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October 2026, question 53

Entry / Entry Summary · Restricted merchandise and intellectual property

An unlicensed importation of merchandise is subject to the Treasury Department's Office of Foreign Assets Control (OFAC) regulations and detained at the port of entry. OFAC determines that the merchandise is prohibited by economic sanctions and does NOT authorize immediate re-exportation or other disposition of the merchandise. In this scenario, what shall happen to the prohibited merchandise?

  1. The merchandise shall be seized without entry for any purpose.
  2. The merchandise shall be entered into OFAC possession and held with penalty.
  3. The merchandise shall be entered into CBP possession and held with penalty.
  4. The merchandise shall be subject to additional duties and penalties upon entry.
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CBP's answer: A. A: The merchandise shall be seized without entry for any purpose.

When an unlicensed importation subject to OFAC regulations is determined to be prohibited, no entry for any purpose is permitted, and unless OFAC has authorized immediate reexportation or other disposition under customs supervision, the merchandise is seized (12.150(b)). That is A.

no entry for any purpose shall be permitted and, unless the immediate reexportation or other disposition of such merchandise under Customs supervision has previously been authorized by OFAC, the merchandise shall be seized 19 CFR 12.150(b)

Search for: no entry for any purpose shall be permitted

CBP's key cites: 19 CFR 12.150(b)

Question and key from CBP's October 2026 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).