Federal Register / Vol. 83, No. 159 / Thursday, August 16, 2018 / Rules and Regulations 40675 

39Oxfords are a form of eyeglasses where a flat 

spring joins the two eye rims and the tension it 

exerts on the nose serves to hold the unit in place. 

Oxfords are also referred to as pince nez. 

straps; metal parts permanently encased in a 

non-metallic covering; and for oxfords,39 coil 

and joint springs. 

(b) Exemptions recognized in the industry 

and not to be considered in any assay for 

quality of a gold filled, gold overlay and 

rolled gold plate industry product, other than 

watchcases, include joints, catches, screws, 

pin stems, pins of scarf pins, hat pins, etc., 

field pieces and bezels for lockets, posts and 

separate backs of lapel buttons, bracelet and 

necklace snap tongues, springs, and metallic 

parts completely and permanently encased in 

a nonmetallic covering. 

Note to Paragraph (b): Exemptions 

recognized in the industry and not to be 

considered in any assay for quality of a gold 

filled, gold overlay and rolled gold plate 

optical product include: Screws; the hinge 

assembly (barrel or other special types such 

as are customarily used in plastic frames); 

washers, bushings, tubes and nuts of screw 

assemblies; dowels; pad inserts; springs for 

spring shoe straps, cores and/or inner 

windings of comfort cable temples; metal 

parts permanently encased in a nonmetallic 

covering; and for oxfords, the handle and 

catch. 

(c) Exemptions recognized in the industry 

and not to be considered in any assay for 

quality of a silver industry product include 

screws, rivets, springs, spring pins for wrist 

watch straps; posts and separable backs of 

lapel buttons; wire pegs, posts, and nuts used 

for applying mountings or other ornaments, 

which mountings or ornaments shall be of 

the quality marked; pin stems (e.g., of badges, 

brooches, emblem pins, hat pins, and scarf 

pins, etc.); levers for belt buckles; blades and 

skeletons of pocket knives; field pieces and 

bezels for lockets; bracelet and necklace snap 

tongues; any other joints, catches, or screws; 

and metallic parts completely and 

permanently encased in a nonmetallic 

covering. 

(d) Exemptions recognized in the industry 

and not to be considered in any assay for 

quality of an industry product of silver in 

combination with gold include joints, 

catches, screws, pin stems, pins of scarf pins, 

hat pins, etc., posts and separable backs of 

lapel buttons, springs, bracelet and necklace 

snap tongues, and metallic parts completely 

and permanently encased in a nonmetallic 

covering. 

(e) Exemptions recognized in the industry 

and not to be considered in any assay for 

quality of a platinum industry product 

include springs, winding bars, sleeves, crown 

cores, mechanical joint pins, screws, rivets, 

dust bands, detachable movement rims, hat 

pin stems, and bracelet and necklace snap 

tongues. 

By direction of the Commission. 

Donald S. Clark, 

Secretary. 

[FR Doc. 2018–17454 Filed 8–15–18; 8:45 am] 

BILLING CODE 6750–01–P 

DEPARTMENT OF HOMELAND 

SECURITY 

U.S. Customs and Border Protection 

DEPARTMENT OF THE TREASURY 

19 CFR Part 24 

[CBP Dec. 18–09; Docket No. USCBP–2018– 

0033] 

RIN 1515–AE39 

Refund of Alcohol Excise Tax 

AGENCY: U.S. Customs and Border 

Protection, Department of Homeland 

Security; Department of the Treasury. 

ACTION: Interim regulations; solicitation 

of comments. 

SUMMARY: This document updates 

language in the U.S. Customs and 

Border Protection (CBP) regulations to 

reflect the current organization of CBP 

and the Department of the Treasury. The 

document also eliminates a restriction 

pertaining to CBP’s authority to refund 

excessive duties, taxes, fees, or interest 

imposed on distilled spirits, wine, and 

beer to facilitate implementation of 

Subpart A (Craft Beverage 

Modernization and Tax Reform) of Part 

IX of the Tax Cuts and Jobs Act, signed 

December 22, 2017, commonly referred 

to as the Craft Beverage Modernization 

Act. 

DATES: This interim final rule is 

effective August 16, 2018; comments 

must be received by October 15, 2018. 

ADDRESSES: You may submit comments, 

identified by docket number USCBP– 

2018–0033, by one of the following 

methods: 

• Federal eRulemaking Portal: http:// 

www.regulations.gov. Follow the 

instructions for submitting comments. 

