19 Usc 1556

§ 1556

TITLE 19—CUSTOMS DUTIES
REFERENCES IN TEXT

For provisions relating to ports of entry established
under section 1 of the Act of August 24, 1912 (37 Stat.
434), referred to in subsec. (b)(2)(A), (C), see Prior Provisions note under section 1 of this title.
The date of enactment of the Omnibus Trade Act of
1987, referred to in subsec. (b)(3)(F)(ii)(II), probably
means the date of enactment of the Omnibus Trade and
Competitiveness Act of 1988, Pub. L. 100–418, which was
approved Aug. 23, 1988.
The Harmonized Tariff Schedule of the United States,
referred to in subsec. (b)(6), is not set out in the Code.
See Publication of Harmonized Tariff Schedule note set
out under section 1202 of this title.

Page 226

1984—Pub. L. 98–573 designated existing provisions as
subsec. (a), substituted ‘‘Subject to subsection (b) of
this section, buildings’’ for ‘‘Buildings’’, and added subsec. (b).
1970—Pub. L. 91–271 substituted reference to appropriate customs officer for reference to collector.
EFFECTIVE DATE OF 2000 AMENDMENT
Amendment by Pub. L. 106–476, except as otherwise
provided, applicable with respect to goods entered, or
withdrawn from warehouse, for consumption, on or
after the 15th day after Nov. 9, 2000, see section 1471 of
Pub. L. 106–476, set out as a note under section 58c of
this title.

PRIOR PROVISIONS

EFFECTIVE DATE OF 1988 AMENDMENT

Provisions similar to those in this section were contained in act Sept. 21, 1922, ch. 356, title IV, § 555, 42
Stat. 976. That section was superseded by section 555 of
act June 17, 1930, comprising this section, and repealed
by section 651(a)(1) of the 1930 act.
Prior provisions dealing with the subject matter of
this section were contained in R.S. § 2958, authorizing
cellars and vaults of stores for storage of wines and distilled spirits, and yards for storage of coal, etc., to be
constituted bonded warehouses; section 2959, authorizing parts of buildings to be bonded for the storage of
grain; section 2960, requiring private warehouses to be
used solely for the storage of warehoused merchandise,
and be approved by the Secretary of the Treasury, and
be in charge of a proper officer of the customs, etc.; section 2961 requiring bonds to hold the United States
harmless, and providing that imports deposited in
warehouses should be at the risk and expense of the
owner or importer; section 2968, authorizing the extension of warehouse privileges to the port of Albany; and
section 2988, as amended by act Feb. 27, 1877, ch. 69, § 1,
19 Stat. 247, requiring collectors to make reports of
merchandise in warehouses. All of these sections were
repealed by act Sept. 21, 1922, ch. 356, title IV, § 642, 42
Stat. 989.

Section 1908(c) of Pub. L. 100–418 provided that: ‘‘The
amendment made by this section [amending this section] shall take effect on the date that is 15 days after
the date of enactment of this Act [Aug. 23, 1988].’’

AMENDMENTS
2000—Subsec. (c). Pub. L. 106–476 added subsec. (c).
1999—Subsec. (b)(2)(B), (C). Pub. L. 106–36 substituted
‘‘; or’’ for period at end of subpar. (B) and added subpar.
(C).
1996—Subsec. (b)(6). Pub. L. 104–295 designated existing provisions as subpar. (A), substituted ‘‘Except as
provided in subparagraph (B), merchandise’’ for ‘‘Merchandise’’, and added subpar. (B).
1990—Subsec. (b)(6). Pub. L. 101–382, which directed
substitution of ‘‘subchapter IV of chapter 98 of the Harmonized Tariff Schedule of the United States’’ for ‘‘subpart A of part 2 of schedule 8 of the Tariff schedules of
the United States’’, was executed by making the substitution for ‘‘subpart A of part 2 of schedule 8 of the Tariff Schedules of the United States’’ to reflect the probable intent of Congress.
1988—Subsec. (b). Pub. L. 100–418 amended subsec. (b)
generally. Prior to amendment, subsec. (b) read as follows: ‘‘If a State or local governmental authority, incident to its jurisdiction over any airport, seaport, or
other exit point facility, requires that a concession or
other form of approval be obtained from that authority
with respect to the operation of a duty-free sales enterprise under which merchandise is delivered to such facility for exportation, merchandise incident to such operation may not be withdrawn from a bonded warehouse and transferred to such facility unless the operator of the duty-free sales enterprise demonstrates to
the Secretary of the Treasury that the concession or
approval required for the enterprise has been obtained.
For purposes of this subsection, the term ‘duty-free
sales enterprise’ means an entity that sells, in less
than wholesale quantities, duty-free or tax-free merchandise that is delivered from a bonded warehouse to
an airport, seaport, or point of exit from the United
States for exportation by, or on behalf of, individuals
departing from the United States.’’

