CHAPTER 4—TONNAGE DUTIES

        

§121. Amount of tonnage duties

Upon vessels which shall be entered in the United States from any foreign port or place there shall be paid duties as follows: On vessels built within the United States but belonging wholly or in part to subjects of foreign powers, at the rate of thirty cents per ton; on other vessels not of the United States, at the rate of fifty cents per ton, and any vessel any officer of which shall not be a citizen of the United States shall pay a tax of fifty cents per ton.

A tonnage duty of 9 cents per ton, not to exceed in the aggregate 45 cents per ton in any one year, for fiscal years 1991 through 2002, and 2 cents per ton, not to exceed in the aggregate 10 cents per ton in any one year, for each fiscal year thereafter is imposed at each entry on all vessels which shall be entered in any port of the United States from any foreign port or place in North America, Central America, the West India Islands, the Bahama Islands, the Bermuda Islands, or the coast of South America bordering on the Caribbean Sea, or Newfoundland, and on all vessels (except vessels of the United States, recreational vessels, and barges, as those terms are defined in section 2101 of title 46) that depart a United States port or place and return to the same port or place without being entered in the United States from another port or place; and a duty of 27 cents per ton, not to exceed $1.35 per ton per annum, for fiscal years 1991 through 2002, and 6 cents per ton, not to exceed 30 cents per ton per annum, for each fiscal year thereafter is imposed at each entry on all vessels which shall be entered in any port of the United States from any other foreign port. However, neither duty shall be imposed on vessels in distress or not engaged in trade.

Upon every vessel not of the United States, which shall be entered in one district from another district, having on board goods, wares, or merchandise taken in one district to be delivered in another district, duties shall be paid at the rate of 50 cents per ton: Provided, That no such duty shall be required where a vessel owned by citizens of the United States, but not a vessel of the United States, after entering an American port, shall, before leaving the same, be registered as a vessel of the United States. On all foreign vessels which shall be entered in the United States from any foreign port or place, to and with which vessels of the United States are not ordinarily permitted to enter and trade, there shall be paid a duty at the rate of $2 per ton; and none of the duties on tonnage above mentioned shall be levied on the vessels of any foreign nation if the President of the United States shall be satisfied that the discriminating or countervailing duties of such foreign nations, so far as they operate to the disadvantage of the United States, have been abolished. Any rights or privileges acquired by any foreign nation under the laws and treaties of the United States relative to the duty of tonnage on vessels shall not be impaired; and any vessel any officer of which shall not be a citizen of the United States shall pay a tax of 50 cents per ton.

(R.S. §4219; Feb. 27, 1877, ch. 69, §1, 19 Stat. 250; June 26, 1884, ch. 121, §14, 23 Stat. 57; Apr. 4, 1888, ch. 61, §1, 25 Stat. 80; Aug. 5, 1909, ch. 6, §36, 36 Stat. 111; Mar. 4, 1915, ch. 171, §1, 38 Stat. 1193; Pub. L. 101–508, title X, §10402(a), Nov. 5, 1990, 104 Stat. 1388–398; Pub. L. 103–66, title IX, §9001(a), (c)(1), Aug. 10, 1993, 107 Stat. 402; Pub. L. 105–33, title IX, §9201(a), Aug. 5, 1997, 111 Stat. 671.)

Codification

R.S. §4219 derived from acts July 20, 1790, ch. 30, §1, 1 Stat. 135; Apr. 27, 1816, ch. 107, §6, 3 Stat. 314; Jan. 14, 1817, ch. 3, §1, 3 Stat. 344; Mar. 1, 1817, ch. 31, §6, 3 Stat. 352; Mar. 3, 1817, ch. 50, 3 Stat. 369; May 31, 1830, ch. 219, §1, 4 Stat. 425; July 14, 1862, ch. 163, §15, 12 Stat. 558; June 28, 1864, ch. 170, 13 Stat. 201; Mar. 3, 1865, ch. 80, §4, 13 Stat. 493.

The first and third paragraphs of this section, with the exception of the proviso in the third paragraph, are from R.S. §4219.

A portion of that section omitted here provided that, in addition to the tonnage duty thereby imposed there should be paid a tax, at the rate of thirty cents per ton, on vessels entered at any custom house from any foreign port or place.

It was probably omitted as superseded and repealed by act June 26, 1884, as amended by acts June 19, 1886, ch. 421, §11, 24 Stat. 81; Apr. 4, 1888, and Aug. 5, 1909.

Another portion of the original text, concerning the impairment of rights and privileges of foreign nations under laws and treaties was probably omitted as sufficiently covered by the similar provision near the end of the section.