• Mail: Trade and Commercial 

Regulations Branch, Regulations and 

Rulings, Office of Trade, U.S. Customs 

and Border Protection, 90 K Street NE, 

10th Floor, Washington, DC 20229– 

1177. 

Instructions: All submissions received 

must include the agency name and 

docket title for this rulemaking, and 

must reference docket number USCBP– 

2018–0033. All comments received will 

be posted without change to http://

www.regulations.gov, including any 

personal information provided. For 

detailed instructions on submitting 

comments and additional information 

on the rulemaking process, see the 

‘‘Public Participation’’ heading of the 

SUPPLEMENTARY INFORMATION section of 

the document. 

Docket: For access to the docket to 

read background documents or 

comments received, go to http://

www.regulations.gov. Submitted 

comments may also be inspected during 

business days between the hours of 9:00 

a.m. and 4:30 p.m. at the Trade and 

Commercial Regulations Branch, 

Regulations and Rulings, Office of 

Trade, U.S. Customs and Border 

Protection, 90 K Street NE, 10th Floor, 

Washington, DC. Arrangements to 

inspect submitted comments should be 

made in advance by calling Mr. Joseph 

Clark at (202) 325–0118. 

FOR FURTHER INFORMATION CONTACT: 

Sharolyn J. McCann, Supervisory 

Program Manager, Office of Trade, U.S. 

Customs and Border Protection, (571) 

468–5478, sharolyn.j.mccann@

cbp.dhs.gov. 

SUPPLEMENTARY INFORMATION: 

Public Participation 

Interested persons are invited to 

participate in this rulemaking by 

submitting written data, views, or 

arguments on all aspects of the interim 

rule. See ADDRESSES above for 

information on how to submit 

comments. U.S. Customs and Border 

Protection (CBP) also invites comments 

that relate to the effects that might result 

from this interim rule. Comments that 

will provide the most assistance to CBP 

will reference a specific portion of the 

interim rule, explain the reason for any 

recommended change, and include data, 

information, or authority that support 

such recommended change. 

Background 

CBP is amending § 24.36 of title 19 of 

the Code of Federal Regulations (19 CFR 

24.36) regarding the authority of CBP to 

issue refunds of excessive duties, taxes, 

fees, or interest to: 

(1) Reflect changes in departmental 

organization, a statutory citation to 

account for the Internal Revenue Code 

of 1986, and current form names and 

numbers. The current text refers to the 

Department of the Treasury’s (Treasury) 

organization that preceded the 1972 

transfer of certain functions from the 

Internal Revenue Service to the Bureau 

of Alcohol, Tobacco and Firearms. See 

Treasury Order 221 (June 6, 1972). The 

Homeland Security Act of 2002 (Pub. L. 

107–296, December 25, 2002) later 

transferred these functions described in 

19 CFR 24.36(e) to the Alcohol and 

Tobacco Tax and Trade Bureau (TTB). 

The reference to Internal Revenue 

Form 843 in § 24.36(e)(1) predates the 

1963 republication of chapter I of title 

19 (see 28 FR 14546, 14815 (Dec. 31, 

1963)) and is obsolete. The current IRS 

Form 843 is not related to excise tax. 

Current TTB Form 5620.8, ‘‘Claim— 


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40676 Federal Register / Vol. 83, No. 159 / Thursday, August 16, 2018 / Rules and Regulations 

Alcohol, Tobacco, and Firearms Taxes,’’ 

is the modern equivalent of the form 

referred to in the regulations. 

CBP is also removing references to the 

‘‘port director’’ to allow for CBP to issue 

refunds either through electronic 

methods or by the ports or the Centers 

of Excellence and Expertise, and is 

making other grammatical changes as 

appropriate. 

(2) Add to CBP’s refund authority the 

ability to refund taxes paid prior to 

assigning a reduced tax rate or tax credit 

for alcoholic beverages, including beer, 

wine, and distilled spirits, as allowed by 

sections 13801–13808 (Subpart A—Craft 

Beverage Modernization and Tax 

Reform, of Part IX) of the Tax Cuts and 

Jobs Act of 2017 (Pub. L. 115–97) signed 

December 22, 2017, commonly referred 

to as the Craft Beverage Modernization 

Act (CBMA). 

