PART 144—WAREHOUSE AND REWAREHOUSE ENTRIES AND WITHDRAWALS Authority: 19 U.S.C. 66, 1484, 1557, 1559, 1624. Section 144.3 also issued under 19 U.S.C. 1563; Section 144.33 also issued under 19 U.S.C. 1562; Section 144.37 also issued under 19 U.S.C. 1555, 1562. Source: T.D. 73-175, 38 FR 17464, July 2, 1973, unless otherwise noted. § 144.0 Scope. This part contains regulations pertaining to the entry and withdrawal of merchandise under the provisions of section 557, Tariff Act of 1930, as amended (19 U.S.C. 1557), which among other things provides that articles subject to duty may be entered for warehousing and deposited in a bonded warehouse at the expense and risk of the owner, importer, or consignee, and withdrawn from warehouse for consumption upon payment of duties and charges. The requirements and procedures set forth in this part are in addition to the general requirements and procedures for all entries set forth in part 141 of this chapter. Regulations pertaining to manipulation in warehouse, manufacturing warehouses, and smelting and refining warehouses are set forth in part 19 of this chapter. Subpart A—General Provisions § 144.1 Merchandise eligible for warehousing. (a) Types of merchandise. (b) [Reserved] (c) Merchandise previously entered. [T.D. 73-175, 38 FR 17464, July 2, 1973, as amended by T.D. 82-204, 47 FR 49376, Nov. 1, 1982; T.D. 84-149, 49 FR 28699, July 16, 1984] § 144.2 Liability of importers and sureties. The importer of merchandise entered for warehouse is liable for the payment of all unpaid duties not only as principal on the bond filed on Customs Form 301, containing the bond conditions set forth in § 113.62 of this chapter, but also by reason of his personal liability as consignee. Under the conditions of the bond, the sureties on the bond shall be held liable for the payment of duties and Customs charges not paid by the principal on the bond, whether such duties and charges are finally ascertained before the merchandise is withdrawn from Customs custody or thereafter. Liability may be transferred in part along with the right to withdraw the merchandise, in accordance with Subpart C of this part. [T.D. 73-175, 38 FR 17464, July 2, 1973, as amended by T.D. 84-213, 49 FR 41185, Oct. 19, 1984] § 144.3 Allowance for damage. No abatement or allowance of duties shall be made on account of damage, loss, or deterioration of the merchandise while in warehouse, except as provided for by law (see part 158 of this chapter). § 144.4 Allowance for abandoned, destroyed, or exported merchandise. Allowance in duties shall be made for merchandise in warehouse which is abandoned or destroyed in accordance with § 158.43 of this chapter or exported in accordance with § 144.37. § 144.5 Period of warehousing. Merchandise must not remain in a bonded warehouse beyond 5 years from the date of importation or such longer period of time as the Center director may at his discretion permit upon proper request being filed and good cause shown. [CBP Dec. 09-48, 74 FR 68686, Dec. 29, 2009, as amended by CBP Dec. No. 16-26, 81 FR 93020, Dec. 20, 2016] § 144.6 [Reserved] § 144.7 Disposition of merchandise after expiration of warehousing period. Merchandise remaining in a bonded warehouse after the expiration of the warehousing period shall be disposed of in accordance with § 127.14 of this chapter. [T.D. 79-221, 44 FR 46828, Aug. 9, 1979] Subpart B—Requirements and Procedures for Warehouse Entry § 144.11 Form of entry. (a) Entry. (b) Customs Form 7501, or its electronic equivalent. (c) Designation of warehouse. (d) Specification list. [T.D. 79-221, 44 FR 46828, Aug. 9, 1979, as amended by T.D. 84-129, 49 FR 23168, June 5, 1984; CBP Dec. 15-14, 80 FR 61290, Oct. 13, 2015] § 144.12 Contents of entry summary; estimated duties. The entry summary, Customs Form 7501, or its electronic equivalent shall show the value, classification, and rate of duty as approved by the Center director at the time the entry summary is filed. However, no deposit of estimated duties shall be required until the merchandise is withdrawn for consumption. [T.D. 79-221, 44 FR 46828, Aug. 9, 1979, as amended by T.D. 84-129, 49 FR 23168, June 5, 1984; CBP Dec. 15-14, 80 FR 61290, Oct. 13, 2015; CBP Dec. No. 16-26, 81 FR 93020, Dec. 20, 2016] § 144.13 Bond requirements. A bond on Customs Form 301, containing the bond conditions set forth in § 113.62 of this chapter shall be filed in the amount required by the Center director to support the entry documentation. [T.D, 84-213, 49 FR 41185, Oct. 19, 1984, as amended by CBP