EFFECTIVE DATE OF 1984 AMENDMENT
Amendment by Pub. L. 98–573 effective on 15th day
after Oct. 30, 1984, see section 214(a), (b) of Pub. L.
98–573, set out as a note under section 1304 of this title.
EFFECTIVE DATE OF 1970 AMENDMENT
For effective date of amendment by Pub. L. 91–271,
see section 203 of Pub. L. 91–271, set out as a note under
section 1500 of this title.
DUTY-FREE SALES ENTERPRISES; FINDINGS
Section 1908(a) of Pub. L. 100–418 provided that: ‘‘The
Congress finds that—
‘‘(1) duty-free sales enterprises play a significant
role in attracting international passengers to the
United States and thereby their operations favorably
affect our balance of payments;
‘‘(2) concession fees derived from the operations of
authorized duty-free sales enterprises constitute an
important source of revenue for the State, local and
other governmental authorities that collect such
fees;
‘‘(3) there is inadequate statutory and regulatory
recognition of, and guidelines for the operation of,
duty-free sales enterprises; and
‘‘(4) there is a need to encourage uniformity and
consistency of regulation of duty-free sales enterprises.’’

§ 1556. Bonded warehouses; regulations for establishing
The Secretary of the Treasury shall from time
to time establish such rules and regulations as
may be necessary for the establishment of bonded warehouses and to protect the interests of the
Government in the conduct, management, and
operation of such warehouses and in the withdrawal of and accounting for merchandise deposited therein.
(June 17, 1930, ch. 497, title IV, § 556, 46 Stat. 743.)
PRIOR PROVISIONS
Provisions similar to those in this section were contained in act Sept. 21, 1922, ch. 356, title IV, § 556, 42
Stat. 976. That section was superseded by section 556 of
act June 17, 1930, comprising this section, and repealed
by section 651(a)(1) of the 1930 act.
Prior provisions on the subject matter of this section
were contained in R.S. § 2989, as amended by act Feb. 27,
1877, ch. 69, § 1, 19 Stat. 247, authorizing the Secretary
of the Treasury to establish rules and regulations for
the execution of the provisions of that chapter (chapter
7 of Title 34 of the Revised Statutes, The Bond and
Warehouse System); and in act June 22, 1874, ch. 391,
§ 24, 18 Stat. 191, authorizing the Secretary to make

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TITLE 19—CUSTOMS DUTIES

regulations for the conduct and management of bonded
warehouses, general order stores and other depositories, and to revise, alter or revoke regulations or orders, issued by collectors, prohibiting the bonding of
warehouses or the establishment of general order stores
without his authority and approval, and making it his
duty to require warehouses to be located contiguous, or
as near as might be, to landing places of vessels. These
sections were repealed by act Sept. 21, 1922, ch. 356,
title IV, §§ 642, 643, 42 Stat. 989.

