I

104TH CONGRESS

2D SESSION H. R. 3615

To amend the Harmonized Tariff Schedule of the United States to correct

the tariff treatment of certain silver and gold bars, and for other purposes.

IN THE HOUSE OF REPRESENTATIVES

JUNE 11, 1996

Mrs. VUCANOVICH (for herself, Mr. ENSIGN and Mr. HAYES) introduced the

following bill; which was referred to the Committee on Ways and Means

A BILL

To amend the Harmonized Tariff Schedule of the United

States to correct the tariff treatment of certain silver

and gold bars, and for other purposes.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,

3 SECTION 1. TARIFF TREATMENT OF CERTAIN SILVER AND

4 GOLD BARS.

5 (a) IN GENERAL.—Subchapter II of chapter 71 of

6 the Harmonized Tariff Schedule of the United States is

7 amended—

8 (1) by striking subheading 7106.92.00 and in9 serting in numerical sequence the following new sub10 headings and superior text thereto, with such text
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1 having the same degree of indentation as subheading

2 7106.91:

‘‘ 7106.92 Semimanufactured:

7106.92.10 In bar or bar-like shape,

having a purity of 99.5

percent or higher and not

otherwise marked or decorated than with weight,

purity or other identifying

information ....................... Free Free

7106.92.50 Other: ............................... 4.8% Free (A, CA,

E, IL, J, MX)

65%

’’;

3 (2) by striking subheading 7108.13.50 and in4 serting in numerical sequence the following new sub5 headings and superior text thereto, with such text

6 having the same degree of indentation as subheading

7 7108.13.10:

‘‘ 7108.13.55 Other:

In bar or bar-like

shape, having a purity

of 99.5 percent or

higher and not otherwise marked or decorated than with weight,

purity or other identifying information ........ Free Free

7108.13.70 Other ........................... 6.6% Free (CA, E,

IL, J, MX)

65% ’’;

and

8 (3) by striking subheadings 7115.90.10 through

9 7115.90.50 and inserting in numerical sequence the

10 following new subheadings and superior text, with

11 the article description for subheading 7115.90.15

12 having the same degree of indentation as the article

13 description of subheading 7116.10.10:
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‘‘ 7115.90.15 Gold, not clad with precious

metal, in bar or bar-like

shape, having a purity of

99.5 percent or higher and

not otherwise marked or

decorated than with weight,

purity or other identifying

information ........................... Free Free

7115.90.25 Silver, not clad with precious

metal, in bar or bar-like

shape, having a purity of

99.5 percent or higher and

not otherwise marked or

decorated than with weight,

purity or other identifying

information ........................... Free Free

Other:

7115.90.30 Of gold, including metal

clad with gold ................... 6.2% Free (A, CA,

E, IL, J, MX)

110%

7115.90.40 Of silver, including metal

clad with silver ................. 4.8% Free (A, CA,

E, IL, J, MX)

65%

7115.90.60 Other ................................ 6.4% Free (A, CA,

E, IL, J, MX)

65%

’’.

1 (b) STAGED RATE REDUCTIONS.—Any staged rate

2 reduction that was proclaimed by the President before the

3 date of the enactment of this Act to take effect on or after

4 the date of the enactment of this Act—

5 (1) of a rate of duty set forth in subheading

6 7106.92.00 of the Harmonized Tariff Schedule of

7 the United States shall apply to the corresponding

8 rate of duty in subheading 7106.92.50 of such

9 Schedule (as added by subsection (a)(1));

10 (2) of a rate of duty set forth in subheading

11 7108.13.50 shall apply to the corresponding rate of

12 duty in subheading 7108.13.70 of such Schedule (as

13 added by subsection (a)(2));

14 (3) of a rate of duty set forth in subheading

15 7115.90.10 shall apply to the corresponding rate of
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1 duty in subheading 7115.90.30 of such Schedule (as

2 added by subsection (a)(3));

3 (4) of a rate of duty set forth in subheading

4 7115.90.20 shall apply to the corresponding rate of

5 duty in subheading 7115.90.40 of such Schedule (as

6 added by subsection (a)(3)); and

7 (5) of a rate of duty set forth in subheading

8 7115.90.50 shall apply to the corresponding rate of

9 duty in subheading 7115.90.60 of such Schedule (as

10 added by subsection (a)(3)).

11 (c) EFFECTIVE DATE.—The amendments made by

12 this section shall apply with respect to goods that are en13 tered, or withdrawn from warehouse for consumption, on

14 or after the date that is 15 days after the date of enact15 ment of this Act.

16 SEC. 2. CERTAIN COINS AND BULLION NOT TREATED AS

17 COLLECTIBLES.

18 (a) IN GENERAL.—Paragraph (3) of section 408(m)

19 of the Internal Revenue Code of 1986 (relating to excep20 tion for certain coins) is amended to read as follows:

21 ‘‘(3) EXCEPTION FOR CERTAIN COINS AND BUL22 LION.—For purposes of this subsection, the term

23 ‘collectible’ shall not include—

24 ‘‘(A) any coin certified by a recognized

25 grading service and traded on a nationally rec-
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1 ognized electronic network, or listed by a recog2 nized wholesale reporting service, and—

3 ‘‘(i) which is or was at any time legal

4 tender in the country of issuance, or

5 ‘‘(ii) issued under the laws of any

6 State, and

7 ‘‘(B) any gold, silver, platinum, or palla8 dium bullion (whether fabricated in the form of

9 a coin or otherwise) of a fineness equal to or

10 exceeding the minimum fineness required for

11 metals which may be delivered in satisfaction of

12 a regulated futures contract (as defined in sec13 tion 1256(g)(1)) traded on a contract market

14 designated by the Commodity Futures Trading

15 Commission under the Commodity Exchange

16 Act,

17 if such coin or bullion is in the physical possession

18 of a trustee described under subsection (a) of this

19 section.’’

20 (b) EFFECTIVE DATE.—The amendment made by

21 this section shall apply to taxable years beginning after

22 December 31, 1995.

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