PART 159—LIQUIDATION OF DUTIES Authority: 19 U.S.C. 66, 1500, 1504, 1624. Subpart C also issued under 31 U.S.C. 5151. Subpart D also issued under 19 U.S.C. 1671 et seq. Subpart F also issued under 19 U.S.C. 1675c. Sections 159.4, 159.5, and 159.21 also issued under 19 U.S.C. 1315; Section 159.6 also issued under 19 U.S.C. 1321, 1505; Section 159.7 also issued under 19 U.S.C. 1557; Section 159.22 also issued under 19 U.S.C. 1507; Section 159.44 also issued under 15 U.S.C. 73, 74; Section 159.46 also issued under 19 U.S.C. 1304; Section 159.55 also issued under 19 U.S.C. 1558; Section 159.57 also issued under 19 U.S.C. 1516. Source: T.D. 73-175, 38 FR 17482, July 2, 1973, unless otherwise noted. Editorial Note: Nomenclature changes to part 159 appear by CBP Dec. No. 16-26, 81 FR 93023, Dec. 20, 2016. § 159.0 Scope. This part sets forth general rules for the liquidation of entries. Certain specific procedures affecting liquidation appear in other parts of this chapter; e.g., part 158 of this chapter covers allowance for lost or damaged merchandise. Subpart A—General Provisions § 159.1 Definition of liquidation. Liquidation [T.D. 01-24, 66 FR 16400, Mar. 26, 2001, as amended by CBP Dec. 11-02, 76 FR 2576, Jan. 14, 2011] § 159.2 Liquidation required. All entries covering imported merchandise, except temporary importation bond entries and those for transportation in bond or for immediate exportation, shall be liquidated. Vessel repair entries are not subject to liquidation under this part (see § 4.14(i)(3) of this chapter). [T.D. 73-175, 38 FR 17482, July 2, 1973, as amended by T.D. 01-24, 66 FR 16400, Mar. 26, 2001] § 159.3 Rounding of fractions. (a) Value. (b) Quantities subject to specific duty. § 159.4 Alcoholic beverages. (a) Quantities subject to duties. (b) Computation of duties. (1) Distilled spirits. (2) Wine. (3) Beer and similar fermented beverages. [T.D. 73-175, 38 FR 17482, July 2, 1973, as amended by T.D. 78-329, 43 FR 43455, Sept. 26, 1978; T.D. 80-271, 45 FR 75641, Nov. 17, 1980; T.D. 89-1, 53 FR 51270, Dec. 21, 1988] § 159.5 Cigars, cigarettes, and cigarette papers and tubes. The internal revenue taxes imposed on cigars, cigarettes, and cigarette papers and tubes under section 5701 or 7652, Internal Revenue Code of 1954 (26 U.S.C. 5701 or 7652), are determined in accordance with section 5703 of that Code (26 U.S.C. 5703) at the time of removal; that is, on the quantity removed from Customs custody under the entry or withdrawal for consumption. The Customs duties, unlike those on alcoholic beverages, do not necessarily apply only to such quantities. § 159.6 Difference between liquidated duties and estimated duties. (a) Difference under $20 in original liquidation. (b) Difference under $20 in reliquidation. (1) Reliquidation at importer's request. (2) Court decision. (c) Difference of $20 or more collected or refunded. (d) Customs duties and fees and internal revenue taxes and interest netted for $20 limit. [T.D. 73-175, 38 FR 17482, July 2, 1973, as amended by T.D. 78-394, 43 FR 49791, Oct. 25, 1978; T.D. 94-51, 59 FR 30296, June 13, 1994; 64 FR 56440, Oct. 20, 1999; CBP Dec. 11-02, 76 FR 2576, Jan. 14, 2011; CBP Dec. 25-18, 91 FR 36, Jan. 2, 2026] § 159.7 Rewarehouse entries. The liquidation of the original warehouse entry shall be followed in determining the liability for duties on a rewarehouse entry, except in the following cases: (a) Merchandise excluded from liquidation of original warehouse entry. (1) Alcoholic beverages provided for in headings 2203 through 2208, Harmonized Tariff Schedule of the United States (HTSUS) (19 U.S.C. 1202), and subject to internal revenue taxes; (2) Cigars, cigarettes, and cigarette papers and tubes subject to internal revenue taxes; (3) Tariff-rate quota merchandise; and (4) Wool or hair subject to duty at a rate per clean kilogram under Chapter 51, HTSUS. (b) Reliquidation required by change in rate. (c) Shortage, irregular delivery, nondelivery, and other cases. [T.D. 73-175, 38 FR 17482, July 2, 1973, as amended by T.D. 89-1, 53 FR 51270, Dec. 21, 1988; T.D. 90-78, 55 FR 40168, Oct. 2, 1990; CBP Dec. 11-02, 76 FR 2576, Jan. 14, 2011] § 159.8 Allowance for loss, injury, etc. Allowance in duties for any merchandise which is lost, stolen, destroyed, injured, abandoned, or