control (“OFAC”).
HOLDING:
The Iranian carpet is eligible for importation under 31 C.F.R. § 560.524(b) and may enter duty-free under 9804.00.05, HTSUS as long as you used the carpet for at least one year prior to leaving Iran.
Please note that 19 C.F.R. § 177.9(b) provides that “[e]ach ruling letter is issued on the assumption that all of the information furnished in connection with the ruling request and incorporated in the ruling letter, either directly, by reference, or by implication, is accurate and complete in every material respect. The application of a ruling letter by a Customs Service field office to the transaction to which it is purported to relate is subject to the verification of the facts incorporated in the ruling letter, a comparison of the transaction described therein to the actual transaction, and the satisfaction of any conditions on which the ruling was based.”
Sincerely,
for Kristina Frolova, Acting Chief
Entry Process and Duty Refund Branch