[Code of Federal Regulations]
[Title 19, Volume 1]
[Revised as of April 1, 2003]
From the U.S. Government Printing Office via GPO Access
[CITE: 19CFR19.6]

[Page 304-307]
 
                        TITLE 19--CUSTOMS DUTIES
 
  CHAPTER I--UNITED STATES CUSTOMS SERVICE, DEPARTMENT OF THE TREASURY
 
PART 19--CUSTOMS WAREHOUSES, CONTAINER STATIONS AND CONTROL OF MERCHANDISE THEREIN--Table of Contents
 
Sec. 19.6  Deposits, withdrawals, blanket permits to withdraw and sealing requirements.

    (a)(1) Deposit in warehouse. The port director may authorize the 
deposit of merchandise in designated bonded warehouses, without physical 
supervision by a Customs officer. Goods for which a warehouse or 
rewarehouse entry has been accepted, according to the procedures in part 
144, subpart B, of this chapter, shall be examined or inspected at the 
place of unlading, bonded warehouse, or other location as ordered by the 
port director. When merchandise is deposited in a proprietor's warehouse 
or is accepted and receipted for by a proprietor or his agent for 
transport to the proprietor's warehouse, the proprietor will be 
responsible for the quantity and condition of merchandise reflected on 
entry documentation adjusted by (i) any allowance made under part 158, 
subparts A and B, of this chapter by the port director, and (ii) any 
discrepancy report made jointly on the appropriate cartage documents as 
set forth in Sec. 125.31 of this chapter by the warehouse proprietor and 
the bonded carrier or licensed cartman or lighterman delivering the 
goods to the warehouse, or an independent weigher, gauger, measurer, and 
signed by an authorized representative of the above within 15 calendar 
days after deposit. A copy of any joint report of discrepancy shall be 
made within five business days of agreement and provided to the port 
director on the appropriate cartage documents as set forth in 
Sec. 125.31 of this chapter. If the proprietor of the bonded warehouse 
transports the goods to the warehouse, no discrepancy report shall be 
necessary.
    (2) Allowance after deposit. After merchandise has been deposited in 
the warehouse the proprietor's liability

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may be further modified by any adjustment for duties allowed by the port 
director for concealed shortages (i.e., Sec. 158.5(a)), casualty loss 
(i.e., part 158, subpart C), destruction (i.e., Sec. 158.43), or 
manipulation (i.e, Sec. 19.11, 19 U.S.C. 1562).
    (b)(1) Withdrawal and removal from warehouse. The port director may 
authorize the withdrawal and removal of merchandise, without physical 
supervision or examination by a Customs officer under permit issued 
under the procedure set forth in Sec. 144.39 of this chapter. When a 
withdrawal or removal is not physically supervised by a Customs officer, 
the warehouse proprietor will be relieved of responsibility only for the 
merchandise in its warehouse in the condition and quantity as shown on 
the application for withdrawal or removal. In the case of merchandise to 
be carted or transported in bond from the warehouse, the proprietor will 
be relieved of responsibility only if it receives the signed receipt on 
the withdrawal or removal document of the carrier named in the document. 
The proprietor's responsibility may be adjusted by any discrepancy 
report made jointly by the warehouse proprietor, and the licensed 
cartman or lighterman, bonded carrier, weigher, gauger, or measurer and 
signed by the authorized representative of the above within 15 calendar 
days after removal from the warehouse. The adjustments shall be noted on 
the permit copy of the withdrawal or removal document. A copy of any 
joint report of discrepancy shall be promptly provided to the port 
director.
    (2) Retention in warehouse after withdrawal. Merchandise for which a 
permit for withdrawal has been issued, whether duty-paid or not, need 
not be physically removed from the warehouse. However, such merchandise 
must be segregated or physically marked to maintain its identity as 
merchandise for which a withdrawal permit has been issued. Duty-paid or 
unconditionally duty-free merchandise which has been withdrawn, but not 
removed, from a warehouse is no longer deemed to be in Customs custody. 
All other goods which have been withdrawn, but not removed, remain in 
Customs custody until the end of the 5-year warehouse entry bond period.
    (c) Customs determination of liability. When a Customs officer 
physically supervises the deposit or removal of merchandise under 
paragraphs (a)(1) or (b)(1) of this section, the Customs officer's 
report of merchandise received or removed shall be determinative of the 
quantity and condition of merchandise received or removed from the 
warehouse for Customs purposes.
    (d) Blanket permits to withdraw--(1) General. (i) Blanket permits 
may be used to withdraw merchandise from bonded warehouses for:
    (A) Delivery to individuals departing directly from the Customs 
territory for exportation under the sales ticket procedure of 
Sec. 144.37(h) of this chapter (Class 9 warehouses only);
    (B) Aircraft or vessel supplies under Sec. 309 or 317, Tariff Act of 
1930, as amended (19 U.S.C. 1309, 1317); or
    (C) The personal or official use of personnel of foreign governments 
and international organizations set forth in subpart I, part 148 of this 
chapter; or
    (D) A combination of the foregoing.
    (ii) Blanket permits to withdraw may be used only for delivery at 
the port where withdrawn and not for transportation in bond to another 
port, except for a withdrawal for transportation to another port by a 
duty-free sales enterprise which meets the requirements for exemption as 
stated in Sec. 144.34(c) of this chapter. Blanket permits to withdraw 
may not be used for delivery to a location for retention or splitting of 
shipments under the provisions of Sec. 18.24 of this chapter. A 
withdrawer who desires a blanket permit shall state in capital letters 
on the warehouse entry, or on the warehouse entry/entry summary when 
used as an entry, that ``Some or all of the merchandise will be 
withdrawn under blanket permit per section 19.6(d), C.R.'' Customs 
acceptance of the entry will constitute approval of the blanket permit. 
A copy of the entry will be delivered to the proprietor, whereupon 
merchandise may be withdrawn under the terms of the blanket permit. The 
permit may be revoked by the port director in favor of individual 
applications and permits if the permit is found to be used for other 
purposes, or if necessary to protect the revenue