short-shipped will be made in accordance with the provisions of part 158 of this chapter. [T.D. 73-175, 38 FR 17482, July 2, 1973, as amended by CBP Dec. 11-02, 76 FR 2576, Jan. 14, 2011] § 159.9 Notice of liquidation and date of liquidation for formal entries. (a) Notice of liquidation. www.cbp.gov. (b) Posting of notice. www.cbp.gov (c) Date of liquidation Generally. www.cbp.gov www.cbp.gov (2) Exception: Entries liquidated by operation of law. www.cbp.gov (ii) For liquidation notices that were posted or lodged in the customhouse, pursuant to section 514, Tariff Act of 1930, as amended (19 U.S.C. 1514) and part 174 of this chapter, a protest of a decision relating to an entry made before December 18, 2004, must be filed within 90 days from the date of liquidation of an entry by operation of law or within 90 days from the date the bulletin notice thereof was posted or lodged in the customhouse, or, in the case of a protest of a decision relating to an entry made on or after December 18, 2004, within 180 days from the date of liquidation of an entry by operation of law. (iii) For liquidation notices posted on www.cbp.gov, www.cbp.gov, (d) Courtesy notice of liquidation. [CBP Dec. No. 16-25, 81 FR 89380, Dec. 12, 2016] § 159.10 Notice of liquidation and date of liquidation for informal, mail, and baggage entries. (a) Usual date of liquidation. (1) The date of payment by the importer of duties due on the entry; (2) The date of release by CBP or the postmaster when the merchandise is released under such an entry free of duty; and (3) The date a free entry is accepted for articles released under a special permit for immediate delivery under part 142 of this chapter. (b) Date of liquidation when duty cannot be determined at time of entry. (c) Notice of liquidation Dutiable entries. (2) Free entries. (3) Entries where duty cannot be determined at time of entry. [T.D. 73-175, 38 FR 17482, July 2, 1973, as amended by T.D. 90-1, 54 FR 52933, Dec. 26, 1989; CBP Dec. 11-02, 76 FR 2576, Jan. 14, 2011; CBP Dec. No. 16-25, 81 FR 89381, Dec. 12, 2016] § 159.11 Entries liquidated by operation of law. (a) Time limit generally. (b) Applicability. [T.D. 79-221, 44 FR 46829, Aug. 9, 1979, as amended by T.D. 90-1, 54 FR 52933, Dec. 26, 1989; T.D. 01-24, 66 FR 16400, Mar. 26, 2001; CBP Dec. 10-29, 75 FR 52452, Aug. 26, 2010; CBP Dec. 11-02, 76 FR 2576, Jan. 14, 2011; CBP Dec. 11-17, 76 FR 50887, Aug. 17, 2011; CBP Dec. No. 16-25, 81 FR 89381, Dec. 12, 2016] § 159.12 Extension of time for liquidation. (a) Reasons Extension. (i) Information needed by CBP. (ii) Importer's request. (2) Suspension. (b) Notice of extension. www.cbp.gov. www.cbp.gov (c) Notice of suspension. www.cbp.gov. www.cbp.gov (d) Additional extensions Information needed by CBP. (2) At importer's request. www.cbp.gov, (e) Limitation on extensions. (f) Time limitation. [T.D. 79-221, 44 FR 46829, Aug. 9, 1979, as amended by T.D. 90-1, 54 FR 52933, Dec. 26, 1989; CBP Dec. 11-02, 76 FR 2576, Jan. 14, 2011; CBP Dec. 11-17, 76 FR 50887, Aug. 17, 2011; CBP Dec. No. 16-25, 81 FR 89381, Dec. 12, 2016] Subpart B—Weight, Gage, and Measure § 159.21 Quantity upon which duties based. Insofar as duties are based upon the quantity of any merchandise, such duties shall be based upon the quantity of such merchandise at the time of its importation, except in the following cases: (a) Manipulation in warehouse. (b) Alcoholic beverages. (c) Cigars, cigarettes, and cigarette papers and tubes. [T.D. 73-175, 38 FR 17482, July 2, 1973, as amended by T.D. 80-142, 45 FR 36386, May 30, 1980] § 159.22 Net weights and tares. (a) Determination of net weight. (b) Invoice net weight or tare. (c) Schedule tare. Apple boxes. 