Dec. No. 16-26, 81 FR 93020, Dec. 20, 2016] § 144.14 Removal to warehouse. When the entry summary, Customs Form 7501, or its electronic equivalent and the bond on Customs Form 301, containing the bond conditions set forth in § 113.62 of this chapter have been filed, the merchandise shall be sent to the bonded warehouse, except for: (a) Merchandise for which an immediate withdrawal if filed, or (b) Packages designated for examination elsewhere than at the warehouse, which shall be sent to the warehouse after examination. [T.D. 79-221, 44 FR 46828, Aug. 9, 1979, as amended by T.D. 84-129, 49 FR 23168, June 5, 1984; T.D. 84-213, 49 FR 41185, Oct. 19, 1984; CBP Dec. 15-14, 80 FR 61290, Oct. 13, 2015] § 144.15 Entry and withdrawal from Customs bonded warehouses of distilled spirits. (a) Distilled spirits entered in warehouse under section 5066(a), Internal Revenue Code General rule. (2) Withdrawal from warehouse for domestic consumption. (b) Distilled spirits transferred from a manufacturing warehouse to a storage warehouse under section 311, Tariff Act of 1930 Prohibition on withdrawal from warehouse for domestic consumption. (2) Procedure governing transfer of distilled spirits from manufacturing warehouse to storage warehouse. (c) Distilled spirits entered under section 5214(a)(9), Internal Revenue Code General rule. (2) Withdrawal only for exportation. [T.D. 73-175, 38 FR 17464, July 2, 1973, as amended by T.D. 78-298, 43 FR 38382, Aug. 28, 1978; T.D. 80-271, 45 FR 75641, Nov. 17, 1980; T.D. 84-213, 49 FR 41185, Oct. 19, 1984; T.D. 89-1, 53 FR 51263, Dec. 21, 1988] Subpart C—Transfer of Right To Withdraw Merchandise from Warehouse § 144.21 Conditions for transfer. Under the provisions of section 557(b) Tariff Act of 1930, as amended (19 U.S.C. 1557(b)), the right to withdraw all or part of merchandise entered for warehouse may be transferred by appropriate endorsement on the withdrawal form, provided that the transferee files a bond on Customs Form 301, containing the bond conditions set forth in § 113.62 of this chapter. Upon the deposit of the endorsed form, properly executed, and the transferee's bond with the Customs officer designated to receive such form and bond, the transferor and his sureties shall be relieved from all undischarged liability. [T.D. 73-175, 38 FR 17464, July 2, 1973, as amended by T.D. 84-213, 49 FR 41185, Oct. 19, 1984; 49 FR 44867, Nov. 9, 1984] § 144.22 Endorsement of transfer on withdrawal form. Transfer of the right to withdraw merchandise entered for warehouse shall be established by an appropriate endorsement on the withdrawal form by the person primarily liable for payment of duties before the transfer is completed, i.e. (a) Customs Form 7501, or its electronic equivalent, for: (i) A duty paid warehouse withdrawal for consumption; (ii) Withdrawal with no duty payment (diplomatic use); (iii) Merchandise to be withdrawn as vessel or aircraft supplies and equipment under § 10.60 of this chapter or other conditionally free merchandise; (b) In-bond application filed pursuant to part 18 of this chapter, for merchandise to be withdrawn for transportation, exportation, or transportation and exportation. [T.D. 82-204, 47 FR 49376, Nov. 1, 1982, as amended by T.D. 95-81, 60 FR 52295, Oct. 6, 1995; CBP Dec. 15-14, 80 FR 61290, Oct. 13, 2015; CBP Dec. No. 17-13, 82 FR 45406, Sept. 28, 2017] § 144.23 Endorsement in blank. If the transferor wishes to do so, he may endorse the withdrawal form to authorize the right to withdraw the merchandise specified thereon but leave the space for the name of the transferee blank. A holder of a withdrawal form so endorsed and otherwise fully executed may insert his own name in the blank space, deposit such form and his transferee's bond with the Customs officer designated to receive such form and bond, and thereby establish his right to withdraw the merchandise. § 144.24 Transferee's bond. The transferee's bond shall be on Customs Form 301 and contain the bond conditions set forth in § 113.62 of this chapter. [T.D. 84-213, 49 FR 41185, Oct. 19, 1984] § 144.25 Deposit of forms. Either the transferor or the transferee may deposit the endorsed withdrawal form and transferee's bond with the Customs officer designated to receive such form and bond. § 144.26 Further transfer. The right of a transferee to withdraw the merchandise may not be revoked by the transferor but may be retransferred by the transferee. § 144.27 Withdrawal from warehouse by transferee. At any time within the warehousing period, a transferee who has established his right to withdraw merchandise may withdraw all or part of the merchandise covered by the transfer by filing any authorized kind of withdrawal from warehouse in accordance with subpart D of this part. § 144.28 Protest