The CBMA amended the Internal 

Revenue Code for two calendar years 

with respect to the tax treatment of 

alcoholic beverages, including beer, 

wine, and distilled spirits. For an 

importer to be eligible to receive a 

reduced tax rate or a tax credit, the 

importer must be able to substantiate 

that the foreign producer has assigned 

an allotment of its reduced tax rate or 

tax credits to the beer, wine, or distilled 

spirits imported by that importer. The 

new § 24.36(d)(10) makes it clear that 

CBP has authority to refund the 

difference between the full excise taxes 

an importer pays at the time of entry 

summary filing and the CBMA’s lower 

effective tax rate. An importer must 

request and substantiate its entitlement 

to the reduced tax rate or tax credit 

appropriately. 

Inapplicability of Notice and Delayed 

Effective Date 

The Administrative Procedure Act 

(APA) requirements in 5 U.S.C. 553 

govern agency rulemaking procedures. 

Section 553(b) of the APA generally 

requires notice and public comment 

before issuance of a final rule. In 

addition, section 553(d) of the APA 

requires that a final rule have a 30-day 

delayed effective date. The APA, 

however, provides exceptions from the 

prior notice and public comment 

requirement and the delayed effective 

date requirements, when an agency for 

good cause finds that such procedures 

are impracticable, unnecessary, or 

contrary to the public interest. 

Treasury and CBP find that prior 

notice and comment are unnecessary 

and that good cause exists to issue these 

regulations effective upon publication. 

Prior notice and comment are 

unnecessary because the rule does not 

substantively alter the underlying rights 

or interests of importers or filers, but 

instead makes technical corrections and 

makes clear that importers may obtain 

the benefit of a lower effective tax rate 

by filing a refund claim with CBP. 

Executive Orders 13563, 12866, and 

13771 

Executive Orders (E.O.) 13563 

(‘‘Improving Regulation and Regulatory 

Review’’) and 12866 (‘‘Regulatory 

Planning and Review’’) direct agencies 

to assess the costs and benefits of 

available regulatory alternatives and, if 

regulation is necessary, to select 

regulatory approaches that maximize 

net benefits (including potential 

economic, environmental, public health 

and safety effects, distributive impacts, 

and equity). E.O. 13563 emphasizes the 

importance of quantifying both costs 

and benefits, of reducing costs, of 

harmonizing rules, and of promoting 

flexibility. E.O. 13771 (‘‘Reducing 

Regulation and Controlling Regulatory 

Costs’’) directs agencies to reduce 

regulation and control regulatory costs 

and provides that ‘‘for every one new 

regulation issued, at least two prior 

regulations be identified for elimination, 

and that the cost of planned regulations 

be prudently managed and controlled 

through a budgeting process.’’ 

This interim rule is not a ‘‘significant 

regulatory action,’’ under section 3(f) of 

E.O. 12866. Accordingly, the Office of 

Management and Budget (OMB) has not 

reviewed this regulation. As this rule is 

not a significant regulatory action, this 

rule is exempt from the requirements of 

E.O. 13771. See OMB’s Memorandum 

titled ‘‘Guidance Implementing 

Executive Order 13771, Titled 

‘Reducing Regulation and Controlling 

Regulatory Costs’’’ (April 5, 2017). 

Regulatory Flexibility Act 

The Regulatory Flexibility Act (5 

U.S.C. 601 et seq.), as amended by the 

Small Business Regulatory Enforcement 

and Fairness Act of 1996, requires an 

agency to prepare and make available to 

the public a regulatory flexibility 

analysis that describes the effect of a 

proposed rule on small entities (i.e., 

small businesses, small organizations, 

and small governmental jurisdictions) 

when the agency is required to publish 

a general notice of proposed rulemaking 

for a rule. Since a general notice of 

proposed rulemaking is not necessary 

for this rule, CBP is not required to 

prepare a regulatory flexibility analysis 

for this rule. 

Paperwork Reduction Act (PRA) 

An agency may not conduct or 

sponsor, and a person is not required to 

respond to, a collection of information 

unless it displays a valid OMB control 

number. The information collection 

activities associated with the existing 

requirements related to the submission 

of a TTB Form 5620.8 are currently 

approved by OMB under OMB control 

number 1513–0030. There is no change 

in burden hours as a result of this rule. 

Signing Authority 

This document is being issued in 

accordance with § 0.1(a)(1) of the CBP 

regulations (19 CFR 0.1(a)(1)) pertaining 

to the authority of the Secretary of the 

Treasury (or his or her delegate) to 

approve regulations related to certain 

CBP revenue functions. 

