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April 2024, question 78
Valuation, Appraisement and Duty Assessment · Duties, MPF, HMF and calculations
Which statement is FALSE with respect to the applicable rates of duty?
- Subject to exceptions specified in the Customs Regulations, rates of duty applicable to merchandise shall be the rates in effect at the "time of entry," which is defined in 19 CFR 141.68.
- Merchandise entered for warehouse is dutiable at the rates in effect at the time withdrawal for consumption is made in accordance with 19 CFR 141.68(g).
- Dutiable merchandise eligible for informal mail entry is dutiable at the rates in effect at the time the preparation of the entry documentation by a CBP employee is completed.
- For quota-class merchandise where the quota period opens in one calendar year and closes in another calendar year, the applicable rate of duty shall be determined at the time of liquidation.
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CBP's answer: D. D: For quota-class merchandise where the quota period opens in one calendar year and closes in another calendar year, the applicable rate of duty shall be determined at the time of liquidation.
CBP keyed D as false. Quota-class merchandise takes its rate at its time of entry, which is when the entry summary or withdrawal is presented in proper form with duties attached, not at liquidation. The other statements follow 141.68 (time of entry generally, withdrawal from warehouse, informal mail entry).
The time of entry for quota-class merchandise will be the time of presentation of the entry summary or withdrawal for consumption in proper form 19 CFR 141.68(d)
is the time the preparation of the entry documentation by a CBP employee is completed 19 CFR 141.68(f)
Search for: time of entry quota-class merchandise
CBP's key cites: 19 CFR 141.68
Question and key from CBP's April 2024 exam and answer key. The walk-through is ours; quotes are from the pinned editions in the reference viewer (HTSUS 2026 Basic, 19 CFR 2025 edition).