by transferee. (a) Entries on or after January 12, 1971. (b) Entries prior to January 12, 1971. Subpart D—Withdrawals from Warehouse § 144.31 Right to withdraw. Withdrawals from bonded warehouse may be made only by the person primarily liable for the payment of duties on the merchandise being withdrawn, i.e. § 144.32 Statement of quantity; charges and liens. (a) On each withdrawal. (1) The quantity ( i.e. (2) The quantity being withdrawn; and (3) The quantity remaining in warehouse after the withdrawal. The quantity in each instance may be shown as a cumulative total event though it may include a group of varied units such as boxes, cases, or cartons, and may consist of more than one commodity, such as distilled spirits, chinaware, etc. (b) Transferred merchandise. (c) Charges and liens. [T.D. 73-175, 38 FR 17464, July 2, 1973, as amended by T.D. 82-204, 47 FR 49376, Nov. 1, 1982; T.D. 86-118, 51 FR 22516, June 20, 1986] § 144.33 Minimum quantities to be withdrawn. Unless by special authority of the Commissioner of Customs, merchandise shall not be withdrawn from bonded warehouse in quantities less than an entire bale, cask, box, or other package, or, if in bulk, in quantities less than 1 ton in weight or the entire quantity imported, whichever is smaller. § 144.34 Transfer to another warehouse. (a) At the same port. (b) At another port. (c) Transfers between integrated bonded warehouses Eligibility. (ii) The importer must have a centralized inventory control system that shows the location of all of the warehoused merchandise at all times, including merchandise in transit. (iii) The importer and its surety must sign the application. If the application to use this alternative procedure is approved by the appropriate port director, the importer's entry bond containing the conditions provided under § 113.62 of this chapter will continue to attach to any merchandise transferred under these alternative procedures. (iv) Each proprietor of a warehouse listed on the application and each surety who underwrites that proprietor's custodial bond coverage under § 113.63 of this chapter shall sign the application. (2) Application. (3) Operation. (4) Inventory control requirements. (i) Provide Customs upon demand with the proper on-hand balance of each inventory item in each warehouse facility and each storage location within each warehouse; (ii) Provide Customs upon demand with the proper on-hand balance for each open warehouse entry and the actual quantity in each warehouse facility; (iii) If an alternative inventory system has been approved, provide Customs upon demand with the proper on-hand balance for each unique identifier and the quantity related to each open warehouse entry and the quantity in each warehouse facility; (iv) Maintain documentation for all intracompany movements, including authorizations for the movement, shipping documents and receiving reports. These documents must show the appropriate warehouse entry number or unique identifier, the description and quantity of the merchandise transferred, and must be properly authorized and signed evidencing shipment from and delivery to each location; (v) Maintain a consolidated permit file folder at the location where the merchandise was originally warehoused. The consolidated permit file folder must meet the requirements of § 19.12(d)(4) of this chapter regardless of the warehouse facility in which the action occurred. Documentation for all intracompany movements, including authorizations for movement, shipping documents, receiving reports, as well as documentation showing ultimate disposition of the merchandise must be filed in the consolidated permit file folder within seven business days; (vi) Maintain a subordinate permit file at all intracompany locations where merchandise is transferred containing copies of documentation required by § 19.12(d)(4) of this chapter and by paragraph (c)(3)(v) of this section relating to merchandise quantities transferred to the location. A copy of all documents in the subordinate permit file folder must be filed in the consolidated permit file folder within seven business days; no exceptions will be granted to this requirement. When the final withdrawal is made on the respective entry, the subordinate permit file shall be considered closed and filed at the intracompany location to which the merchandise was transferred; and (vii) File the withdrawal from Customs custody at the original warehouse location at which the merchandise was entered. (5) Waiver of permit file folder requirements. (6) Procedure not available Liens. (ii) Restricted merchandise. [T.D. 73-175, 38 FR 17464, July 2, 1973, as amended by