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Old May 3, 2016, 10:00 am
  #1  
jy3
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Transiting through the US with Commercial Goods/Samples

US customs and immigrations are very strict these days..
And I don't have an US passport but I occasionally deliver samples of automotive parts or electronic parts from Asia to countries in North America like Mexico or Costa Rica..which means I must transit in US airports.

US customs told me to bring 'carnet' next time I'm doing this, and they also told me that even if I'm only transiting in the US, I have to pay taxes for the packages that I'm bringing to other countries through US...

I don't really get this..but do we need to pay tax in the US? Even though I'm not leaving anything behind in the country?
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Old May 3, 2016, 10:19 am
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Originally Posted by jy3
US customs and immigrations are very strict these days..
And I don't have an US passport but I occasionally deliver samples of automotive parts or electronic parts from Asia to countries in North America like Mexico or Costa Rica..which means I must transit in US airports.

US customs told me to bring 'carnet' next time I'm doing this, and they also told me that even if I'm only transiting in the US, I have to pay taxes for the packages that I'm bringing to other countries through US...

I don't really get this..but do we need to pay tax in the US? Even though I'm not leaving anything behind in the country?
The US has no concept of transiting. Every passenger has to enter the country, with all that implies for customs and immigration.
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Old May 3, 2016, 10:28 am
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Please continue to follow this thread in a TS/S Forum.
Thanks..
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Old May 3, 2016, 10:31 am
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Originally Posted by obscure2k
Please continue to follow this thread in a TS/S Forum.
Thanks..
Obscure2k
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I'm sorry about that! I'm pretty new to flyer talk..
How do I move this thread to TS/S Forum?

OH! I guess it was automatically moved by you..thank you!!
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Old May 3, 2016, 10:34 am
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Originally Posted by jy3
I'm sorry about that! I'm pretty new to flyer talk..
How do I move this thread to TS/S Forum?

OH! I guess it was automatically moved by you..thank you!!
The moderator has done that for you. That's what that post was advising you.
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Old May 3, 2016, 10:36 am
  #6  
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Originally Posted by wrp96
The moderator has done that for you. That's what that post was advising you.
Yes, I guess I'm very new to flyer talk..haha
Still learning about this community!
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Old May 3, 2016, 11:10 am
  #7  
jy3
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Originally Posted by ajGoes
The US has no concept of transiting. Every passenger has to enter the country, with all that implies for customs and immigration.
I understand that there is no such a thing as transiting in the US, since everyone has to go through customs and immigration..but paying tax for something that is not going to be staying in that country and just transiting? Well..I hope US comes with a better solution for that..
To me, that is just ridiculous..no offense though..
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Old May 3, 2016, 11:20 am
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Originally Posted by jy3
I understand that there is no such a thing as transiting in the US, since everyone has to go through customs and immigration..but paying tax for something that is not going to be staying in that country and just transiting? Well..I hope US comes with a better solution for that..
To me, that is just ridiculous..no offense though..
There's a program for cargo that gets handled like this (i.e. enters the US, only to be re-exported, for example a container that arrives in Miami, only to be shipped off to Costa Rica), it's called In-Bond Transport.

I don't know if there's an equivalent for commercial goods carried by an individual - I'd contact CBP to find out. (877) 227-5511
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Old May 3, 2016, 11:25 am
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Take a look at:
Especially, the section titled Merchandise in Transit Through the United States to Foreign Countries (§ 18.20 - § 18.24)
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Old May 3, 2016, 11:58 am
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It sounds like a carnet is exactly what the OP should be getting:

http://www.cbp.gov/sites/default/fil...a_carnet_3.doc
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Old May 3, 2016, 12:45 pm
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The OP was told by CPB to use a carnet, easy to use. Process the paper when you depart, present the paper when you enter. In essence a letter of transit for cargo.
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Old May 3, 2016, 1:43 pm
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Another vote that this sounds like what a carnet is for.
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Old May 3, 2016, 3:09 pm
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Originally Posted by cestmoi123
It sounds like a carnet is exactly what the OP should be getting:

http://www.cbp.gov/sites/default/fil...a_carnet_3.doc
Exactly.