The second paragraph of this section is from act Aug. 5, 1909, §36. Portions of that paragraph omitted here, fixed the time of its taking effect, repealed R.S. §4232, act June 19, 1886, ch. 421, §§11 and 12, 24 Stat. 81, and so much of R.S. §4219 as conflicted therewith, and provided that it should not be construed to amend or repeal R.S. §2792, as amended, act May 28, 1908, ch. 212, §5, 35 Stat. 425, or R.S. §2793. That paragraph was expressly excepted from repeal by Underwood Tariff Act Oct. 13, 1913, ch. 16, §IV, S, 38 Stat. 201.

The proviso in the third paragraph of this section is based on act Mar. 4, 1915. Other provisions of that act are classified to section 128 of this Appendix, and sections 128 and 131 of Title 19, Customs Duties.

So much of act June 19, 1886, ch. 421, §11, 24 Stat. 81, as exempted any yacht built outside the United States, and owned, chartered or used by a citizen of the United States, from the payment of tonnage taxes, was repealed by act Feb. 5, 1897, ch. 167, §2, 29 Stat. 511. Act June 19, 1886, having been repealed as above stated section 2 of act Feb. 5, 1897, ch. 167, is no longer operative.

Section 12 of act June 19, 1886, which was repealed by the Payne-Aldrich Tariff Act of Aug. 5, 1909, §36, directed the President to cause the Governments of foreign countries, which, at any of their ports, imposed on American vessels a tonnage tax or light house dues, etc., to be informed of the provisions of section 11, and invited to co-operate with the Government of the United States in abolishing light house dues, etc.

R.S. §4223, provided that the tonnage duty imposed on all vessels engaged in foreign commerce should be levied but once within a year, and that when paid no further tonnage tax should be collected within one year from the date of such payment, not being applicable, however, to foreign vessels entered in the United States from any foreign port, to and with which vessels of the United States were not ordinarily permitted to enter and trade.

R.S. §4224, provided that vessels paying tonnage duties once a year should pay them at their first clearance from or entry at, according to priority, a custom house in the United States in each calendar year, but that it should not prevent customs officers from collecting such tonnage duty at the entry of vessels at their respective custom houses during the calendar year if the same had not previously been paid for such year.

Both these sections were repealed by act June 26, 1884, as amended by act June 19, 1886, ch. 421, §11, 24 Stat. 81.

Act June 19, 1878, ch. 318, 20 Stat. 171, amended R.S. §2931, by providing that it should not apply to cases of the payment of tonnage tax on vessels where the Secretary of the Treasury and the Attorney General were satisfied that the exaction of the tax was in contravention of treaty provisions. R.S. §2931, which provided for an appeal to the Secretary of the Treasury from the decision of the collector of customs as to the rate and amount of tonnage duties, etc., was repealed by act June 10, 1890, ch. 407, §29, 26 Stat. 141. Act June 19, 1878, further provided that the Secretary of the Treasury might draw his warrant for the refund of taxes so illegally exacted, as provided for by R.S. §3012½. R.S. §3012½, was also repealed by act June 10, 1890, §29. By the repeal of R.S. §§2931, 3012½, act June 19, 1878, ch. 318, became inoperative.

Act Feb. 10, 1900, ch. 15, §2, 31 Stat. 27, authorized the Secretary of the Treasury to refund tonnage taxes and light dues imposed on vessels owned by citizens of Cuba entering ports of the United States since Apr. 11, 1899, which had been in excess of the taxes prescribed by act June 19, 1886, ch. 421, §11, 24 Stat. 81. It was doubtless omitted from the code as executed.

R.S. §4232, repealed by the same section, provided that mail steamships employed in the mail-service between the United States and Brazil, should be exempt from all port charges and customs dues at the port of departure and arrival in the United States, if and so long as a similar immunity from port charges and custom-house charges was granted by the government of Brazil.

Section 37 of act Aug. 5, 1909, which provided for a tonnage tax on foreign built yachts, pleasure boats or vessels, not used or intended to be used for trade, owned, or chartered for more than six months by citizens of the United States, or, in lieu thereof, an ad valorem duty, and entitled such yachts, etc., upon payment thereof to all the privileges, subjected them to all the requirements prescribed by R.S. §§4214, 4215, 4217, 4218, and acts amendatory thereof, in the same manner as if they had been built in the United States, subjected such yachts, etc., to tonnage duty and light money only in the same manner as if they had been built in the United States, repealed so much of act May 28, 1908, ch. 212, §5, 35 Stat. 425, as related to yachts built outside the United States and owned by citizens of the United States, and provided that the section should not apply to foreign built vessels admitted to American registry, was repealed by the Underwood Tariff Act of Oct. 13, 1913, ch. 16, §IV, S, 38 Stat. 201.

