§7653 Shipments From the United States

Summary

When goods made in the United States are brought into Puerto Rico, they must be entered at the port and a tax must be paid that matches the Puerto Rico internal revenue tax on similar local goods. The Virgin Islands requires the same matching tax on U.S. imports. Goods sent from the United States to Puerto Rico, the Virgin Islands, Guam, or American Samoa are exempt from any tax under the United States’ internal revenue laws. If an internal revenue tax was paid on goods shipped to those territories, the same refund (drawback) rules that apply to U.S. exports also apply. Rules about how to handle tax money from goods made in Guam and sent to the United States or its possessions, or used in Guam, are in the Act of August 1, 1950 (48 U.S.C. 1421h).