                        TITLE 19--CUSTOMS DUTIES
 
                      CHAPTER 4--TARIFF ACT OF 1930
 
                     SUBTITLE II--SPECIAL PROVISIONS
 
                          Part I--Miscellaneous
 
Sec. 1321. Administrative exemptions


(a) Disregard of minor discrepancies in collection of taxes and duties; 
        admission of articles free of duty or tax; limit on amount of 
        exemption

    The Secretary of the Treasury, in order to avoid expense and 
inconvenience to the Government disproportionate to the amount of 
revenue that would otherwise be collected, is authorized, under such 
regulations as he shall prescribe, to--
        (1) disregard a difference of an amount specified by the 
    Secretary by regulation, but not less than $20, between the total 
    estimated duties, fees, and taxes deposited, or the total duties, 
    fees, and taxes tentatively assessed, with respect to any entry of 
    merchandise and the total amount of duties, fees, taxes, and 
    interest actually accruing thereon;
        (2) admit articles free of duty and of any tax imposed on or by 
    reason of importation, but the aggregate fair retail value in the 
    country of shipment of articles imported by one person on one day 
    and exempted from the payment of duty shall not exceed an amount 
    specified by the Secretary by regulation, but not less than--
            (A) $100 in the case of articles sent as bona fide gifts 
        from persons in foreign countries to persons in the United 
        States ($200 in the case of articles sent as bona fide gifts 
        from persons in the Virgin Islands, Guam, and American Samoa), 
        or
            (B) $200 in the case of articles accompanying, and for the 
        personal or household use of, persons arriving in the United 
        States who are not entitled to any exemption from duty under 
        subheading 9804.00.30, 9804.00.65, or 9804.00.70 of title I of 
        this Act,\1\ or
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    \1\ See References in Text note below.
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            (C) $200 in any other case.

    The privilege of this subdivision (2) shall not be granted in any 
    case in which merchandise covered by a single order or contract is 
    forwarded in separate lots to secure the benefit of this subdivision 
    (2); and
        (3) waive the collection of duties, fees, taxes, and interest 
    due on entered merchandise when such duties, fees, taxes, or 
    interest are less than $20 or such greater amount as may be 
    specified by the Secretary by regulation.

(b) Reduction or modification of exemption

    The Secretary of the Treasury is authorized by regulations to 
prescribe exceptions to any exemption provided for in subsection (a) of 
this section whenever he finds that such action is consistent with the 
purpose of subsection (a) of this section or is necessary for any reason 
to protect the revenue or to prevent unlawful importations.

(June 17, 1930, ch. 497, title III, Sec. 321, as added June 25, 1938, 
ch. 679, Sec. 7, 52 Stat. 1081; amended Aug. 8, 1953, ch. 397, Sec. 13, 
67 Stat. 515; Pub. L. 87-261, Sec. 2(c), Sept. 21, 1961, 75 Stat. 541; 
Pub. L. 89-62, Sec. 2, June 30, 1965, 79 Stat. 208; Pub. L. 93-618, 
title VI, Sec. 610(a), Jan. 3, 1975, 88 Stat. 2075; Pub. L. 95-410, 
title II, Sec. 205, Oct. 3, 1978, 92 Stat. 900; Pub. L. 97-446, title I, 
Sec. 115(b), Jan. 12, 1983, 96 Stat. 2335; Pub. L. 100-418, title I, 
Sec. 1214(h)(2), Aug. 23, 1988, 102 Stat. 1157; Pub. L. 103-182, title 
VI, Sec. 651, Dec. 8, 1993, 107 Stat. 2209; Pub. L. 104-295, 
Sec. 3(a)(8), (12), Oct. 11, 1996, 110 Stat. 3516.)

                       References in Text

    Title I of this Act, referred to in subsec. (a)(2)(B), means title I 
of act June 17, 1930, as amended, which contained the Tariff Schedules 
of the United States and which formerly were set out under section 1202 
of this title. The Tariff Schedules of the United States were replaced 
by the Harmonized Tariff Schedule of the United States. See Publication 
of Harmonized Tariff Schedule note set out under section 1202 of this 
title.