Act June 5, 1920, ch. 250, §34, 41 Stat. 1007, directed the President to give notice to terminate provisions of treaties or conventions restricting the right of the United States to impose discriminating customs duties and tonnage dues. It was doubtless omitted as temporary and executed.

Amendments

1997—Second par. Pub. L. 105–33 substituted "for fiscal years 1991 through 2002," for "for fiscal years 1991, 1992, 1993, 1994, 1995, 1996, 1997, 1998," in two places.

1993—Second par. Pub. L. 103–66, §9001(c)(1), made technical correction to directory language of Pub. L. 101–508. See 1990 Amendment note below.

Pub. L. 103–66, §9001(a), substituted "1995, 1996, 1997, 1998," for "and 1995," in two places, "port or place; and a duty" for "port or place, and a duty", and "port. However, neither duty shall be imposed on vessels in distress or not engaged in trade" for "port, not, however, to include vessels in distress or not engaged in trade".

1990—Second par. Pub. L. 101–508, as amended by Pub. L. 103–66, §9001(c)(1), substituted "9 cents per ton, not to exceed in the aggregate 45 cents per ton in any one year, for fiscal years 1991, 1992, 1993, 1994, and 1995, and 2 cents per ton, not to exceed in the aggregate 10 cents per ton in any one year, for each fiscal year thereafter" for "two cents per ton, not to exceed in the aggregate ten cents per ton in any one year,", inserted "and on all vessels (except vessels of the United States, recreational vessels, and barges, as those terms are defined in section 2101 of title 46) that depart a United States port or place and return to the same port or place without being entered in the United States from another port or place," after "Newfoundland,", and substituted "27 cents per ton, not to exceed $1.35 per ton per annum, for fiscal years 1991, 1992, 1993, 1994, and 1995, and 6 cents per ton, not to exceed 30 cents per ton per annum, for each fiscal year thereafter" for "six cents per ton, not to exceed thirty cents per ton per annum,".

Effective Date of 1993 Amendment

Section 9001(c)(2) of Pub. L. 103–66 provided that: "The amendment made by paragraph (1) [amending this section] shall be effective on and after November 5, 1990."

Offsetting Receipts

Section 10402(c) of Pub. L. 101–508 provided that: "Increased tonnage charges collected as a result of the amendments made by subsection (a) [amending this section] shall be deposited in the general fund of the Treasury as offsetting receipts of the department in which the Coast Guard is operating and ascribed to Coast Guard activities."

Nonliability of Customs Collectors and Vessels Before October 1, 1940

Act May 16, 1947, ch. 71, 61 Stat. 97, made collectors of customs and vessels themselves not liable for failure to collect special tonnage duties or light money under this section or section 128 of this Appendix in connection with the entry prior to Oct. 1, 1940, of any foreign vessel from a foreign port.

Cross References

Hospital ships in time of war, see section 133 of this Appendix.

Suspension of operation of section by President, see section 141 of this Appendix.

Vessels evading provisions relating to transportation between ports in the United States by foreign vessels, tonnage duties on, see section 1588 of Title 19, Customs Duties.

Vessels not entering by sea to be exempt from tonnage duty of 2 cents per ton, not to exceed in the aggregate 10 cents per ton in any one year, see section 132 of this Appendix.

Section Referred to in Other Sections

This section is referred to in sections 132, 141 of this Appendix.

§122. Coasting and fishing vessels

No vessel belonging to any citizen of the United States, trading from one port within the United States to another port within the United States, or employed in the bank, whale, or other fisheries, shall be subject to tonnage tax or duty, if such vessel be licensed, registered, or enrolled.

(R.S. §4220.)

Codification

R.S. §4220 derived from acts July 14, 1870, ch. 255, §25, 16 Stat. 269; Apr. 18, 1874, ch. 110, 18 Stat. 31.

Cross References

Documentation of vessels, see section 12101 et seq. of Title 46, Shipping.

Regulation of vessels in domestic commerce, see section 251 et seq. of this Appendix.

§123. Documented vessels with registry endorsement in trade with Canada

Documented vessels with a registry endorsement, engaged in foreign trade on the Great Lakes or their tributary or connecting waters in trade with Canada, shall not thereby become liable to the payment of tonnage tax.

