96-24658. Announcement of Collection of Special Tonnage Taxes and Light Money Upon Entry Into the United States of Vessels of Ukraine

[Federal Register Volume 61, Number 188 (Thursday, September 26, 1996)]
[Notices]
[Page 50534]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-24658]



[[Page 50534]]

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DEPARTMENT OF THE TREASURY

Customs Service
[T.D. 96-69]


Announcement of Collection of Special Tonnage Taxes and Light 
Money Upon Entry Into the United States of Vessels of Ukraine

AGENCY: U.S. Customs Service, Department of the Treasury.

ACTION: General notice.

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SUMMARY: This notice announces that the United States has determined 
that the Government of Ukraine is discriminating against vessels of the 
United States in the collection of certain fees and taxes from such 
vessels which enter that country. As a consequence, it has become 
necessary to discontinue the exemption from the collection of special 
tonnage taxes and light money enjoyed by vessels of Ukraine upon 
entering United States ports.

EFFECTIVE DATE: The change established by this notice will commence 
September 26, 1996.

FOR FURTHER INFORMATION CONTACT: Larry L. Burton, Office of Regulations 
and Rulings [phone].

SUPPLEMENTARY INFORMATION:

Background

    Generally, the United States imposes regular and special tonnage 
taxes, and a duty of a specified amount per ton denominated ``light 
money'', on all foreign vessels which enter United States ports (46 
U.S.C. App. 121 and 128). Vessels of a foreign nation may, however, be 
exempted from the payment of such special tonnage taxes and light money 
upon presentation of satisfactory proof that no discriminatory duties 
of tonnage or impost are imposed by that foreign nation on United 
States vessels or their cargoes (46 U.S.C. App. 141). The list of 
nations whose vessels have been found to be reciprocally exempt from 
the payment of any higher tonnage duties than are applicable to vessels 
of the United States and from the payment of light money is found at 
Sec. 4.22, Customs Regulations (19 CFR 4.22). Nations granted these 
commercial privileges that subsequently impose discriminatory duties 
are subject to retaliatory suspension of the commercial privileges (46 
U.S.C. App. 141 and 142).
    The list of countries in 19 CFR 4.22 is compiled as the result of 
international agreements between the United States and the governments 
of those nations listed. Customs either adds or deletes the names of 
countries only upon the request of the Department of State. The present 
list includes the former Union of Soviet Socialist Republics (USSR) 
and, following the dissolution of that country, Customs was guided by a 
policy determination of the Department of State which holds that absent 
a separate agreement to the contrary, the states emerging from the 
break-up of the USSR take the same rights and obligations as existed 
for the USSR.
    By a letter received on September 16, 1996, Customs was informed by 
the Department of State that the Government of Ukraine is presently 
assessing discriminatory tonnage fees against vessels of the United 
States which enter at Ukrainian ports. As a consequence, the Department 
of State has requested that action be taken to end the exemption from 
the assessment of special tonnage taxes and light money presently 
extended to Ukrainian vessels entering United States ports. Normally, 
Customs would be supplied with the names of countries to add to or 
delete from the regulatory list, but since discussion with other former 
Soviet states is on-going, it has been determined to issue this non-
amendatory notice at this time to limit the exemption privilege by 
excluding Ukraine. The Department of State informs Customs that upon 
the conclusion of present discussions, Customs will be formally 
requested to add the names of certain countries to 19 CFR 4.22, and to 
delete the USSR from the regulation.
    Therefore, effective immediately upon publication of this General 
Notice, vessels of Ukraine entering ports of the United States are no 
longer exempted from the assessment of special tonnage taxes and light 
money. Special tonnage taxes and light money in the amounts authorized 
under law will be collected on all such vessels.

    Dated: September 20, 1996.
Stuart P. Seidel,
Assistant Commissioner, Office of Regulations and Rulings.
[FR Doc. 96-24658 Filed 9-25-96; 8:45 am]
BILLING CODE 4820-02-P