From the document that you linked:
What is an ATA carnet?

The ATA Carnet is an international Customs document that a traveler may use temporarily to import certain goods into a country without having to engage in the Customs formalities usually required for the importation of goods, and without having to pay duty or value-added taxes on the goods.

The United States allows for the temporary importation of commercial samples, professional equipment and certain advertising materials by a nonresident individual.

Carnets are a security that participating countries accept as a guarantee against the payment of Customs duties that may become due on goods temporarily imported under a carnet and not exported as required. “ATA” stands for the combined French and English words “Admission Temporaire-Temporary Admission.”
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Old May 4, 2016, 7:32 pm
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Originally Posted by cestmoi123
I don't know if there's an equivalent [to T&E or IE] for commercial goods carried by an individual - I'd contact CBP to find out. (877) 227-5511
There is, kinda... for things that will go "home" you can use a carnet. For things merely in transit, there's nothing stopping you from filing an IE or T&E for hand-carried goods.

Originally Posted by Loren Pechtel
Another vote that this sounds like what a carnet is for.
Sorta. A carnet is intended for high-dollar equipment that spends some time in various countries but eventually goes "home" to its country of origin. Think of a TV news crew's equipment or a round-the-world motorcyclist's bike, for example. If jy3's simply bringing stuff from Asia via the US and then leaving it in Latin America, the carnet wouldn't be the best option because he'd never get the deposit back (or he'd lose the bond, depending on the issuer)--the whole point of a carnet is that it guarantees that the goods will go back to the country of origin.

If jy3 were shipping his samples or parts from Asia to Latin America via the United States, the shipment would go through CBP as an IE (immediate export from the US port of entry) or a T&E (transit and export, i.e. into one US port and out another).

jy3, if your samples or parts are worth more than the de minimis value that can enter the US free of duty (US$800 now), you should look into filing the IE or T&E beforehand. You will probably need a customs broker to do that, so it might be cheaper to either a) limit your stuff to $800, b) mail or ship it or c) don't transit the US.

That said, if you're not staying over in the US, the overwhelming majority of CBP officers will see your bag tagged to a final destination outside the US and send you and your goods right out the door. A T&E or IE is a good measure for the few that decide to enforce the fact that nothing is actually forcing your baggage to leave the US--once you pass through CBP you're free to walk out the door and hand your stuff to a friend. CBP can walk you to the transfer desk and make sure your bag gets re-checked to leave the US (I used to do it occasionally), but it's technically not their job.

If you are staying in the US (i.e. leaving the airport), then ship your stuff. For CBP purposes your goods are entering US commerce and you'll have to pay up.

98% of CBP staff will trust you that your stuff is leaving, but the 2% that don't can make your life difficult. Unfortunately the 2% are within their rights not to trust you, as ridiculous as it seems to you, me, and the 98% of CBP staff that has better things to do with their time than bother folks transiting with samples and/or spare parts.

Last edited by der_saeufer; May 4, 2016 at 8:02 pm
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Old May 4, 2016, 8:01 pm
  #15  
jy3
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Originally Posted by der_saeufer
That said, if you're not staying over in the US, the overwhelming majority of CBP officers will see your bag tagged to a final destination outside the US and send you and your goods right out the door. A T&E or IE is a good measure for the few that decide to enforce the fact that nothing is actually forcing your baggage to leave the US--once you pass through CBP you're free to walk out the door and hand your stuff to a friend. CBP can walk you to the transfer desk and make sure your bag gets re-checked to leave the US (I used to do it occasionally), but it's technically not their job.
So doesn't that mean I won't be needing a carnet for a majority of time when transiting in the US and taking samples straight to Latin America?
+ One quick question, does it matter if the shipment is samples or commercial/merchandise goods? Maybe it is okay for samples to transit in the US without a carnet but commercial/merchandise goods must have one?

I honestly don't see why they bother to care even though these shipments are just transiting in the US due to flight schedule and routing...

Thanks for your detailed and helpful explanation!

Last edited by TWA884; May 4, 2016 at 9:05 pm Reason: Fix BB Code
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