CBLE Tariff Classification and Valuation 2

Question 1

Under the General Rules of Interpretation (GRI), which rule applies when goods are prima facie classifiable under two or more headings?

Accepted Answer

GRI 3

Answer

GRI 3 applies when goods are classifiable under two or more headings, providing three methods to resolve the conflict: specific description, essential character, or last heading in numerical order.

Question 2

Which transaction value addition is NOT required to be added to the price actually paid or payable under 19 USC 1401a?

Accepted Answer

Buyer's foreign agent commissions

Answer

Buying commissions paid by the buyer to their agent for representing them in the purchase are not additions to transaction value; only selling commissions are dutiable.

Question 3

A product is imported as an unassembled machine with all parts present. Under GRI 2(a), it is classified as:

Accepted Answer

The complete machine heading

Answer

GRI 2(a) provides that incomplete or unfinished articles are classified as the complete/finished article if they present the essential character of the complete article.

Question 4

The HTSUS chapter notes and section notes have what legal standing?

Accepted Answer

They are legally binding and control classification

Answer

Chapter notes and section notes in the HTSUS are legally binding and form part of the classification scheme under GRI 1.

Question 5

When applying the 'deductive value' method under 19 USC 1401a(d), the starting point is:

Accepted Answer

The price at which identical goods are sold in the US after importation

Answer

Deductive value starts with the unit price at which the imported merchandise is sold in the US in the greatest aggregate quantity, then subtracts certain statutory deductions.

(CBLE) Customs Broker License Exam Practice Test

(CBLE) Customs Broker License Exam Practice Test

CBLE Tariff Classification and Valuation 2