2.984 kilograms per box. This schedule tare includes the paper wrappers, if any, on the apples. China clay in so-called half-ton casks: 26.856 kilograms per cask. Figs in skeleton cases: Actual tare for outer containers plus 13 percent of the gross weight of the inside wooden boxes and figs. Fresh tomatoes: 113 grams per 100 paper wrappings. Lemons and oranges: 283 grams per box and 142 grams per half box for paper wrappings, and actual tare for outer containers. Ocher, dry, in casks: Eight percent of the gross weight. Ocher, in oil, in casks: Twelve percent of the gross weight. Pimientos in tins imported from Spain: The following schedule drained weight shall be used as the Customs dutiable weight in the liquidation of entries, the difference between the weight of the new contents of pimientos in tins and such drained weight being the allowance made in liquidation for tare for water: Size can Drained weight 3 kilo 13.6 kilograms-case of 6 tins. 794 grams 16.7 kilograms-case of 24 tins. 425 grams 8.0 kilograms-case of 24 tins. 198 grams 3.9 kilograms-case of 24 tins. 113 grams 2.4 kilograms-case of 24 tins. Tobacco, leaf not stemmed: 5.9 kilograms per bale: Sumatra: actual tare for outside coverings, plus 1.9 kilograms for the inside matting and, if a certificate is attached to the invoice certifying that the bales contain paper wrapping and specifying whether light or heavy paper has been used, either 113 grams or 227 grams for the paper wrapping according to the thickness of paper used. (d) Actual tare. (1) If the importer is not satisfied with the invoice tare or with the schedule tare; (2) If the Center director is of the opinion that the invoice or schedule tare does not correctly represent the tare of the merchandise; or (3) If the weigher has reason to believe that the invoice or schedule tare is greater than the real tare. (e) Estimated tare. (f) Weight for value purposes. [T.D. 73-175, 38 FR 17482, July 2, 1973, as amended by T.D. 89-1, 53 FR 51270, Dec. 21, 1988] Subpart C—Conversion of Foreign Currency § 159.31 Rates to be used. Except as otherwise specified in this subpart, no rate or rates of exchange shall be used to convert foreign currency for Customs purposes other than a proclaimed rate or certified rate or rates. § 159.32 Date of exportation. The date of exportation for currency conversion shall be fixed in accordance with § 152.1(c) of this chapter. § 159.33 Proclaimed rate. If a rate of exchange has been proclaimed by the Secretary of the Treasury in accordance with 31 U.S.C. 5151(b) for the currency involved, such proclaimed rate shall be used unless it varies by 5 percent or more from the certified daily rate for the date of exportation as set forth in § 159.35. In determining the percentage of variation between the proclaimed rate and the certified rate, the difference between the two rates shall be divided by the certified rate. [T.D. 73-175, 38 FR 17482, July 2, 1973, as amended by T.D. 97-82, 62 FR 51771, Oct. 3, 1997] § 159.34 Certified quarterly rate. (a) Countries for which quarterly rate is certified. Australia, Austria, Belgium, Brazil, Canada, Denmark, Finland, France, Germany, Hong Kong, India, Iran, Ireland, Italy, Japan, Malaysia, Mexico, Netherlands, New Zealand, Norway, People's Republic of China, Philippines, Portugal, Republic of South Africa, Singapore, Spain, Sri Lanka (Ceylon), Sweden, Switzerland, Thailand, United Kingdom, Venezuela. (b) When certified quarterly rate is used. (1) Proclaimed rate. (2) Certified daily rate. [T.D. 73-175, 38 FR 17482, July 2, 1973, as amended by T.D. 81-117, 46 FR 24944, May 4, 1981] § 159.35 Certified daily rate. The daily buying rate of foreign currency which is determined by the Federal Reserve Bank of New York and certified to the Secretary of the Treasury in accordance with 31 U.S.C. 5151(e) shall be used for the conversion of foreign currency whenever a proclaimed rate or certified quarterly rate is not applicable under the provisions of §§ 159.33 and 159.34. If the date of exportation is one on which banks are generally closed in New York City, then the certified daily rate for the last preceding business day shall be considered the certified daily rate for the day of exportation. [T.D. 73-175, 38 FR 17482, July 2, 1973, as amended by T.D. 97-82, 62 FR 51771, Oct. 3, 1997] § 159.36 Multiple certified rates. The following procedures shall apply when the Federal Reserve Bank of New York certifies two or more rates of exchange (e.g., official and free) for a foreign currency: (a) Rates to be published. (b) Laws of country of exportation followed. (c) Procedure when multiple certified rates not uniformly applicable. (d) Rate for merchandise different from rate for costs. § 159.37 Suspension of certification of rates. Whenever the Federal Reserve Bank of New York advises that its certification of rates for