The tariff classification of vending and selecting machines from Italy

NY E81780 June 10, 1999 CLA-2-84:RR:NC:1:103 E81780 CATEGORY: Classification TARIFF NO.: 8476.89.0000; 8470.50.0020 Ms. Frances Negron Importadora Ceinos, Inc. Villa Asturias 29-39 Trubia St. Carolina, PR 00983 RE: The tariff classification of vending and selecting machines from Italy Dear Ms. Negron: In an undated letter received by this office on May 19, 1999 you requested a tariff classification ruling. With your inquiry you submitted descriptive literature on components of the Mediabank videotape vending system. The vending machine (referred to in the literature as a distributor) is a stand-alone cabinet incorporating a monitor, keyboard, magnetic card interface, CPU, modem, videotape storage compartments, and a videotape distribution slot. Depending on the model, the distributor can hold either 312, 502, or 756 videotapes. A customer uses a magnetic card on which personal data and a prepaid monetary amount have been recorded to gain access to the machine. The customer chooses a videotape following on-screen instructions, and it is then dispensed from the machine. The appropriate fee is immediately deducted from the magnetic card for tapes that are sold, or at the time of return for rented videos. A list of the videos available in the unit, as well as synopses of the videos, can be remotely updated from a central console via modem. An optional bank-note reader which allows a customer to re-load his magnetic card with “money” may also be incorporated in the vending machine. The selector is a separate stand-along unit which is similar to the distributor but contains no distribution slot or videotapes. A customer can search for a particular video based on genre, actor, director, etc. and, utilizing his magnetic card, reserve the video. The customer will then travel to a distributor, insert his magnetic card, and physically retrieve the video. The selector makes a record of the transaction, and also serves to increase the accessability of the vending unit by acting as an additional point of sale terminal. The applicable subheading for the distributor vending machine will be 8476.89.0000, Harmonized Tariff Schedule of the United States (HTS), which provides for other automatic-goods vending machines: other. The duty rate will be free. The applicable subheading for the selector unit will be 8470.50.0020, HTS, which provides for cash registers: point of sale terminals. The duty rate will again be free. This ruling is being issued under the provisions of Part 177 of the Customs Regulations (19 C.F.R. 177). A copy of the ruling or the control number indicated above should be provided with the entry documents filed at the time this merchandise is imported. If you have any questions regarding the ruling, contact National Import Specialist Alan Horowitz at 212-637-7027. Sincerely, Robert B. Swierupski Director, National Commodity Specialist Division