HQ 111587: User Fees; Commercial Truck; 19 U.S.C. 58c

Native CBP ruling rendition. Applicability is fact-specific; modification/revocation relationships and original publisher date are retained. Publisher sentinel year0001 means unknown date, not a historical legal adoption.

                            HQ 111587

                         April 15, 1992

BOR-2-03-CO:R:IT:C 111587 GEV

CATEGORY:  Carriers

Claude Carriere
Counselor
Trade Policy
Canadian Embassy
501 Pennsylvania Ave., N.W.
Washington, D.C. 20001

RE:  User Fees; Commercial Truck; 19 U.S.C. 58c

Dear Mr. Carriere:

     This is in response to your letter dated March 14, 1991,
regarding the $5.00 processing fee assessed commercial trucks
upon their arrival at a port of entry into the Customs territory
of the United States.  Specifically, your concern centers on the
assessment of the aforementioned fee on certain privately owned
vehicles entering the United States for the purpose of posting
mail in the United States.  Our ruling is set forth below.

FACTS:

     Automobiles owned by a Canadian company are entering the
United States for the purpose of mailing merchandise in the
United States.  As a result, these vehicles are being assessed a
$5.00 processing fee pursuant to section 24.22(c), Customs
Regulations (19 CFR 24.22(c)).  The Canadian owner of these
vehicles contends that the assessment of this fee is beyond the
scope of the statute under which this regulation was promulgated.

ISSUE:

     Whether automobiles owned by a Canadian company which enter
the United States for the purpose of mailing commercial
merchandise in the United States are subject to the $5.00
processing fee pursuant to 19 CFR 24.22(c).

LAW AND ANALYSIS:

     Section 13031 of the Consolidated Omnibus Reconciliation Act
of 1985 (Public Law 99-272, 100 Stat. 82, codified at 19 U.S.C.
58c) sets forth various fees to offset the costs of processing
                              - 2 -

arrivals into the Customs territory of the United States of
certain vehicles, vessels and aircraft.  Included in these fees
is a $5.00 fee for the cost of processing the arrival of a
commercial truck.

     Pursuant to the statutory authority cited above, the
Secretary of the Treasury may prescribe such rules and
regulations as may be necessary to carry out the provisions set
forth therein (see section 13031(g) of Public Law 99-272, 100
Stat. 310, and 19 U.S.C. 58c(g)).  These regulations are found in
section 24.22, Customs Regulations (19 CFR 24.22).  In providing
for the assessment of the $5.00 processing fee for the arrival of
a commercial truck (see 19 CFR 24.22(c)(2)), Customs has defined
the term commercial truck as "...a self-propelled vehicle
designed and used for the transportation of commercial
merchandise, or the transportation of non-commercial merchandise
on a for-hire basis.  Empty trucks and truck cabs without
trailers fitting this description are also included."

     In administering the above regulations the Customs Service
has interpreted the term "commercial truck" to include any
vehicle carrying commercial merchandise including but not limited
to:  (1) tractor-trailer units; (2) pick-up trucks; (3) leased or
rented trucks; (4) dump trucks or similar single unit vehicles;
(5) vans; and (6) automobiles, taxis, and buses.  It should be
noted that although Customs exempts from the payment of this fee
company vehicles arriving for the purpose of picking up company
mail or other documents, the privately owned Canadian automobiles
under consideration are distinguishable from such vehicles in
that they are arriving for the purpose of mailing commercial
merchandise in the United States.  In view of this distinction,
the assessment of the $5.00 processing fee is in full accord
with the statutory authority cited above.

HOLDING:

     Automobiles owned by a Canadian company which enter the
United States for the purpose of mailing commercial merchandise
in the United States are subject to the $5.00 processing fee
pursuant to 19 CFR 24.22(c).

                              Sincerely,




                              B. James Fritz
                              Chief
                              Carrier Rulings Branch