List of Subjects in 19 CFR Part 24 

Accounting, Claims, Harbors, 

Reporting and recordkeeping 

requirements, Taxes. 

Amendments to Part 24 of the CBP 

Regulations 

For the reasons set forth in the 

preamble, 19 CFR part 24 is amended as 

set forth below. 

PART 24—CUSTOMS FINANCIAL AND 

ACCOUNTING PROCEDURE 

■ 1. The general citation for part 24 

continues, and the specific authority 

citation for § 24.36 is revised, to read as 

follows: 

Authority: 5 U.S.C. 301; 19 U.S.C. 58a–58c, 

66, 1202 (General Note 3(i), Harmonized 

Tariff Schedule of the United States), 1505, 

1520, 1624; 26 U.S.C. 4461, 4462; 31 U.S.C. 

3717, 9701; Pub. L. 107–296, 116 Stat. 2135 

(6 U.S.C. 1 et seq.). 

* * * * * 

Section 24.36 also issued under 26 U.S.C. 

6423; Pub. L. 115–97. 

■ 2. In § 24.36: 

■ a. Paragraph (d) introductory text is 

revised; 

■ b. Amend paragraph (d)(8) by 

removing the word ‘‘or’’ at the end of 

the paragraph; 

■ c. Amend paragraph (d)(9) by 

removing the period at the end of the 

paragraph and adding in its place ‘‘; or’’; 

■ d. Paragraph (d)(10) is added; and 

■ e. Paragraphs (e)(1) through (3) are 

revised. 

The revisions and additions read as 

follows: 

§ 24.36 Refunds of excessive duties, 

taxes, etc. 

* * * * * 

(d) The authority of CBP to make 

refunds pursuant to paragraphs (a), (b), 

and (c) of this section of excessive 

deposits of alcohol or tobacco taxes, as 

defined in section 6423(d)(1), Internal 

Revenue Code of 1986, as amended (26 


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Federal Register / Vol. 83, No. 159 / Thursday, August 16, 2018 / Rules and Regulations 40677 

U.S.C. 6423(d)(1)), is confined to cases 

of the types which are excepted from 

the application of section 6423, Internal 

Revenue Code of 1986, as amended (26 

U.S.C. 6423). The excepted types of 

cases and, therefore, the types in which 

CBP is authorized to make refunds of 

such taxes are those in which: 

* * * * * 

(10) For alcohol excise taxes imposed 

under the Internal Revenue Code, the 

refund of tax is claimed pursuant to the 

assignment of a reduced tax rate or tax 

credit to an importer by a foreign 

producer in accordance with CBP 

implementation of sections 13801– 

13808 of Public Law 115–97 (December 

22, 2017). 

(e) * * * 

(1) CBP will provide the following 

notice to the importer of record: ‘‘Claim 

for refund of any overpayment of 

internal revenue tax on this entry must 

be executed and filed with the Director, 

National Revenue Center, Alcohol and 

Tobacco Tax and Trade Bureau (TTB), 

in accordance with TTB regulations 

(Title 27 of the Code of Federal 

Regulations).’’ On request of the 

claimant, CBP will issue a statement 

identifying the entry, showing the 

amount of internal revenue tax 

deposited with respect to each entry for 

which a claim on TTB Form 5620.8 is 

to be made, and showing the date of 

issuance of the notice of refund of duty. 

(2) The claim must be executed on 

TTB Form 5620.8 (Claim—Alcohol, 

Tobacco, and Firearms Taxes) and must 

be filed with the Director, National 

Revenue Center, TTB. The certified 

statement must be attached to and filed 

in support of such claim which may 

include refunds under more than one 

entry but is limited to refunds under 

entries filed at the same port and the 

same internal revenue region. The data 

to be shown on the claim must be as 

prescribed in TTB regulations, with the 

exception that any data on the certified 

statement also required to be shown in 

the claim need not be restated in the 

claim. 

(3) The date of allowance of refund or 

credit in respect of such tax for the 

purposes of section 6407, Internal 

Revenue Code of 1986, as amended (26 

U.S.C. 6407), will be that date on which 

a claim is perfected and the refund is 

authorized for scheduling under the 

applicable TTB regulations. 

Kevin K. McAleenan, 

Commissioner. 

Approved: August 13, 2018. 

