HQ 957836

October 17, 1995

CLA-2 R:C:M 957836 LTO

CATEGORY: Classification

TARIFF NO.: 9504.30.00

Port Director

U.S. Customs Service

300 S. Ferry Street

Room 1001

Los Angeles, California 90731

RE: Protest 2720-95-100233; Monitors for gaming machines; HQs 952716,
953896; Section XVI, Note 1(p); Chapter 95, Note 3; Additional U.S. Rule
of Interpretation 1(c); heading 8528; EN 95.04

Dear Port Director:

The following is our reply to a request from the former District
Director, Los Angeles, California, regarding Protest 2720-95-100233,
which concerns the classification of monitors for gaming machines under
the Harmonized Tariff Schedule of the United States (HTSUS). The subject
merchandise was entered on October 5, November 14 and November 16, 1994,
and the entries were liquidated on February 10, 1995. The protest was
timely filed on February 27, 1995.

FACTS:

The article in question is a 14-inch VGA monitor for a \"gaming
machine\" (i.e., electronic poker or blackjack machines). The monitor,
which is not housed, has a series of mounting brackets\--adjustable
brackets on the top and sides, and a fixed bracket on the bottom\--which
permit attachment to the remainder of the gaming machine. A small border
of the gaming machine fits around the monitor so that only the
monitor\'s screen is visible. The protestant states that the monitor
receives a non-composite signal, which is produced by the gaming
machine\'s hardware and software. A non-composite signal is a single
band signal used primarily to produce visuals, such as those found on

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an electronic poker or blackjack machine. The sound from the gaming
machine is produced by the internal programming functions.

The monitors were entered under subheading 9504.30.00, HTSUS, which
provides for parts and accessories for coin- or token-operated games.
They were classified upon liquidation under subheading 8528.10.28,
HTSUS, which provides for other non-high definition television
receivers, having a single picture tube intended for direct viewing
(non-projection type), with a video display diagonal exceeding 35.56 cm.

ISSUE:

Whether the monitors are classifiable as other non-high definition
television receivers, having a single picture tube intended for direct
viewing (non-projection type), with a video display diagonal exceeding
35.56 cm, under subheading 8528.10.28, HTSUS, or as parts for coin- or
token-operated games under subheading 9504.30.00, HTSUS.

LAW AND ANALYSIS:

The General Rules of Interpretation (GRI\'s) to the HTSUS govern the
classification of goods in the tariff schedule. GRI 1 states in
pertinent part that \"for legal purposes, classification shall be
determined according to the terms of the headings and any relative
section or chapter notes . . . .\"

The Harmonized Commodity Description and Coding System Explanatory Notes
(ENs) constitute the official interpretation of the Harmonized System.
While not legally binding, and therefore not dispositive, the ENs
provide a commentary on the scope of each heading of the Harmonized
System, and are generally indicative of the proper interpretation of
these headings. See T.D. 89-80, 54 Fed. Reg. 35127, 35128 (August 23,
1989).

The headings under consideration are as follows:

8528 Television receivers (including video monitors and video

projectors), whether or not incorporating radiobroadcast

receivers or sound or video recording or reproducing

apparatus

9504 Articles for arcade, table or parlor games, including pinball

machines, bagatelle, billiards and special tables for casino

games; . . . parts and accessories thereof

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EN 95.04, pg. 1589, states that heading 9504, HTSUS, covers \"\[v\]ideo
games (used with a television receiver or having a self-contained
screen) and other games of skill or chance with an electronic display,\"
as well as, \"\[c\]oin- or disc-operated machines of the kinds used in
amusement arcades, cafes, funfairs, etc., for games of skill or chance
(e.g., machines for revolver practice, pintables of various types.).\"
The monitor in question is used with electronic poker, blackjack, etc.,
machines. These machines are akin to video games, are coin-operated and
are used in casinos for games of skill and/or chance. Accordingly,
complete \"gaming machines\" of this type are classifiable under heading
9504, HTSUS.

With regard to the classification of the monitor itself, Additional U.S.
Rule of Interpretation 1(c), HTSUS, provides that \"\[i\]n the absence
of special language or context which otherwise requires\--a provision
for parts of an article covers products solely or principally used as a
part of such articles but a provision for \"parts\" or \"parts and
accessories\" shall not prevail over a specific provision for such part
or accessory \[emphasis in original\].\" Note 3 to chapter 95, HTSUS,
provides such special language or context. Note 3 provides that
\"\[s\]ubject to note 1 above, parts and accessories which are suitable
for use solely or principally with articles of this chapter are to be
classified with those articles.\" Thus, if the monitors are classifiable
as parts or accessories for coin- or token-operated games, they cannot
be classified under heading 8528, HTSUS. See also Section XVI, note
1(p), HTSUS (which excludes articles of chapter 95 from section XVI); HQ
952716, dated March 3, 1993 (swimming pool accessories); HQ 953896,
dated February 2, 1994 (swimming pool accessories).

The 14-inch, unhoused VGA monitor in question has a series of mounting
brackets\--adjustable brackets on the top and sides, and a fixed bracket
on the bottom\--which permit attachment to the remainder of the gaming
machine. A small border of the gaming machine fits around the monitor so
that only the monitor\'s screen is visible. The protestant states that
the monitor receives a non-composite signal, which is produced by the
gaming machine\'s hardware and software. A non-composite signal is a
single band signal used primarily to produce visuals, such as those
found on

an electronic poker or blackjack machine. A television monitor, on the
other hand, receives a composite signal, which is a signal that is
broken up into two or more parts\--one to produce a visual and one to
produce sound.

It is our opinion that, due to its special design (the monitor is
unhoused, fitted to a gaming machine with mounting brackets, one of
which is fixed, and, most importantly, uses a non-composite signal to
produce visuals), the monitor is \"solely or principally\" used with the
gaming machines of heading 9504, HTSUS. The monitor is therefore
classifiable as a part for coin- or token-operated games under
subheading 9504.30.00, HTSUS, and cannot be classified under heading
8528, HTSUS.

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HOLDING:

The monitors for gaming machines are classifiable under subheading
9504.30.00, HTSUS.

The protest should be GRANTED. In accordance with section 3A(11)(b) of
Customs Directive 099 3550-065, dated August 4, 1993, Subject: Revised
Protest Directive, this decision, together with the Customs Form 19,
should be mailed by your office to the protestant no later than 60 days
from the date of this letter. Any reliquidation of the entry in
accordance with the decision must be accomplished prior to the mailing
of the decision. Sixty days from the date of the decision the Office of
Regulations and Rulings will take steps to make the decision available

to Customs personnel via the Customs Rulings Module in ACS and the
public via the Diskette Subscription Service, Freedom of Information Act
and other public access channels.

Sincerely,

John Durant, Director

Tariff Classification Appeals Division