(R.S. §2793; Sept. 25, 1941, ch. 423, 55 Stat. 733; Pub. L. 103–182, title VI, §686(a)(1), Dec. 8, 1993, 107 Stat. 2220; Pub. L. 104–324, title XI, §1115(b)(4), Oct. 19, 1996, 110 Stat. 3972.)

Codification

R.S. §2793 derived from J. Res. Feb. 10, 1871, No. 27, §2, 16 Stat. 595.

Provision of R.S. §2793 respecting payment of entry and clearance fee is classified to section 111 of this Appendix, and section 288 of Title 19, Customs Duties.

Amendments

1996—Pub. L. 104–324 substituted "registry endorsement, engaged in foreign trade on the Great Lakes or their tributary or connecting waters in trade with Canada," for "coastwise, Great Lakes endorsement, departing from or arriving at a port in one district to or from a port in another district, and also touching at intermediate foreign ports," and struck out ", as if from or to foreign ports" after "tonnage tax".

1993—Pub. L. 103–182 substituted "Documented vessels with a coastwise, Great Lakes endorsement," for "Enrolled or licensed vessels engaged in the foreign and coasting trade on the northern, northeastern, and northwestern frontiers of the United States," and a period for "; but such vessel shall, notwithstanding, be required to enter and clear; except that when such vessels are on such voyages on the Great Lakes and touch at foreign ports for the purpose of taking on bunker fuel only, they may be exempted from entering and clearing under such rules and regulations as the Secretary of Commerce may prescribe, notwithstanding any other provisions of law: Provided, That this exception shall not apply to such vessels if, while at such foreign port, they land or take on board any passengers, or any merchandise other than bunker fuel, receive orders, discharge any seamen by mutual consent, or engage any seamen to replace those discharged by mutual consent, or transact any other business save that of taking on bunker fuel."

1941—Act Sept. 25, 1941, inserted exception and proviso at end of section.

Cross References

Vessels not required to make entry, see section 1441 of Title 19, Customs Duties.

§124. Passenger vessels trading between ports of United States and foreign ports

Any passenger vessel engaged triweekly or oftener in trade between ports of the United States and foreign ports shall be exempt from tonnage taxes while such service triweekly or oftener is maintained.

(R.S. §2792; May 28, 1908, ch. 212, §1, 35 Stat. 424.)

Codification

R.S. §2792 derived from act June 4, 1872, ch. 280, 17 Stat. 214.

Provisions of R.S. §2792 as originally enacted were classified to section 110 of former Title 46, Shipping, and, in part, to section 289 of Title 19, Customs Duties.

The provision of this section which was added to R.S. §2792 by act May 28, 1908, was also classified, in part, to section 112 of former Title 46 and section 289 of Title 19.

§125. Vessels making daily trips on interior waters

In cases of vessels making regular daily trips between any port of the United States and any port in the Dominion of Canada, wholly upon interior waters not navigable to the ocean, no tonnage fees shall be charged against such vessel by the officers of the United States, except upon the first clearing of such vessel in each year.

(R.S. §4221.)

Codification

R.S. §4221 derived from act Mar. 3, 1869, ch. 125, §3, 15 Stat. 322.

Provision of R.S. §4221 respecting clearance fees was classified to section 113 of former Title 46, Shipping.

§128. Light money

A duty of 50 cents per ton, to be denominated "light money", shall be levied and collected on all vessels not of the United States which may enter the ports of the United States. Such light money shall be levied and collected in the same manner and under the same regulations as the tonnage duties: Provided, That no such duty shall be required where a vessel owned by citizens of the United States, but not a vessel of the United States, after entering an American port, shall, before leaving the same, be registered as a vessel of the United States.

(R.S. §4225; Mar. 4, 1915, ch. 171, §1, 38 Stat. 1193.)

Codification

R.S. §4225 derived from act Mar. 27, 1804, ch. 57, §6, 2 Stat. 300.

The proviso of this section is from act Mar. 4, 1915. Other provisions of the act are classified to section 121 of this Appendix and sections 128 and 131 of Title 19, Customs Duties.

Section Referred to in Other Sections

This section is referred to in section 129 of this Appendix.