                               Amendments

    1996--Subsec. (a)(1). Pub. L. 104-295, Sec. 3(a)(12)(A), substituted 
``duties, fees, taxes, and interest actually accruing'' for ``duties, 
fees, and taxes actually accruing''.
    Subsec. (a)(2)(B). Pub. L. 104-295, Sec. 3(a)(8), inserted ``, 
9804.00.65,'' after ``9804.00.30''.
    Subsec. (a)(3). Pub. L. 104-295, Sec. 3(a)(12)(B), substituted 
``taxes, and interest'' for ``and taxes'' and ``taxes, or interest'' for 
``or taxes''.
    1993--Subsec. (a)(1). Pub. L. 103-182, Sec. 651(1), substituted ``of 
an amount specified by the Secretary by regulation, but not less than 
$20,'' for ``of less than $10'', inserted ``, fees,'' after ``duties'' 
wherever appearing, and struck out ``and'' at end.
    Subsec. (a)(2). Pub. L. 103-182, Sec. 651(2), substituted ``shall 
not exceed an amount specified by the Secretary by regulation, but not 
less than--'' for ``shall not exceed--'' in introductory provisions, 
substituted ``$100'' and ``$200'' for ``$50'' and ``$100'', 
respectively, in subpar. (A), substituted ``$200'' for ``$25'' in 
subpar. (B), substituted ``$200'' for ``$5'' in subpar. (C), and 
substituted ``; and'' for period at end.
    Subsec. (a)(3). Pub. L. 103-182, Sec. 651(3), added par. (3).
    Subsec. (b). Pub. L. 103-182, Sec. 651(4), struck out ``to diminish 
any dollar amount specified in subsection (a) of this section and'' 
after ``authorized by regulations'' and substituted ``subsection (a) of 
this section'' for ``such subsection'' in two places.
    1988--Subsec. (a)(2)(B). Pub. L. 100-418 substituted ``subheading 
9804.00.30 or 9804.00.70'' for ``item 812.25 or 813.31''.
    1983--Subsec. (a)(2)(A). Pub. L. 97-446 substituted ``$50'' for 
``$25'' and ``$100'' for ``$40''.
    1978--Subsec. (a)(1). Pub. L. 95-410, Sec. 205(a), substituted 
``$10'' for ``$3'' and ``duties and taxes'' for ``duties or taxes'' in 
three places.
    Subsec. (a)(2). Pub. L. 95-410, Sec. 205(b)(1)-(3), substituted in: 
subpar. (A), ``$25'' and ``$40'' for ``$10'' and ``$20''; subpar. (B), 
``$25'' for ``$10''; and subpar. (C), ``$5'' for ``$1''.
    1975--Subsec. (a)(2)(A). Pub. L. 93-618 inserted ``($20, in the case 
of articles sent as bona fide gifts from persons in the Virgin Islands, 
Guam, and American Samoa)'' after ``United States''.
    1965--Subsec. (a)(2). Pub. L. 89-62 substituted ``fair retail value 
in the country of shipment'' for ``value'' in the material preceding 
subpar. (A) and ``item 812.25 or 813.31 of section 1202 of this title'' 
for ``paragraph 1798(b)(2) or (c)(2) of section 1201 of this title'' in 
subpar. (B).
    1961--Subsec. (a). Pub. L. 87-261 inserted ``(b)(2) or'' after 
``paragraph 1798''.
    1953--Act Aug. 8, 1953, (1) divided section into subsections; (2) 
increased from $1 to $3 the difference between deposited or assessed 
duties and actual duties which may be disregarded by the collector; (3) 
permitted free entry of bona fide gifts from persons outside the United 
States up to $10; (4) allowed persons to bring with them articles up to 
$10 in value for their personal use; (5) continued to allow free entry 
up to $1 in other cases; and (6) enabled the Secretary of the Treasury 
to reduce these amounts if he found such action necessary to protect the 
revenue.


                    Effective Date of 1996 Amendment

    Section 3(b) of Pub. L. 104-295 provided that: ``The amendments made 
by this section [amending this section and sections 1401, 1431, 1504, 
1508, 1509, 1515, 1592, and 1631 of this title and repealing section 
1707 of this title] shall apply as of December 8, 1993.''


                    Effective Date of 1988 Amendment

    Amendment by Pub. L. 100-418 effective Jan. 1, 1989, and applicable 
with respect to articles entered on or after such date, see section 
1217(b)(1) of Pub. L. 100-418, set out as an Effective Date note under 
section 3001 of this title.


                    Effective Date of 1983 Amendment

    Section 115(c) of Pub. L. 97-446 provided that: ``The amendments 
made by this section [amending the Tariff Schedules and this section] 
shall apply with respect to returning residents of the United States who 
arrive in the United States on or after the 15th day after the date of 
the enactment of this Act [Jan. 12, 1983].''


                    Effective Date of 1975 Amendment

    Section 610(b) of Pub. L. 93-618 provided that: ``The amendment made 
by subsection (a) [amending this section] shall apply with respect to 
articles entered, or withdrawn from warehouse, for consumption after the 
date of enactment of this Act [Jan. 3, 1975].''


                    Effective Date of 1965 Amendment

    Section 4 of Pub. L. 89-62 provided in part that: ``The amendments 
made by section 2 [amending this section] shall apply with respect to 
articles arriving in the United States on or after October 1, 1965.''


                    Effective Date of 1961 Amendment

    Section 2(d) of Pub. L. 87-261 provided that: ``The amendments made 
by subsections (a), (b), and (c) [amending this section and former 
section 1201 of this title] shall apply with respect to persons arriving 
in the United States on or after the 30th day after the date of the 
enactment of this Act [Sept. 21, 1961].''


           Effective Date of 1953 Amendment; Savings Provision

    Amendment by act Aug. 8, 1953, effective on and after thirtieth day 
following Aug. 8, 1953, and savings provision, see notes set out under 
section 1304 of this title.


                             Effective Date

    Section effective on thirtieth day following June 25, 1938, except 
as otherwise specifically provided, see section 37 of act June 25, 1938, 
set out as an Effective Date of 1938 Amendment note under section 1401 
of this title.
