§81o — Title 19 Customs Duties | U.S. Code

Summary

Only federal, state, or local officers or agents the Board approves may live in the zone. The Board makes rules about who can enter and leave (rules to protect revenue must be approved by the Secretary of the Treasury). The Board can block goods or processes that hurt the public, and retail sales are allowed only with grantee-and-Board permits for goods brought from U.S. customs territory that are domestic, duty-paid, or duty-free. Physical goods imported from outside the U.S. and kept in the zone for storage or processing (for example sale, display, repackaging, assembly, distribution, sorting, cleaning, mixing, or manufacturing), and U.S.-made goods held there for export, are exempt from state and local taxes based on value.

Title 19, §81o

Customs Duties — Source: USLM XML via OLRC

(a)No person shall be allowed to reside within the zone except Federal, State, or municipal officers or agents whose resident presence is deemed necessary by the Board.

(b)The Board shall prescribe rules and regulations regarding employees and other persons entering and leaving the zone. All rules and regulations concerning the protection of the revenue shall be approved by the Secretary of the Treasury.

(c)The Board may at any time order the exclusion from the zone of any goods or process of treatment that in its judgment is detrimental to the public interest, health, or safety.

(d)No retail trade shall be conducted within the zone except under permits issued by the grantee and approved by the Board. Such permittees shall sell no goods except such domestic or duty-paid or duty-free goods as are brought into the zone from customs territory.

(e)Tangible personal property imported from outside the United States and held in a zone for the purpose of storage, sale, exhibition, repackaging, assembly, distribution, sorting, grading, cleaning, mixing, display, manufacturing, or processing, and tangible personal property produced in the United States and held in a zone for exportation, either in its original form or as altered by any of the above processes, shall be exempt from State and local ad valorem taxation.

Notes & Related Subsidiaries

Editorial Notes

Amendments

1984—Subsec. (e). Pub. L. 98–573 added subsec. (e).

Statutory Notes and Related Subsidiaries

Effective Date

of 1984 Amendment Pub. L. 98–573, title II, § 231(b)(2), Oct. 30, 1984, 98 Stat. 2991, provided that: “The amendment made by paragraph (1) [amending this section] shall take effect on January 1, 1983.”

§81o Residents of zone