a currency is being suspended pending determination of the question whether it will certify multiple rates for that currency, the following procedures shall apply: (a) Notification of suspension. (b) Suspension of liquidation. (c) Resumption of certification. § 159.38 Rates for estimated duties. For purposes of calculating estimated duties, the Center director shall use the rate or rates appearing to be applicable under the instructions in this subpart to the merchandise involved. When it is not yet known what certified rate or rates are applicable or no rate has been certified, the Center director shall take into account all the information in his possession and shall use the highest rate or combination of rates ( i.e. Subpart D—Special Duties § 159.41 Antidumping duties. Antidumping duties will be assessed in accordance with part 351, chapter III of this title. [T.D. 80-271, 45 FR 75641, Nov. 17, 1980, as amended by CBP Dec. 12-21, 77 FR 73309, Dec. 10, 2012] § 159.42 Discriminating duties. The discriminating duties provided for in subsection 1 of paragraph J, section IV, Tariff Act of 1913, as amended by the Act of March 4, 1915 (19 U.S.C. 128, 131), and the discriminating duties and penalties provided for in section 338, Tariff Act of 1930 (19 U.S.C. 1338), shall be imposed only in pursuance of specific instructions from the Commissioner of Customs. § 159.43 Duties contingent upon foreign export duties, charges, or restrictions. U.S. Note 1 to Section X, Harmonized Tariff Schedule of the United States (19 U.S.C. 1202), provides for the imposition under certain conditions of additional duties on merchandise covered thereby. The assessment of these additional duties is dependent upon action by the President, and notice of such action, if taken, will be published in the Customs Bulletin. [T.D. 73-175, 38 FR 17482, July 2, 1973, as amended by T.D. 89-1, 53 FR 51270, Dec. 21, 1988; T.D. 97-82, 62 FR 51771, Oct. 3, 1997] § 159.44 Special duties on merchandise imported under agreements in restraint of trade. Whenever it appears that imported articles may be subject to the special duties provided for in section 802, Act of September 8, 1916 (15 U.S.C. 73), the Center director shall report the matter to the Commissioner of Customs and await instructions with respect to the imposition of such duties. § 159.45 Additional duty for unauthentic claims of antiquity. When additional duty is imposed in accordance with § 10.53 of this chapter for an unauthentic claim of antiquity, such duty shall be assessed in addition to any other duty imposed on the merchandise by law. § 159.46 Marking duties. (a) Based on dutiable value. (b) Suspension of liquidation. [T.D. 73-175, 38 FR 17482, July 2, 1973, as amended by T.D. 90-51, 55 FR 28191, July 10, 1990] § 159.47 Countervailing duties. Countervailing duties will be assessed in accordance with part 351, chapter III, of this title. [T.D. 80-271, 45 FR 75641, Nov. 17, 1980, as amended by CBP Dec. 12-21, 77 FR 73309, Dec. 10, 2012] Subpart E—Suspension of Liquidation § 159.51 General. Liquidation of entries shall be suspended only when provided by law or regulation, or when directed by the Commissioner of Customs. Liquidation of entries shall not be suspended simply because issues involved therein may be before the Customs Court in pending litigation, since the importer may seek relief by protesting the entries after liquidation. § 159.52 Warehouse entry not liquidated until final withdrawal. Liquidation of a warehouse or rewarehouse entry shall be suspended until all merchandise covered by the entry has been accounted for within the bonded period by withdrawal, abandonment, or destruction, or until the bonded period has expired if the merchandise has not been so accounted for before that time. § 159.53 Proof of duty-free or reduced-duty status. Various provisions in part 10 of this chapter provide for suspending liquidation of entries covering certain merchandise entered at a conditionally free or conditionally reduced rate of duty, pending production of required proof. Upon production of the required proof, or upon failure to produce the proof within the required time, the entries shall be liquidated accordingly. § 159.54 Open bonds for production of documents. The liquidation of