§129. Exemption of unregistered vessels owned by citizens

Section 128 of this Appendix shall not be deemed to operate upon unregistered vessels, owned by citizens of the United States, and carrying regular documents, issued from a customhouse of the United States, proving the vessel to be American property. Upon the entry of every such vessel from any foreign port, if the same shall be at the port at which the owner or any of the part owners reside, such owner or part owners shall make oath that the document possessed by such vessel contains the name or names of all the persons who are then the owners of the vessel; or if any part of such vessel has been sold or transferred since the date of such document, that such is the case, and that no foreign subject or citizen has, to the best of his knowledge and belief, any share, by way of trust, confidence, or otherwise, in such vessel. If the owner or any part owner does not reside at the port or place at which such vessel shall enter, then the master shall make oath to the like effect. If the owner or part owner, where there is one, or the master, where there is no owner, shall refuse to so swear, such vessel shall not be entitled to the privileges granted by this section.

(R.S. §4226.)

Codification

R.S. §4226 derived from act Mar. 3, 1805, ch. 40, 2 Stat. 339.

As originally enacted, this section contained a reference to vessels carrying sea letters. The use of such documents was discontinued by Presidential proclamation on Apr. 10, 1815.

§132. Vessels not entering by sea

Vessels entering otherwise than by sea from a foreign port at which tonnage or lighthouse dues or other equivalent tax or taxes are not imposed on vessels of the United States shall be exempt from the tonnage duty of 9 cents per ton, not to exceed in the aggregate 45 cents per ton in any one year, for fiscal years 1991 through 2002, and 2 cents per ton, not to exceed in the aggregate 10 cents per ton in any one year, for each fiscal year thereafter, prescribed by section 121 of this Appendix.

(Mar. 8, 1910, ch. 86, 36 Stat. 234; Pub. L. 101–508, title X, §10402(b), Nov. 5, 1990, 104 Stat. 1388–399; Pub. L. 103–66, title IX, §9001(b), Aug. 10, 1993, 107 Stat. 402; Pub. L. 105–33, title IX, §9201(b), Aug. 5, 1997, 111 Stat. 671.)

Amendments

1997—Pub. L. 105–33 which directed substitution of "for fiscal years 1991 through 2002," for "for fiscal years 1991, 1992, 1993, 1994, 1995, 1996, 1997, 1998,", was executed by making the substitution for "for fiscal years 1991, 1992, 1993, 1994, 1995, 1996, 1997, and 1998," to reflect the probable intent of Congress.

1993—Pub. L. 103–66 substituted "1995, 1996, 1997, and 1998," for "and 1995,".

1990—Pub. L. 101–508 substituted "9 cents per ton, not to exceed in the aggregate 45 cents per ton in any one year, for fiscal years 1991, 1992, 1993, 1994, and 1995, and 2 cents per ton, not to exceed in the aggregate 10 cents per ton in any one year, for each fiscal year thereafter" for "two cents per ton, not to exceed in the aggregate ten cents per ton in any one year".

§133. Hospital ships in time of war

Hospital ships, concerning which the conditions set forth in articles 1, 2, and 3 of the convention concluded at The Hague on July 29, 1899, for the adaptation to maritime warfare of the principles of the Geneva convention of August 22, 1864, are fulfilled, shall, in the ports of the United States and the possessions thereof, be exempted, in time of war, from all dues and taxes imposed on vessels by the laws of the United States, and from all pilotage charges.

(Mar. 24, 1908, ch. 96, §1, 35 Stat. 46.)

Section Referred to in Other Sections

This section is referred to in section 134 of this Appendix.

§134. Designation by President of hospital ships exempted

The President of the United States shall by proclamation name the hospital ships to which section 133 of this Appendix shall apply, and shall indicate the time when the exemptions provided for shall begin and end.

(Mar. 24, 1908, ch. 96, §2, 35 Stat. 46.)

Delegation of Functions

For delegation to Secretary of the Treasury of authority vested in President by this section, see section 1(e) of Ex. Ord. No. 10289, eff. Sept. 17, 1951, 16 F.R. 9499, set out as a note under section 301 of Title 3, The President.

§135. Rights under treaties preserved

Nothing contained in title 48 of the Revised Statutes shall be deemed in anywise to impair any rights and privileges which have been or may be acquired by any foreign nation under the laws and treaties of the United States relative to the duty on tonnage of vessels, or any other duty on vessels.

(R.S. §4227.)

References in Text

Title 48 of the Revised Statutes, referred to in text, was in the original "this Title", meaning title 48 of the Revised Statutes, consisting of R.S. §§4131 to 4305. For complete classification of R.S. §§4131 to 4305 to the Code, see Tables.

Codification

R.S. §4227 derived from acts Apr. 27, 1816, ch. 107, §6, 3 Stat. 314; Jan. 14, 1817, ch. 3, §1, 3 Stat. 344; July 14, 1862, ch. 163, §15, 12 Stat. 558.