On March 25, Sam imports merchandise subject to a tariff rate quota. The quota period expires on March 31. The merchandise is released under a special permit for immediate delivery on March 27. The quota fills on March 29, and the entry summary is filed on March 30. Sam must do which ONE of the following with respect to the merchandise?
A) Pay duties at the quota rate of duty, because the merchandise was released prior to the date the quota filled.
B) Substitute a warehouse entry for the consumption entry, and wait until the next quota period opens.
C) Pay duties at the over-quota rate of duty, because proper presentation was not made until after the tariff-rate quota was filled.
D) Export or destroy the merchandise, because the quota filled prior to summary presentation.
E) Pay duties at the quota rate of duty, because the merchandise was released within the quota period.
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The Answer is: C
Citation: 19 CFR 142.21(e)(1)
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