19 U.S.C. § 81o: Residents of zone

Summary

Only federal, state, or local officers or agents the Board says need to live in the zone may live there. The Board makes the rules about who can enter and leave. Any rules about protecting customs revenue must be approved by the Treasury Secretary. The Board can remove goods or treatment processes it finds harmful to the public. Retail sales are allowed only with permits from the grantee that the Board approves, and sellers may only sell goods brought into the zone from customs territory. Goods brought in from outside the United States that are kept in the zone for activities such as storage, sale, assembly, manufacturing, or other handling and processing, and U.S.-made goods held there for export (changed or not), are exempt from state and local value-based property taxes.

Title 19, §81o

Customs Duties, Source: USLM XML via OLRC

(a)Persons allowed to reside in zone

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)Rules and regulations for employees entering and leaving zone

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)Exclusion from zone of goods or process of treatment

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)Retail trade within zone

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)Exemption from State and local ad valorem taxation of tangible personal property

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