US Tariff Ruling N297495 = 2.6% mandatory tariff on bitcoin mining hardware

[Searing]

Trump says he is going to expand tariffs with China on Friday. Figured it was appropriate in this thread.

http://time.com/5583450/trump-china-tariffs/

https://www.washingtonpost.com/business/trump-says-he-will-increase-tariffs-on-chinese-goods-on-friday-as-he-complains-about-pace-of-trade-talks/2019/05/05/774c2e92-6f53-11e9-9eb4-0828f5389013_story.html

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[minefarmbuy]

Expansion was planned for the beginning of the year. Anything 10% moved up to 25%. For us that's import duties on PSUs.

They announced talks I think Nov'18 to try and negotiate a trade deal looks like we know how it turned out now.

[Searing]

Well, it has now been 1 year since I bought any ASIC's, thus I guess the "hard withdrawal" of the addiction is now passed...

Is there ANYTHING on the horizon (9 months or more?) of any note or possibility? (We are talking 10c kWh Winter rates USA and last I looked now 14c kWh Summer rates for 5 months.)

Yeah. We are 'hosed.'

[philipma1957]

Well, it has now been 1 year since I bought any ASIC's, thus I guess the "hard withdrawal" of the addiction is now passed...

Is there ANYTHING on the horizon (9 months or more?) of any note or possibility? (We are talking 10c kWh Winter rates USA and last I looked now 14c kWh Summer rates for 5 months.)

Yeah. We are 'hosed.'

I think it has been good for us I think it restricted difficulty a lot which is a good thing in general.

Of course it absolutely sucks for importers.

But  if you think of the build up of want on behalf of USA buyers a raise to 40%  for the summer then a drop off to 5 or 10% in the fall would make for a huge or bigly amount of purchases.  Thus having a solid fourth quarter pump. I see this happening or at least it is my hope for it to happen.

[mgoz]

Just received another order from DHL with only 2.6% fees again. I don't know how it's getting by customs or what Bitmain is classifying them as. There is no indication of the HS code on any of my paperwork or invoices. My previous order had a sticker on the box that said server, so maybe Bitmain is classifying them under 8471.50 again.

[Searing]

Just received another order from DHL with only 2.6% fees again. I don't know how it's getting by customs or what Bitmain is classifying them as. There is no indication of the HS code on any of my paperwork or invoices. My previous order had a sticker on the box that said server, so maybe Bitmain is classifying them under 8471.50 again.

Good for you. Remember DHL, Fed Ex, UPS can come after you later for fees. I have a buddy with a data hall and FED EX are trolling back 2 years or so at the max I think. (so far).

It seems I hear MAINLY of Fed Ex being proactive on this. Have not heard of any from DHL nor UPS. (I got most of my stuff UPS back in the day...so whew).

It costs $75 my buddy told me to challenge EACH fee that Fed Ex says you owe. Win or Lose the effort. So far he has just paid. Anyway, how I've heard it shakes out from my end of the universe. (USA).

[ccgllc]

Just got notified by Fed-Ex about 22 L3's that I bought long long ago.

The fun just never stops.

[minefarmbuy]

Yup, best to take care of it all upfront.

How long ago though, if before late August 2018 it should only be the 2.6% due.

[Searing]

Just got notified by Fed-Ex about 22 L3's that I bought long long ago.

The fun just never stops.

Has anyone been getting any of these from UPS or DHL? I've not heard of any. Seems to be all Fed Ex.

So is it simply Fed Ex who messed up and after the fact are getting this fixed, or is it just that UPS and DHL don't give a frack?

(Disclaimer: I've gotten none, but I got my stuff exclusively via UPS.)

[PassThePopcorn]

Last time I ordered from Bitmain you had to specify the HS code that would be used and that code would be saved to your account settings for future orders. Did they change this recently, to they put a code down?

[minefarmbuy]

Duties are taxes, which are due at import by the recipient or in our case if you elect to have us file for you under our tax id. Freighters will often expedite shipments to benefit the consumer cause everyone like timely deliveries.

Like income taxes if you don't file it doesn't mean they're not due.

[ccgllc]

Just got notified by Fed-Ex about 22 L3's that I bought long long ago.

The fun just never stops.

And noticed FedEx simply billed my credit card a couple days later.

[mgoz]

Last time I ordered from Bitmain you had to specify the HS code that would be used and that code would be saved to your account settings for future orders. Did they change this recently, to they put a code down?

AFAIK, the shipper is responsible for specifying the correct HS code. If they classify it incorrectly, they are responsible for the fraud. For those getting billed later by FedEx, what were the packages classified as and did you pay anything at all originally? Any pre-August/September 2018 should only be 2.6% unless FedEx is using it as a money grab. If they were classified incorrectly, they should really be going after the exporter, not the receiver, but I'd imagine it's easier to collect from the receiver in the states.

The only times I've had them send me a bill later was when they delivered without me paying anything and the last time that happened was probably 15 years ago. Both of my last orders that were 2.6% were held until I paid. I have invoices for import duty/tax being paid, but they specify no HS code. I don't know why they'd collect that amount unless Bitmain isn't classifying them under 8543.70.9960.

