CLA-2-90:RR:NC:N1:105 I82960
Deborah & Raymond Giguere
DAR Tech Inc.
5111-40 Avenue
Edmonton AB
T6L 1B3
RE: The tariff classification of hearing aids from Sweden, repaired in Canada
Dear Mr. And Ms. Giguere:
In your letter dated May 29, 2002, you requested a tariff classification ruling. No samples were submitted.
You plan to repair, in Canada, Bone Anchored Hearing Aids (BAHAs) made in Sweden. Since you state that you will charge the American senders for both parts and labor, so we assume that the repairs will not be made pursuant to a warranty. We assume you plan to make formal entries at U.S. Customs.
The applicable Chapters 1-97 subheading for the repaired hearing aids will be 9021.40.0000, Harmonized Tariff Schedule of the United States (HTS), which provides for Hearing Aids, excluding parts and accessories thereof. The rate of duty will be free.
You specifically ask about any import/export fees that might be applicable.
If you prefer, you may choose to enter the full value of the repaired hearing aids under only 9021.40.0000. However, in that case, those hearing aids, products of Sweden, will be subject to a Merchandise Processing Fee of approximately .21 percent, per Customs Regulation (CR)
24.23-b-1. Since you have had discussions with U.S. Customs in Pembina, ND, we assume that your shipments will be sent overland into the USA so the Harbor Maintenance Fee of CR 24.24 will not apply.
You will be exempt from the MPF if you additionally and correctly classify your shipments in a Subheading of HTS Chapter 98 (except 9802.00.60 or .80) per CR 24.23-c. In particular, from your description, your items will be described by HTS 9802.00.5060, which provides for “other” articles returned to the United States after having been exported to be advanced in value or improved in condition by repairs or alterations not made pursuant to a warranty, and HTS 9817.00.96 which provides for Articles specially designed or adapted for the use or benefit of the blind or other physically or mentally handicapped persons; parts and accessories (except parts and accessories of braces and artificial limb prosthetics) that are specially designed or adapted for use in the foregoing articles.
If you enter under 9802.00.5060, then the documentation requirements of CR 181.64-c will apply; if under 9817.00.96, then, for each entry, you will need to prepare and submit to the Customs port of entry a form ITA-362P, which the port will be forwarded to the U.S. Dept.of Commerce, Statutory Import Programs Sttaff, FCB, Suite 4100W, 1401 Constitution Ave. N.W., Washington, DC 20230. If you have any questions concerning the ITA-362P, you should call SIPS at 202-482-3526.
In either case, you would need to supply both the Chapter 1-97 and Chapter 98 classification on your entry forms. The format for 9802.00.50 is indicated in Statistical Note 2 to Chapter 98 and also in U.S. Note 3 to its Subchapter 2; for 9817.00.96 in Statistical Note 1 to its Subchapter 17.
There would be no other payments to the U.S. Customs Service. Of course, you would have to negotiate payments to outside entities such as Customhouse Brokers for any services received from them.
Regarding possible “delayed deliveries” due to Customs activities, all shipments are subject to thorough examination, including searching for contraband, which may result in additional processing time. Regarding your commodity more specifically, any questions concerning related examination criteria should be addressed in writing to USCS National Analysis Spec. Div, Room No: 10W-33, 1 Penn Plaza, New York, NY 10119.
Regarding possible delays “in either direction,” you obviously must contact Canadian Customs with any questions regarding their practices.
This ruling is being issued under the provisions of Part 177 of the Customs Regulations (19 C.F.R. 177).
A copy of the ruling or the control number indicated above should be provided with the entry documents filed at the time this merchandise is imported. If you have any questions regarding the ruling, contact National Import Specialist J. Sheridan at 646-733-3012.
Sincerely,
Robert B. Swierupski
Director,
National Commodity
Specialist Division