Navigating U.S. Customs & Duties

This question is asked a lot by those wondering whether they must declare their personal jewelry (small objects of personal adornment regardless of value) valued over $10,000 to U.S. Customs and Border Protection when entering or leaving the United States.

We are focused on our 24k jewelry, produced in the US under www.rhodes24k.com, without gems that are considered “small objects of personal adornment” regardless of value. With our jewelry, there is no obligation … the law says at best says you “should”.

As of 2024, jewelry is not considered a currency or monetary instrument for purposes of needing to declare carrying over $10,000 in currency or monetary instruments according to U.S. law. But that is a simple but incomplete answer to us as bullion is also not considered a currency or monetary instrument but it must be declared, as, Office of Foreign Assets Control has a list of prohibited countries that these things cannot originate from (like Iran, Sudan or Cuba) because it raises issues of national security and terrorism … but personal jewelry continues not fall into this bullion which requires disclosure. Additionally, we are not addressing jewelry where gemstones exceed $2500.00 in value, as there could be issues around country of origin and commercial importing laws from the U.S. Customs perspective. We are focused on our 24k jewelry without gems that is considered “small objects of personal adornment” regardless of value. With our jewelry, there is no obligation … the law says at best says you “should”.

Personal jewelry, at best, is a “should” disclose. The language used by U.S. Customs is “should” file a CPB Form 3311. Why “should” you? From the U.S. Customs point of view, the government claims an interest in knowing your business because they want to know whether “duty-free status” should be imputed for “American-made” goods, but … if you carefully read their interpretation of the law … it is NOT mandatory, as they have no “legal” right to regulate it. So why do they say should? What they want to do, to their benefit, is save time by having you register something in advance that you never need to register to begin with, and in general, isn’t checked unless it is pushed in their face (think wearing a gem-studded million-dollar crown in a TSA line vs. one of our custom Airtag holders).

Well, what happens if I don’t? Worst case scenario as we see it, is you must be able to prove American made or you will end up paying taxes based on the “Harmonized Tariff Schedule of the United States”, which can vary depending on where they claim you may have bought it from … as long as you are claiming “small objects of personal adornment” (if they claim your commercial that’s a different story. Pendants, belt buckles, and phone cases come to mind as travel-friendly items in our collection of 24k jewelry. Keep in mind, the U.S. Customs and Border Protection also tells you what works as proof of American made when they give you a form to preregister serialized jewelry, which states, “ jewelry appraisal, jewelry insurance policy or receipt” and “may accept a photo taken of you with the jewelry in your possession prior to your travels”. We say show them a receipt for purchasing our goods … or in a pinch, our company’s trademarkis also laser engraved. So disclose or not, keep a digital copy of our email receipt searchable in your email if you ever need it, or, in a pinch, you can show them a photo of you prior to the trip, and they “may” accept it. Otherwise, you may pick up a tariff charge of 3% or higher, depending on how they classify your jewelry and country of origin with a “Harmonizing Tariff”, and if you're rude, who knows, maybe a worse one. Our point, know the law but be nice.

We put all the links in this article so you can double check our opinion, but here are relevant parts of the United States code as well:

31 CFR § 1010.100 (dd) defines “monetary instrument” as:

- Currency

- Traveler’s checks in any form

- All negotiable instruments (including personal checks, business checks, official bank checks, cashier’s checks, third-party checks, promissory notes, and money orders) that are either, in bearer form, endorsed without restriction, made out to a fictitious payee, or otherwise in such form that title passes upon delivery

- Incomplete instruments (including personal checks, business checks, official bank checks, cashiers’ checks, third-party checks, promissory notes, and money orders) signed but with the payee’s name omitted

- securities or stock in bearer form or otherwise, in such form that title passes thereto upon delivery.

19 CFR § 1010.100(m) defines “currency” as:

- the coin and paper money of the United States or of any other country that: (1) is designated as legal tender, (2) circulates, and (3) is customarily used and accepted as a medium of exchange in the country of issuance.

- Currency includes U.S. silver certificates, U.S. notes, and Federal Reserve notes.

- Currency also includes official foreign banknotes that are customarily used and accepted as a medium of exchange in a foreign country.

Coins of precious metals, including silver and gold, do not fall into the definition of “monetary instrument” or “currency.” However, coins of precious metals must be declared as merchandise if they are acquired abroad. Other articles of precious metals (including gold bullion, gold bars, and gold jewelry) also do not fall into the definition of “monetary instrument” or “currency.” However, these articles must also be declared as merchandise if they are acquired abroad.

Reference:

Currency / Monetary Instruments - Definition of Negotiable Monetary Instruments for currency reporting requirements. https://www.help.cbp.gov/s/article/Article-1413?language=en_US

Article Number
000001413
Date Published
8/2/2024