Value Based HTS codes

[former_member449516]

Hello,

In our business, we have value based commodity codes that alter the classification in the event that the value of the goods (per item) exceeds a certain dollar value. For example, HTS code 6402917090 can be applied to a product master. That HTS code applies a duty rate of 37.5% + .90 per pair. For the exact same product, if the dutiable value of goods is between $6.50 and $12, then a different HTS code would apply (6402918091), and we would have a duty rate of 20% + .90 per pair.

Within GTS, the classification data has been populated via a content provider and these rates are represented appropriately. However, when creating an import declaration, these values the classification are based on are not accounted for.

Currently, the plan to deal with this issue is developing a process using "end use" as a way to help signify the product is value based therefore needs additional logic built into the import declaration to default the appropriate classification per the value of the goods. While I'm confident this method will work I am wondering if there is another way to handle with standard GTS functionality?

[former_member215181 · Accepted solution]

Hi Kyle,

Nothing standard, I'm afraid. Using End Use is the best idea, as you say. Set (or not) the ENDUSE field according to the goods value in BAdI/SAPSLL/IFEX_MM0C during the transfer.

Regards,

Dave

[former_member449516]

Just as a follow-up to anyone else that may have a similar requirement, we did end up utilizing end-use and multiple classifications which would be applied to the same product number. Then we had to write code in a few BADi's to select the proper end-use and therefore proper classification when the declaration is created. We also have to have specific logic to compare the customs value on the particular line items to the classification/end-use, again to properly determine the classificaiton and HTS Code assigned.

[former_member194424]

Hello Kyle,

There is no standard functionality that I'm aware of that can do this. You need to implement BAdI

YGSLL_CUHD_PROP (method ITEM_DATA_PROPOSE) to propose the HTS code in the customs dec.

Regards,

Satish