Analysis
HTS 2208.40.20 covers valued not over $3 per proof liter under heading 2208 (undenatured ethyl alcohol of an alcoholic strength by volume of less than 80 percent…).
The general rate is 23.7¢/pf.liter, a specific or compound duty rather than a simple percentage, so the effective burden depends on the unit value of the goods: cheap goods pay proportionally more than expensive ones. Importers usually convert it to an ad valorem equivalent to compare it with other lines.
Goods that qualify under GSP, the Australia FTA, the Bahrain FTA, the Chile FTA, the Colombia TPA, and 11 others can enter duty-free instead of paying 23.7¢/pf.liter. It is also eligible under GSP, the developing-country programme, which Congress has to renew; check whether GSP is in force on the entry date. Reduced but not zero rates apply under some agreements: 10.5¢/pf. liter for JO.
The other lines in the same group are 2208.40.40 (valued over $3 per proof liter, duty-free), 2208.40.60 (valued not over 69¢ per proof liter, 23.7¢/pf.liter) and 2208.40.80 (valued over 69¢ per proof liter, duty-free).
Neighbouring lines
| Line | Description | General rate |
|---|---|---|
| 2208.40.40 | Valued over $3 per proof liter | Free |
| 2208.40.60 | Valued not over 69¢ per proof liter | 23.7¢/pf.liter |
| 2208.40.80 | Valued over 69¢ per proof liter | Free |