CLA-2 CO:R:C:G 082930 MBR
Mr. Russell Jones
Steinberg & Jones
17700 Raymer St., Suite 1001
Northridge, CA 91325
RE: The Card-32 computer program cartridge, SMP-24 MIDI computer
interface, Time Lock MIDI computer interface and Key-Expander
computer expansion port device
Dear Mr. Jones:
This is in reply to your letter of September 22, 1988,
requesting a binding ruling for the classification of the Card-
32, SMP-24, Time Lock and Key-Expander, under the Harmonized
Tariff Schedule of the United States Annotated (HTSUSA).
FACTS:
The product literature describes the Card-32 as an electronic
device used between the Commodore C-64 computer and musical
instruments equipped with a MIDI interface. It allows the user
to digitally record, play-back, edit and print the music being
played.
The SMP-24 and Time Lock are MIDI (Musical Instruments
Digitally Interfaced) hardware interfaces for the Atari ST
computer. They allow the computer, with the proper software, to
synchronize with audio or video-tape.
The Key-Expander is an expansion port for the Atari ST computer
that plugs into the RAM port and splits it into three ports.
This allows the user to have several accessories plugged into the
RAM port simultaneously.
ISSUE:
What are the classifications of the Card-32 computer program
cartridge, SMP-24 MIDI computer interface, Time Lock MIDI
computer interface and Key-Expander computer expansion port
device under the Harmonized Tariff Schedule of the United States
Annotated (HTSUSA)?
LAW AND ANALYSIS:
The General Rules of Interpretation (GRI's) to the HTSUSA
govern the classification of goods in the tariff schedule. GRI 1
states, in pertinent part:
...classification shall be determined according to the terms
of the headings and any relative section or chapter notes...
The Card-32 is a combination hardware and software accessory.
It contains two programs (PRO16 Plus and Notation Program TNS) in
read only memory (ROM). It is a combination MIDI-Interface-
Program-Cartridge. Similar ROM program cartridges were
classified in HQ 083440, dated May 1, 1989. In that ruling, it
was Customs position that ROM program cartridges were properly
classifiable under subheading 8473.30.40, HTSUSA, which provides
for: "[p]arts and accessories of the machines of 8471: [n]ot
incorporating a cathode ray tube." This continues to be Customs
position.
The SMP-24 is a MIDI interface for the Atari ST computer. It
reads and writes all four common SMPTE/EBU (standard film/audio
synchronization) codes and can convert this timing information to
both 5V (volt) clock and FSK codes between 1 and 192 ppq (pulses
per quarter note). Tempo is freely programmable per beat
throughout the 1024 bar tempo table. Two MIDI inputs merge
incoming messages to the recording track. Four MIDI outputs,
with free track-to-output assignment, enable users to address up
to 64 completely independent MIDI channels. The SMP 24 offers
extensive control of up to 24 MIDI devices, through discrete
parameters for input (1, 2, or both), program, MIDI volume, and a
wide variety of MIDI filtering options. The SMP 24 also offers
64 programmable memories for setups, which can be selected by
MIDI program change messages.
The SMP-24 MIDI interface is excluded from classification as a
digital data processing machine by virtue of the Harmonized
Commodity Description and Coding System Explanatory Notes (EN),
page 1297, which state: "...machines which operate only on fixed
programs, that is programs which cannot be modified by the user,
are excluded even though the user may be able to choose between a
number of such fixed programs." Furthermore, the SMP-24 does not
meet the definition of a separately presented constituent unit of
data processing systems as defined in Parts (A) and (B), pages
1297-99, of the EN. However, there is no question that the SMP-
24 is designed specifically for use with data processing
machines. Therefore, it is Customs position that such interfaces
are properly classifiable under subheading 8473.30.40, HTSUSA,
which provides for: "[p]arts and accessories of the machines of
8471: [n]ot incorporating a cathode ray tube." SEE HQ 075551
(February 26, 1985), HQ 066531 (November 14, 1988) and HQ 066334
(February 5, 1981).
The Time-Lock SMPTE processor is a less expensive alternative
to the SMP-24, which performs essentially the same functions.
Therefore, it is similarly classifiable under subheading
8473.30.40, HTSUSA, which provides for: "[p]arts and accessories
of the machines of 8471: [n]ot incorporating a cathode ray tube."
The Key Expander is a tool for the Atari ST computer, designed
for those who regularly use more than one Steinberg program. The
Key Expander houses up to three keys, eliminating the need to
switch the computer on and off and "re-boot" the system every
time a new program is run. The Steinberg programs automatically
locate the right key. The third slot performs in the same manner
as the output port on the Atari, supporting other add-on
applications, cartridges, etc.
The Legal Note 2 to Section XVI states:
Subject to note 1 to this section (exclusions), note 1 to
chapter 84 (exclusions), and note 1 to chapter 85
(exclusions), parts of machines (not being parts of the
articles of heading 8484, 8544, 8545, 8546 or 8547) are to
be classified according to the following rules:
(a) Parts which are goods included in any of the
headings of chapters 84 and 85 (other than headings
8485 and 8548) are in all cases to be classified in
their respective headings;
(b) Other parts, if suitable for use solely or
principally with a particular kind of machine, or with
a number of machines of the same heading (including a
machine of heading 8479 or 8543) are to be classified
with the machines of that kind...
Clearly, the Key Expander is a part of the goods included in
the heading of 8471, HTSUSA, and is a part suitable for use
solely with the machines of heading 8471. Therefore, the Key
Expander is classifiable under subheading 8473.30.40, HTSUSA,
which provides for: "[p]arts and accessories of the machines of
8471: [n]ot incorporating a cathode ray tube."
HOLDING:
The Card-32 computer program cartridge, SMP-24 MIDI computer
interface, Time Lock MIDI computer interface and Key-Expander
computer port expansion device are all properly classifiable
under subheading 8473.30.40, HTSUSA, which provides for:
"[p]arts and accessories of the machines of 8471: [n]ot
incorporating a cathode ray tube." The rate of duty is free.
Sincerely,
John Durant, Director
Commercial Rulings Division