The below FAQ’s are for informational and discussion purposes only; they are not binding on the agency and have no legal effect. An administrative ruling pursuant to 19 C.F.R. Part 177 should be sought for specific fact scenarios.
19 U.S.C. § 1321, commonly referred to as Section 321, enables CBP to admit qualifying merchandise free of duty and tax provided that the merchandise is imported by “one person on one day” and has an aggregate fair market value of $800 or less.
The new administrative ruling recognizes domestic warehouses and fulfillment centers as the “one person” for merchandise that have not been sold to a specific consumer at the time of importation. Who else may qualify as the “one person”?
With respect to unsold merchandise, under the new administrative ruling, the owner of the merchandise (foreign seller) may also qualify as the “person” provided the owner’s identity is presented to CBP at the time of importation.
What if the merchandise owner’s (foreign seller) identity is not presented to CBP at the time of importation?
When the identity of the owner of the merchandise is not presented to CBP at the time of importation, shipments may be subject to informal or formal entry procedures when the aggregate value exceeds the $800 limit, or CBP determines it is necessary to protect the revenue or national interest.