[minefarmbuy]

Doesn't matter what the exporter does. Recipient is responsible to import duties and coding. It's your job if you order to take the appropriate steps. Like us for example we can order direct with customs support or without it drop shipped to you in your name. The only difference is the tax id associated on the CBP paperwork. Ours or yours (if you file). Otherwise you leave it up to parties who might get it wrong and error don't matter. Again, it's taxes. You make an error and owe you're likely going to find out the hard way. Customs paperwork can be refiled like your tax return.

Unfortunately no one is going to notify you if you paid too much. Simply the burden is on you, or you ignore it, or have someone handle it for you.

[mgoz]

It does matter what the exporter does based on agreed Incoterm. If it's DDP, then the exporter is the importer of record.

AFAIK, with DHL Express, they act as customs broker/support, importer of record, and handle all of the paperwork for you. If they are filling the paperwork out incorrectly to have lower rates then it would be a violation of the False Claims Act. They pay the fees initially under their account and invoice you before delivery. I've never had to provide any EIN/SSN or power of attorney for these orders, but they were also within threshold for informal entry. If they make a mistake, then I'd imagine they are the ones responsible as importer of record. Whether they try and then bill me again for their mistake is anyone's guess.

I thought the majority of people getting billed had correct classifications but never paid anything. Is that not the case? I'd imagine it would be more difficult to try and collect a different rate at a later date if classified incorrectly if they can't easily determine exactly what was received. Most companies charged under the FCA are from whistleblowers with insider information.


Edit:
After researching even further, the lower rate may be due to the orders meeting informal entry requirements (below $2,500), but still above de-minimis. Without having any copies of the paperwork, I'm really not sure whether DHL is filling it out or if it's a CBP agent. I'm attempting to obtain copies of waybill. I've read different information that states informal entry paperwork is filled out by customs and they classify the packages. If that's the case, it would seem customs doesn't care about charging additional tariffs on what would typically be personal use. So if you are someone who only buys a unit or two at a time and can stay within the informal entry threshold, you may only be charged the lower rate, where as the additional tariffs are primarily targeting commercial use and large orders that require formal entry.

[minefarmbuy]

Even an informal entry is subject to duties, if classification is incorrect would be the issue with any variance from duties/tariff being charged. Informal entry is for personal and small business in most cases and allows for more expedited procedures to take place at port of entry and it is likely this occurring as mentioned a few times in this thread to expedite shipments through customs.

Following is still true.

-Duties/tariffs are due unless shipment meets de minimis.
-Responsibility lands on importer to document/file correctly.

[mgoz]

I am aware there are still duties and taxes on informal entries. DHL sent me the import duty/tax invoices and made me pay them before delivery. I haven't been successful in obtaining copies of the waybills or any other paperwork, but from what I've researched, the HTSUS classification for informal entries is determined by a customs officer and they complete all custom forms. Goods are immediately liquidated after payment and being released, meaning it is closed from further review and payment. There is no CBP Form 7501 required like a formal entry.

A formal entry can take up to a year for the goods to be formally liquidated after they are released. They hold your bond or cash as surety that your importation was not in violation of any U.S. laws or regulations and can recalculate duties and tax owed if they find an error or don't agree with paperwork. I can see how FedEx and other shippers would be coming back and charging people for formal entries as their own money is being held for accuracy of paperwork until liquidated. Since informal entries are immediately liquidated, no informal entry is at risk of paying additional duties/tax later if you already paid them. It's essentially on customs to classify correctly before liquidating.

I don't plan on getting any new equipment any time soon since there is lack of supply anyway, but I'll keep ordering directly as the markup U.S. re-sellers add for customs support is pretty much the same or more as ordering direct anyway if you get charged the full 27.6%. I typically only order 1 unit at a time and meet informal entry so I'll keep taking my chances with customs classifying incorrectly and liquidating upon payment. The two orders saved me a couple grand compared to if I ordered from Blokforge and I have paid their markups previously.

[mikespax]

I just got a $6000 bill from FedEx. For 20 V9 Miners. I think I'm just going to have to let it go to collections and wish for the best..

https://external-preview.redd.it/lcHzJFYzX9drnpH_GAkvXb_zAj9JrEwv7pjPz344mPQ.png?width=640&crop=smart&auto=webp&s=07f07e5c9f1889db51e780470a92cea741eacb23

[Searing]

I'm confused. Are they hitting you with 27.6% with tariff and import fees for Miners BEFORE the tariff went into effect? (I mean they are V9's for crying out loud).

You also, a friend told me, can dispute at $75 buck fee per instance. That may be worth trying. Good Luck.

Others on here with 'better' knowledge, chime right in. I'm just tossing this out off the cuff.

brad

[minefarmbuy]

I would imagine there's error. Most V9 sales were so long ago 25% wouldn't be introduced. Would be much better to talk to someone now, collections is a bad idea.