Timothy E. Skud, 

Deputy Assistant Secretary of the Treasury. 

[FR Doc. 2018–17710 Filed 8–15–18; 8:45 am] 

BILLING CODE 9111–14–P 

DEPARTMENT OF HOMELAND 

SECURITY 

Coast Guard 

33 CFR Part 100 

[Docket No. USCG–2018–0732] 

RIN 1625–AA08 

Special Local Regulation; Michigan 

Championships; Detroit River; Detroit, 

MI 

AGENCY: Coast Guard, DHS. 

ACTION: Temporary final rule. 

SUMMARY: The Coast Guard is 

establishing a special local regulation 

for certain waters of the Detroit River, 

Detroit, MI. This action is necessary to 

ensure safety of life on navigable waters 

immediately prior to, during, and after 

the swim portion of the Michigan 

Championship Triathlon. 

DATES: This temporary final rule is 

effective from 7 a.m. until 11 a.m. on 

September 2, 2018. 

ADDRESSES: To view documents 

mentioned in this preamble as being 

available in the docket, go to http://

www.regulations.gov, type USCG–2018– 

0732 in the ‘‘SEARCH’’ box and click 

‘‘SEARCH.’’ Click on Open Docket 

Folder on the line associated with this 

rule. 

FOR FURTHER INFORMATION CONTACT: If 

you have questions on this temporary 

rule, call or email Tracy Girard, 

Prevention Department, Sector Detroit, 

Coast Guard; telephone (313) 568–9564, 

or email Tracy.M.Girard@uscg.mil. 

SUPPLEMENTARY INFORMATION: 

I. Table of Abbreviations 

CFR Code of Federal Regulations 

DHS Department of Homeland Security 

FR Federal Register 

NPRM Notice of Proposed Rulemaking 

§ Section 

COTP Captain of the Port 

U.S.C. United States Code 

II. Background Information and 

Regulatory History 

The Coast Guard is issuing this 

temporary rule without prior notice and 

opportunity to comment pursuant to 

authority under section 4(a) of the 

Administrative Procedure Act (APA) (5 

U.S.C. 553(b)). This provision 

authorizes an agency to issue a rule 

without prior notice and opportunity to 

comment when the agency for good 

cause finds that those procedures are 

‘‘impracticable, unnecessary, or contrary 

to the public interest.’’ Under 5 U.S.C. 

553(b) (B), the Coast Guard finds that 

good cause exists for not publishing a 

notice of proposed rulemaking (NPRM) 

with respect to this rule because doing 

so would be impracticable. The Coast 

Guard did not receive the final details 

of this swim event until there was 

insufficient time remaining before the 

event to publish an NPRM. Thus, 

delaying the effective date of this rule to 

wait for a comment period to run would 

be impracticable because it would 

inhibit the Coast Guard’s ability to 

protect participants, mariners and 

vessels from the hazards associated with 

this event. 

Under 5 U.S.C. 553(d)(3), the Coast 

Guard finds that good cause exists for 

making this rule effective less than 30 

days after publication in the Federal 

Register. Delaying the effective date of 

this rule would inhibit the Coast 

Guard’s ability to protect participants, 

mariners and vessels from the hazards 

associated with this event. 

III. Legal Authority and Need for Rule 

The Coast Guard is issuing this rule 

under authority in 33 U.S.C. 1233. The 

Captain of the Port Detroit (COTP) has 

determined that the likely combination 

of recreation vessels, commercial 

vessels, and an unknown number of 

spectators in close proximity to the 

swim portions of a triathlon along the 

water pose extra and unusual hazards to 

public safety and property. Therefore, 

the COTP is establishing a special local 

regulation around the event location to 

help minimize risks to safety of life and 

property during this event. 

IV. Discussion of the Rule 

This rule establishes a temporary 

special local regulation from 7 a.m. until 

11 a.m. on September 2, 2018. In light 

of the aforementioned hazards, the 

COTP has determined that a special 

local regulation is necessary to protect 

spectators, vessels, and participants. 

The special local regulation will 

encompass the following waterway: All 

waters of the Detroit River and Belle Isle 

Beach between the following two lines: 

The first line is drawn directly across 

the channel from position 42°20.517′ N, 

082°59.159′ W to 42°20.705′ N, 

082°59.233′ W (NAD 83); the second 

line, to the north, is drawn directly 


sradovich on DSK3GMQ082PROD with RULES