RES10-01/02-RR:IT:EC 114595 CC
Baird A. Brown, Esq.
1000 Wilshire Boulevard
Suite 620
Los Angeles, CA 90017-2463
RE: Importation of Iranian-origin carpets; 9804.00.05, HTSUS; 19 CFR § 148.52(a);
31 CFR § 560.524(b)
Dear Mr. Brown:
This is in response to your letters of February 1, 1999, and October 29, 1998, concerning whether your client may import Iranian-origin carpets duty free.
FACTS:
According to your submission, your client wishes to import eight Iranian-origin carpets from his residence in France. Your client was born in Iran and moved with his family to France in 1979 where they became residents. Your client purchased a U.S. residence in 1983. In 1993 your client became a U.S. citizen, and currently he and his family reside part of the year in France and the remainder in the U.S. Five of the carpets were purchased in Iran: two in 1958, one in 1976, and one in 1977. All of those carpets have been used by him in his French residence since 1979. Your client purchased three of the carpets in Germany in 1991 and has used them in his French residence since then. From 1991 to 1994 alone, he lived in his French residence a total of 24 months.
ISSUE:
Whether the subject Iranian-origin carpets may be imported into the United States, and if so, whether they may be imported duty free.
LAW AND ANALYSIS:
31 CFR § 560.201 provides that except as specifically authorized, no goods or services of Iranian origin may be imported into the United States. One of those specific exceptions is contained in 31 CFR § 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 arriving from the same foreign household, must not be intended for any other person or for sale, and must not be otherwise prohibited from importation.
Your original request went to the Office Foreign Assets Control Licensing Division, which responded stating, in pertinent part, the following:
The importation into the United States of Iranian-origin goods is prohibited pursuant to the Iranian Transactions Regulations 31 CFR 560 (the “Regulations”). However, the Regulations generally license the importation of the following categories of Iranian-origin goods:
...
• Iranian-origin household goods and personal effects of a person relocating to the United States, provided such articles were actually used in the foreign household (1) of such person, (2) by such person or by a member of such person’s family who is simultaneously relocating to the United States, and (3) prior to such person’s relocation to the United States. The articles being imported may not be intended for any other person or for sale. The general license for household goods and personal effects is available to persons immigrating to the United States from foreign countries (including Iran), to foreign persons temporarily relocating to the United States for extended periods (such that a relocation of household goods and personal effects is appropriate), and to U.S. persons returning to the United States after living abroad for extended periods.
... The United States Customs Service (“USCS”) is responsible for determining whether goods of Iranian-origin are entitled to admission under the terms of the Regulations.
Based on the information you have provided, the subject carpets were used by your client and his family abroad and they are intended for him and his family and are not for resale. Consequently, the carpets may be imported into the United States pursuant to 31 CFR § 560.524(b).
Concerning the dutiability of the carpets, 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 used by your client or by him and his family abroad for not less than one year, if the merchandise is not intended for any other person or for sale. According to 19 CFR §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, the carpets have been used by your client abroad for over one year and are not intended for any other person or for sale. Consequently, the subject carpets meet the terms of subheading 9804.00.05, HTSUS, and may be imported duty free.
HOLDING:
The subject Iranian-origin carpets may be imported into the United States duty free.
Sincerely,
Jerry Laderberg
Chief
Entry Procedures and Carriers Branch