§ 1557. Entry for warehouse
(a) Withdrawal of merchandise; time; payment of
charges
(1) Any merchandise subject to duty (including
international travel merchandise), with the exception of perishable articles and explosive substances other than firecrackers, may be entered
for warehousing and be deposited in a bonded
warehouse at the expense and risk of the owner 1
purchaser, importer, or consignee. Such merchandise may be withdrawn, at any time within
5 years from the date of importation, or such
longer period of time as the Bureau of Customs
and Border Protection may at its discretion permit upon proper request being filed and good
cause shown, for consumption upon payment of
the duties and charges accruing thereon at the
rate of duty imposed by law upon such merchandise at the date of withdrawal; or may be withdrawn for exportation or for transportation and
exportation to a foreign country, or for shipment or for transportation and shipment to the
Virgin Islands, American Samoa, Wake Island,
Midway Islands, Kingman Reef, Johnston Island,
or the island of Guam, without the payment of
duties thereon, or for transportation and rewarehousing at another port or elsewhere, or for
transfer to another bonded warehouse at the
same port; except that—
(A) the total period of time for which such
merchandise may remain in bonded warehouse
shall not exceed 5 years from the date of importation or such longer period of time as the
Bureau of Customs and Border Protection may
at its discretion permit upon proper request
being filed and good cause shown; and
(B) turbine fuel may be withdrawn for use
under section 1309 of this title without the
payment of duty if an amount equal to the
quantity of fuel withdrawn is shown to be used
within 30 days after the day of withdrawal, but
duties (together with interest payable from
the date of the withdrawal at the rate of interest established under section 6621 of title 26)
shall be deposited by the 40th day after the
day of withdrawal on fuel that was withdrawn
in excess of the quantity shown to have been
so used during such 30-day period.
(2) Merchandise upon which the duties have
been paid and which shall have remained continuously in bonded warehouse or otherwise in
the custody and under the control of customs officers, may be entered or withdrawn at any time
within 5 years after the date of importation, or
such longer period of time as the Bureau of Customs and Border Protection may at its discretion permit upon proper request being filed and
good cause shown, for exportation or for trans1 So

in original. Probably should be followed by a comma.

§ 1557

portation and exportation to a foreign country,
or for shipment or for transportation and shipment to the Virgin Islands, American Samoa,
Wake Island, Midway Islands, Kingman Reef,
Johnston Island, or the island of Guam, under
such regulations as the Secretary of the Treasury shall prescribe, and upon such entry or withdrawal, and exportation or shipment, the duties
thereon shall be refunded.
(b) Transferal of right of withdrawal
The right to withdraw any merchandise entered in accordance with subsection (a) of this
section for the purposes specified in such subsection may be transferred upon compliance
with regulations prescribed by the Secretary of
the Treasury and upon the filing by the transferee of a bond in such amount and containing
such conditions as the Secretary of the Treasury
shall prescribe. The bond shall include an obligation to pay, with respect to the merchandise
the subject of the transfer, all unpaid regular,
increased, and additional duties, all unpaid
taxes imposed upon or by reason of importation,
and all unpaid charges and exactions. Such
transfers shall be irrevocable, shall relieve the
transferor from all customs liability with respect to obligations assumed by the transferee
under the bond herein provided for, and shall
confer upon the transferee all rights to the
privileges provided for in this section and in sections 1562 and 1563 of this title which were vested in the transferor prior to the transfer. The
transferee shall also have the right to receive all
lawful refunds of money paid by him to the
United States with respect to the merchandise
the subject of the transfer, and shall have the
right to file a protest under section 1514 of this
title to the same extent that such right would
have been available to the transferor. Notice of
liquidation shall be given to the transferee in
the form and manner prescribed by the Secretary of the Treasury. A transferee may further
transfer the right to withdraw merchandise, subject to the provisions of this subsection relating
to original transfers.
(c) Destruction of merchandise at request of consignee
Merchandise entered under bond, under any
provision of law, may, upon payment of all
charges other than duty on the merchandise, be
destroyed, at the request and at the expense of
the consignee, within the bonded period under
customs supervision, in lieu of exportation, and
upon such destruction the entry of such merchandise shall be liquidated without payment of
duty and any duties collected shall be refunded.
(d) Withdrawal before payment
Merchandise may be withdrawn for consumption without the payment of the duty thereon if
the importer of record or transferee is permitted
to pay duty at a later time pursuant to regulations prescribed by the Secretary under section
1505 of this title.
(June 17, 1930, ch. 497, title IV, § 557, 46 Stat. 744;
June 25, 1938, ch. 679, §§ 2, 22(a), 23(a), 52 Stat.
1077, 1087, 1088; Aug. 8, 1953, ch. 397, § 21(a), 67
Stat. 519; June 30, 1955, ch. 258, § 2(a) (4), 69 Stat.
242; Pub. L. 91–271, title III, § 301(t), June 2, 1970,
84 Stat. 290; Pub. L. 91–685, § 1, Jan. 12, 1971, 84