T.D. 82-204, 47 FR 49376, Nov. 1, 1982; T.D. 97-19, 62 FR 15840, Apr. 3, 1997] § 144.35 Withdrawal of vessel and aircraft supplies and equipment. Supplies and equipment for vessels and aircraft may be withdrawn from warehouse under the procedures set forth in this subpart and in §§ 10.59 through 10.65 of this chapter. § 144.36 Withdrawal for transportation. (a) Time limit. (b) Physical deposit in warehouse not needed. (c) Form. (2) Separate withdrawals for transportation from a single warehouse, via a single conveyance, consigned to the same consignee, and deposited into a single warehouse, can be filed using one in-bond application, under one control number, provided that the information for each withdrawal, as required in paragraph (d) of this section is provided in the in-bond application for certification by CBP. With the exception of alcohol and tobacco products, this procedure will not be allowed for merchandise that is in any way restricted (for example, quota/visa). (3) The requirement that an in-bond application be filed and the information required in paragraph (d) of this section be shown will not be required if the merchandise qualifies under the exemption in § 144.34(c). (d) Information required. (1) The original entry number, date of entry, date of entry summary, and port at which filed; (2) The name of the consignee at the port of destination; (3) Any ascertained weight, gauge, or measure; (4) The entered value of the merchandise; (5) Estimated duties, if any; (6) A statement that the merchandise is or is not admissible for consumption and the reason for non-admissibility, if applicable; and (7) The statistical information required by § 141.61(e) of this chapter. When the withdrawal is made after the merchandise has been rewarehoused, the rewarehouse entry number, date, and port at which filed also shall be shown. (e) Duty on samples withdrawn. (f) Forwarding procedure. (g) Procedure at destination. (1) Entered for rewarehouse in accordance with § 144.41; (2) Entered for combined rewarehouse and withdrawal for consumption in accordance with § 144.42; (3) Exported in accordance with paragraph (h) of this section; (4) Forwarded to another port or returned to the origination port in accordance with §§ 18.5(c) or 18.9 of this chapter; (5) Admitted to a foreign trade zone in zone-restricted status as provided in part 146 of this chapter; or (6) Deposited into the proprietor's bonded warehouse or duty free store warehouse without rewarehouse entry as required in § 144.41, if the merchandise qualifies for the exemption specified in § 144.34(c). (h) Exportation. [T.D. 73-175, 38 FR 17464, July 2, 1973, as amended by T.D. 79-221, 44 FR 46828, Aug. 9, 1979; T.D. 84-129, 49 FR 23168, June 5, 1984; T.D. 84-212, 49 FR 39047, Oct. 3, 1984; T.D. 86-16, 51 FR 5064, Feb. 11, 1986; T.D. 86-118, 51 FR 22516, June 20, 1986; T.D. 97-19, 62 FR 15841, Apr. 3, 1997; CBP Dec. 15-14, 80 FR 61290, Oct. 13, 2015; CBP Dec. 17-13, 82 FR 45406, Sept. 28, 2017] § 144.37 Withdrawal for exportation. (a) Form. (b) Procedure for indirect exportation Forwarding. (2) Dividing of shipments. (c) Exportation by mail. (d) Marks on packages. (e) Weight, gauge, or measure. (f) Merchandise not laden. (g) Exportation at a foreign trade zone. (h) Class 9 warehouse withdrawals for exportation Applicability of sales ticket procedure. (2) Sales ticket content and handling. (i) Serial number and date of preparation of each ticket; (ii) Warehouse entry number or specific identifier, if approved by the port director; (iii) Quantity of goods sold; (iv) Brief description of the articles including the size of bottles; (v) The full name and address of the purchaser. However, the port director may waive the address requirement for all merchandise except for alcoholic beverages in quantities in excess of 4 liters and cigarettes in quantities in excess of 3 cartons. Also, the address requirement is not applicable with respect to purchasers at airport duty-free enterprises; and (vi) A statement on the original copy (purchaser's copy) to the effect that goods purchased in a duty-free store will be subject to duty and/or tax with personal exemption if returned to the United States. At the time of purchase, the original sales ticket must be made out in the name of the purchaser and given to the purchaser. One copy of the sales ticket must be retained by the proprietor. This copy may be maintained electronically. A permit file copy will be attached to the parcel containing the purchased articles unless the proprietor has established and maintained an effective method to match the parcel containing the purchased articles with the