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or properly enforce any law or regulation Customs is charged with 
administering. Merchandise covered by an entry for which a blanket 
permit was issued may be withdrawn for purposes other than those 
specified in this paragraph if a withdrawal is properly filed as 
required in subpart D, part 144, of this chapter.
    (2) Withdrawals under blanket permit. Withdrawals may be made under 
blanket permit without any further Customs approval, and shall be 
documented by placing a copy of the withdrawal document in the 
proprietor's permit file folder. Each withdrawal shall be filed on 
Customs Form 7501 and shall be consecutively numbered, prefixed with the 
letter``B''. The withdrawal shall specify the quantity and value of each 
type of merchandise to be withdrawn. Each copy shall bear the summary 
statement described in Sec. 144.32(a) of this chapter, reflecting the 
balance of merchandise covered by the warehouse entry. Any joint 
discrepancy report of the proprietor and the bonded carrier, licensed 
cartman or lighterman, or weigher, gauger, or measurer for a 
supplementary withdrawal shall be made on the copy and reported to the 
port director as provided in paragraph (b)(1) of this section. A copy of 
the withdrawal shall be retained in the records of the proprietor as 
provided in Sec. 19.12(d)(4) of this part. Merchandise shall not be 
removed from the warehouse prior to the preparation of the supplementary 
withdrawal. If merchandise is so removed, the proprietor shall be 
subject to liquidated damages as if it were removed without Customs 
permit.
    (3) Withdrawals under blanket permit from duty-free stores. 
Withdrawals under blanket permit from duty-free stores shall be made on 
the sales ticket described in Sec. 144.37(h) of this chapter. The sales 
ticket need not contain the summary statement described in 
Sec. 144.32(a) of this chapter, since the information required is 
included in the sales ticket register. The sales ticket shall be 
serially numbered as provided in Sec. 144.37(h)(2) of this chapter.
    (4) Withdrawals under blanket permit for aircraft or vessel 
supplies. Multiple withdrawals under a blanket permit for aircraft or 
vessel supplies, if consigned to the same daily aircraft flight number 
or vessel sailing, may be filed on one Customs Form 7512; however, an 
attachment form, developed by the warehouse proprietor and approved by 
the port director may be used for all withdrawals. This attachment form 
shall provide a sufficient summary of the goods being withdrawn, and 
shall include the warehouse entry number, the quantity and weight being 
withdrawn, the Harmonized Tariff Schedule of the United States 
number(s), the value of the goods, import and export lading information, 
the duty rate and amount, and any applicable Internal Revenue tax 
calculation, for each warehouse entry being withdrawn. A copy of Customs 
Form 7512 and the summary attachment must be attached to each permit 
file folder unless the warehouse proprietor qualifies for the permit 
file folder exemption under Sec. 19.12(d)(4)(iii) of this part.
    (5) Blanket permit summary. When all of the merchandise covered by 
an entry on which a blanket permit to withdraw was issued has been 
withdrawn, including withdrawals made for purposes other than duty-free 
store delivery, vessel or aircraft supply, or diplomatic use, the 
proprietor shall prepare a report on a copy of Customs Form 7501, or a 
form on the letterhead of the proprietor, which provides an account of 
the disposition of the merchandise covered by the blanket permit. The 
form shall bear the words ``BLANKET PERMIT SUMMARY'' in capital letters 
conspicuously printed or stamped in the top margin. On the form, the 
proprietor shall certify that the merchandise listed thereunder was 
withdrawn in compliance with Sec. 19.6(d), and shall account for all of 
the merchandise withdrawn under blanket permit by HTSUS (Harmonized 
Tariff Schedule of the United States) number, HTSUS quantity (where 
applicable) and value. If applicable, the account shall separately list 
and identify merchandise withdrawn for
    (i) Duty-free store exportation,
    (ii) Vessel or aircraft supply use, and
    (iii) Personal or official use of persons and organizations set 
forth in subpart I, part 148, of this chapter. If all of the merchandise 
was withdrawn under the sales ticket procedure of Sec. 144.37(h)

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of this chapter, the sales ticket register may be substituted for the 
blanket permit summary. The form will be placed in the permit file 
folder and treated as provided in Sec. 19.12(a) of this part.
    (e) Affixing or breaking of seals. The port director may authorize a 
warehouse proprietor to: (1) Break Customs in bond seals affixed under 
Sec. 18.4 of this chapter, or under any Customs order or directive, on 
any vehicle or container of goods entered for warehouse upon arrival of 
the vehicle or container at the warehouse: or (2) affix Customs in bond 
seals to any vehicle or container of goods for which a withdrawal 
document has been approved for movement in bond. The affixing or 
breaking of seals so authorized, shall be deemed to have been done under 
Customs supervision. The proprietor shall report to the port director 
any seal found, upon arrival of the vehicle or container at the 
warehouse, to be broken, missing, or improperly affixed, and hold the 
vehicle or container and its contents intact pending instructions from 
the port director.

[T.D. 82-204, 47 FR 49370, Nov. 1, 1982, as amended by T.D. 84-149, 49 
FR 28698, July 16, 1984; T.D. 92-81, 57 FR 37697, Aug. 20, 1992; T.D. 
94-81, 59 FR 51494, Oct. 12, 1994; T.D. 95-81, 60 FR 52295, Oct. 6, 
1995; T.D. 97-19, 62 FR 15836, Apr. 3, 1997]