1. What is an advance ruling in the U.S.?
A written statement issued by U.S. customs authorities that interprets and applies customs laws and regulations to a specific set of facts about a prospective transaction.
November 2011
U.S.A.

2. Effect of a Ruling Letter
Binding on U.S. customs authorities
Applicable until revoked or modified
Applies to transactions involving the same merchandise and like facts
Principles set forth in a ruling letter may be cited as authority in the disposition of transactions involving similar circumstances
Rulings are issued on the assumption the information contained in the request is correct, and this information may be verified by U.S. customs authorities personnel in the field
Our rulings have precedential value.
It is also important to note that advance rulings are usually issued on the assumption that the information provided to the issuing (customs) authority is accurate and complete. An advance ruling is void if the information in the application is false. The issuing authorities should also have the ability to verify the facts of an actual transaction upon importation to ensure they are the same as those described in the ruling letter. In the U.S., this is done by the ports based on random and computer-aided entry selection.
November 2011
U.S.A.

3. Who may request a ruling?
Rulings may be requested by the:
importer;
exporter;
party that has a “direct and demonstrable interest” in the question;
or the authorized agent (e.g. broker) of these parties.
direct and demonstrable interest – e.g., domestic producers of an imported product might want to know the country of origin or classification of the imported product.
November 2011
U.S.A.

4. What issues may advance rulings cover?
Some examples of issues advance rulings may cover include:
Tariff Classification;
Valuation;
Carriers;
Drawback;
Entry Procedures;
Country of Origin Marking; or
Restricted Merchandise.
Some Examples – not an exhaustive list.
Classification – which tariff heading applies
Valuation – how to calculate the value (e.g. which charges/fees should be included/excluded, which sale is used as the transaction price)
Carriers – whether it is coastwise transportation, vessel supplies
Drawback – commercial interchangeability (1313(j)(2)), wh/ a manufacture or a use, successorship for manufacturing drawback, 1313(b)
Entry Procedures – customs business (requires brokers), how to entry goods duty free (e.g. TIB, bonded warehouse, or FTZ)
Marking – (e.g. determination of which is the proper country of origin, whether the marking satisfies regulatory requirements)
Restricted Merchandise – whether the product is permitted to be imported into the United States (e.g. switchblade knives, is a hookah drug paraphernalia).
November 2011
U.S.A.

5. Publication of Rulings
Rulings are published on the U.S. customs authorities web site at www. cbp.gov.
The Customs Rulings and Online Search System (CROSS) contains rulings issued since 1989 until the present.
CROSS is free to search and print from (may print off CROSS, or download a Microsoft Word version of the ruling)
A requestor may ask that proprietary business information not be published consistent with U.S. laws on confidentiality.
November 2011
U.S.A.

6. Modification & Revocation of a Ruling
If the rulings are found to be in error or no longer in accordance with the official position, U.S. customs authorities will:
Publish the proposal for modification/revocation in the Customs Bulletin for public comment (30 days).
Analyze the comments received.
Then either:
publish a final decision (effective 60 calendar days after publication;
withdraw the proposal; or
issue a modified proposal.
The effective date of a modification or revocation is delayed for 60 days to give the trade time to adapt to the new ruling. However, an importer whose ruling has been modified or revoked may request application of the new ruling on or after the date of publication of the new ruling in final form in the Customs Bulletin
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