entries on which bonds are open for the production of documents affecting the rate of duty shall be suspended pending the performance or nonperformance under the bond, unless production of the document is waived in accordance with § 141.92 of this chapter. § 159.55 Possible prohibited food, drugs, or other articles. (a) Suspension of liquidation. (b) Allowance for exportation or destruction. § 159.57 Merchandise affected by an American manufacturer's cause of action sustained by the court. Liquidation of entries for merchandise of the character covered by a decision of the Secretary of the Treasury published in accordance with § 175.24 of this chapter, entered or withdrawn for consumption after the date of publication of a decision of the U.S. Court of International Trade sustaining in whole or in part the cause of action of an American manufacturer, producer, or wholesaler, shall be suspended until final disposition is made of the cause of action. Upon final disposition, such entries shall be liquidated, or, if necessary, reliquidated in accordance with the final judicial decision. [T.D. 73-175, 38 FR 17482, July 2, 1973, as amended by T.D. 85-90, 50 FR 21430, May 24, 1985] § 159.58 Dumping and countervailing duties; action by Center director. (a) Antidumping matters. (b) Countervailing matters. [CBP Dec. No. 16-26, 81 FR 93023, Dec. 20, 2016, as amended by CBP Dec. No. 17-08, 82 FR 35065, July 28, 2017] Subpart F—Continued Dumping and Subsidy Offset Source: T.D. 01-68, 66 FR 48552, Sept. 21, 2001, unless otherwise noted. § 159.61 General. (a) Continued dumping and subsidy offset. (b) Affected domestic producer General rule. (i) Successor company. (ii) A member company of an association. (2) Exceptions. (i) Product no longer produced. i.e., (ii) Acquisition by related company Related company defined. ( 1 ( 2 ( 3 (B) Control of one party by another. 1 3 (c) Qualifying expenditures. (1) Manufacturing facilities; (2) Equipment; (3) Research and development; (4) Personnel training; (5) Acquisition of technology; (6) Health care benefits for employees paid for by the employer; (7) Pension benefits for employees paid for by the employer; (8) Environmental equipment, training, or technology; (9) Acquisition of raw materials and other inputs; and (10) Working capital or other funds needed to maintain production. § 159.62 Notice of distribution. (a) Publication of notice. Federal Register (b) Content of notice. (1) The case name and number of the particular order or finding concerned, together with the dollar amount contained in the special account for that order or finding as of June 1 of the subject fiscal year (see § 159.64(a)(1)); and (2) The instructions for filing the certification under § 159.63 in order to claim a distribution. § 159.63 Certifications. (a) Requirement and purpose for certification. Federal Register, (b) Content of certification. Federal Register Federal Register (1) Identifying information for domestic producer. (i) The name of the domestic producer and any name qualifier, if applicable (for example, any other name under which the domestic producer does business or is also known); (ii) The address of the domestic producer (if a post office box, the secondary street address must also be included); (iii) The Internal Revenue Service (IRS) number (with suffix) of the domestic producer, employer identification number, or social security number, as applicable; (iv) The specific business organization of the domestic producer (corporation, partnership, sole proprietorship); and (v) The name(s) of any individual(s) designated by the domestic producer as the contact person(s) concerning the certification, together with the phone number(s) and/or facsimile transmission number(s) and electronic mail (email) address(es) for the person(s). (2) Amount of claim. (i) The total amount of qualifying expenditures currently and previously certified by the domestic producer, and the amount certified by category (see § 159.61(c)(1) through (c)(10)); (ii) The total amount of those expenditures which have been the subject of any prior distribution under section 754, Tariff Act of 1930, as amended (19 U.S.C. 1675c); and (iii) The net amount for new and remaining qualifying expenditures being claimed in the current certification (the total amount currently and previously certified as noted in paragraph (b)(2)(i) of this section minus the total amount the subject of any prior distribution as noted in paragraph (b)(2)(ii) of this section). (3) Statement of eligibility to receive distribution. (i) Amount certified for payment. (ii) Same qualifying expenditures included on more than one certification. (iii) Continued production of product covered by order or finding; acquisition by related company. 