purchaser. Additional copies may be retained by the proprietor. (3) Sales ticket register. (i) Warehouse entry number; (ii) Specific identifier, if applicable; (iii) Sales ticket date and number; (iv) Description; (v) Quantity; and (vi) Current balance. As each warehouse entry is closed out, the warehouse proprietor must verify the sales ticket register total with the amount withdrawn so as to account for all merchandise so withdrawn and certify on the register that all the goods have been exported or sold to qualifying persons and organizations under part 148 of this chapter. The sales ticket register must be included in the permit file folder with or in lieu of the blanket permit summary, as provided in § 19.6(d)(5) of this chapter. A copy of all sales tickets must be retained by the proprietor for not less than 5 years after the date of the last sales ticket in the entry. In lieu of placing a copy of sales tickets in each permit file folder, the warehouse proprietor may keep all sales tickets in a readily retrievable manner in a separate file. [T.D. 73-175, 38 FR 17464, July 2, 1973] Editorial Note: For Federal Register www.govinfo.gov. § 144.38 Withdrawal for consumption. (a) Form. (b) Withdrawal for exportation to Canada or Mexico. (c) Information to be shown on withdrawal. (d) Deposit of estimated duties. (e) Permit for release of merchandise. (f) Textiles and textile products. (1) In the country of origin of the merchandise as defined by § 102.21 or § 102.22 of this chapter, as applicable, (2) To exempt from quota or visa or export license requirements other than a change brought about by statute, treaty, executive order or Presidential proclamation, or (3) From one textile category to another textile category. [T.D. 73-175, 38 FR 17464, July 2, 1973] Editorial Note: For Federal Register www.govinfo.gov. § 144.39 Permit to transfer and withdraw merchandise. With the exception of merchandise transferred under the procedures of § 144.34(c), if all legal and regulatory requirements are met, the appropriate Customs officer shall approve the application to transfer or withdraw merchandise from a bonded warehouse by endorsing the permit copy and returning it to the applicant. The approved permit shall be presented by the withdrawer to the warehouse proprietor as evidence of Customs authorization of the transfer or withdrawal. The approved permit copy shall thereafter be retained in the warehouse entry file of the proprietor. Goods covered by permit may be retained in the bonded
warehouse at the option of the proprietor. [T.D. 82-204, 47 FR 49376, Nov. 1, 1982, as amended by T.D. 97-19, 62 FR 15842, Apr. 3, 1997] Subpart E—Rewarehouse Entries § 144.41 Entry for rewarehouse. (a) Applicability. (b) Form of entry. (c) Combining separate shipments. (2) Shipments covered by multiple warehouse entries, and shipped from a single warehouse under separate withdrawals for transportation, via a single conveyance, may be combined into one rewarehouse entry if consigned to the same consignee and deposited into a single warehouse. With the exception of alcohol and tobacco products, this procedure shall not be allowed for merchandise which is in any way restricted (for example, quota/visa). The combined rewarehouse entry shall have attached either copies of each warehouse entry package which is being combined into the single rewarehouse entry or a summary with pertinent information, that is, the date of importation, commodity description, size, HTSUS and entry numbers, for all entries withdrawn for consolidation as one rewarehouse entry. Any combining of separate withdrawals into one rewarehouse entry shall result in the rewarehouse entry being assigned the import date of the oldest entry being combined into the rewarehouse entry. (3) Combining of separate shipments shall be prohibited in all other circumstances. (d) Bond. (e) Value and classification. (f) Examination. (g) Failure to enter. (h) Protest. [T.D. 73-175, 38 FR 17464, July 2, 1973, as amended by T.D. 82-204, 47 FR 49376, Nov. 1, 1982; T.D. 84-129, 49 FR 23168, June 5, 1984; T.D. 84-213, 49 FR 41185, Oct. 19, 1984; T.D. 97-19, 62 FR 15842, Apr. 3, 1997; T.D. 98-74, 64 FR 15303, Mar. 31, 1999; CBP Dec. 15-14, 80 FR 61290, Oct. 13, 2015; CBP Dec. No. 16-26, 81 FR 93020, Dec. 20, 2016] § 144.42 Combined entry for rewarehouse and withdrawal for consumption. (a) Applicability. (b) Procedure for entry. (1) Form of entry. (2) Extra copy for Internal Revenue. (3) Deposit of duties. [T.D. 73-175, 38 FR 17464, July 2, 1973, as amended by T.D. 73-312, 38 FR 30884, Nov. 8, 1973; T.D. 87-75, 52 FR 20068, May 29, 1987; CBP Dec. 15-14, 80 FR 61290, Oct. 13, 2015]