CERTIFIED EXPORT SPECIALIST (CES) Case Study #002 Bonded Warehouses & Foreign Trade Zones Study Material & Quiz

Transcription

1 CERTIFIED EXPORT SPECIALIST (CES) Case Study #002 Bonded Warehouses & Foreign Trade Zones Study Material & Quiz

2 Study Material Bonded Warehouses and Foreign Trade Zones ES_Case_Study_No._2.pdf Page 2 of 7

3 1. Bonded warehouses are government-approved warehouses or other secured areas where goods can be stored prior to entry or export for a maximum period of from date of importation. o Five years o Three years o One year o One year, with three one year extensions 2. Merchandise held at CBP s direction under General Order is normally held in warehouse: o Class 5 o Class 7 o Class 1 o Class 2 3. Class 3 Bonded Warehouse is used for cargo that is: o Subject to further processing o Undergoing examination by CBP o For the storage of imported merchandise subject to IRS tax o For the purposes of sorting 4. Duty-free stores used for selling, for use outside the Customs territory are categorized as: o Class 6 o Class 3 o Class 9 o Class A bonded warehouse may be designated as only one class. Page 3 of 7

4 6. In a bonded warehouse, liability incurred by a bond remains active unless the goods entered into a bonded warehouse have been: o Exported or deemed exported o Withdrawn for supplies to a vessel or aircraft international traffic o Destroyed under Customs supervision o All of the above 7. Breaking out a container for redelivery of cargo is best performed in : o A CFS o An FTZ o The trucker s yard o A CES 8. The responsibilities of a CES operator do not include: o Maintaining adequate liability insurance o Maintaining a CBP custodial bond in an amount set by the port director o Assuming responsibilities of any charges or expense incurred to operate o Transporting the merchandise to the CES 9. Which of the following statements is not true? o Cargo within an FTZ is considered exempt from federal law, such as income tax. o A foreign trade zone is considered outside the territory of the U.S. for payment of duty purposes. o The Foreign Trade Zones Act was created to expedite and encourage foreign commerce. o An FTZ may hold merchandise of every description. 10. CBP may not examine merchandise to be admitted to the FTZ. Page 4 of 7

5 11. A special purpose FTZ established for a limited purpose that cannot be accommodated within an existing FTZ, usually due to geographic restrictions, is called a: o Subzone o CES Station o Bonded warehouse o Container Freight Station 12. A is a public or private corporation to which consent has been given to establish, operate, or maintain an FTZ project. o Subzone o Grantee o Principal operator o Partner 13. The following status is used when goods are classified and appraised and duties and taxes are determined, but not collected, as of the date the application to enter the FTZ is filed: 14. The following status is used when goods are brought into an FTZ for the purpose of exportation, destruction, or storage: Page 5 of 7

6 15. Goods in this status are classified and appraised in their condition at the time of transfer to the customs territory and entered for consumption: 16. Goods held in this status were previously admitted into the United States free of duty: 17. The maximum time limit for merchandise to remain in a foreign trade zone is: o One year o Five years o Three years o None there is no time limit 18. Importers may choose to file one entry for all cargo exiting the zone within a given timeframe. o Daily o Weekly o Monthly o Quarterly 19. In calculating the dutiable value on foreign merchandise removed from a zone, zone users are authorized to exclude zone costs of processing or fabrication, general expenses and profit. Page 6 of 7

7 20. Merchandise subject to quota, with the permission of the Foreign Trade Zones Board, may be substantially transformed in an FTZ to a non-quota article that may then be entered into the U.S., free of quota restrictions. Page 7 of 7