1 3 (c) Review and correction of certification. Federal Register (d) Verification of certification; supporting records. (e) Disclosure of information in certifications; acceptance by producer. [T.D. 01-68, 66 FR 48552, Sept. 21, 2001, as amended by CBP Dec. 12-21, 77 FR 73309, Dec. 10, 2012] § 159.64 Distribution of offset. (a) The creation of Special Accounts and Clearing Accounts Special Accounts. (2) Clearing Accounts. (b) Distribution of assessed duties received from the Special Accounts; refunds resulting from reliquidation or court action; and overpayments to affected domestic producers Distribution of assessed duties received from the Special Accounts. (ii) Transfers from the Clearing Accounts to the Special Accounts will be made by Customs throughout the fiscal year. Transfers will occur between a Clearing Account and a Special Fund Account when an entry upon which antidumping or countervailing duties are owed is properly liquidated pursuant to an order, finding or receipt of liquidation instructions; (iii) The amount transferred at liquidation to the Special Account will be dependent upon the amount actually collected on the entry and in the Clearing Account. Following liquidation, additional transfers will be made on the liquidated entry to the corresponding Special Account, as additional antidumping or countervailing duties are collected. (2) Refunds resulting from reliquidation or court action. (3) Overpayments to affected domestic producers. (c) Payment of certified claims. (2) If the certified net claims exceed the dumping and subsidy offset amount available in the corresponding Special Account, such offset will be made on a pro rata basis based on each affected domestic producer's total certified claim. (3) In any case where the distribution is not for the entire certified qualifying expenditure submitted by an affected domestic producer, and if the affected domestic producer believes that the reduction was the result of clerical error or mistake by Customs, it must file a request for reconsideration within 30 calendar days to the address given in the notification. After considering the matter, the Customs Service will notify the party requesting reconsideration of its decision. However, any adjustments will be made only from funds remaining in the account for that case in the current or future fiscal years, and will be paid prior to any future distributions. (d) Final distribution and termination of the Special Account. (i) The order or finding with respect to which the account was established has terminated; and (ii) All entries relating to the order or finding are liquidated, all outstanding amounts collected or properly accounted for by Customs, all related protests, petitions, and court actions fully concluded, and all refunds due to importers on the underlying entries are paid in full. (2) Once the requirements set out in paragraph (d)(1) of this section have been met, notice of a final distribution will be issued pursuant to § 159.62. (3) Amounts not timely claimed under the notice of final distribution will be permanently deposited into the General Fund of the Treasury. (e) Interest on Special Accounts and Clearing Accounts. (f) Distribution final and conclusive. (g) Annual report; disclosure of information. (1) Company-specific information. (i) The name of the claimant; (ii) The total dollar amount claimed by that party on its certification; and (iii) The total dollar amount disbursed to that company by Customs. (2) General information. (i) The number of entries and dollar amounts in the clearing account at the beginning of each fiscal year; (ii) The number and amount of Customs re-liquidations during the fiscal year; and (iii) The dollar amounts remaining uncollected from Customs bills issued during the fiscal year.