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License Exceptions and Exemptions

Both the Departments of Commerce (BIS-EAR) and State (DDTC-ITAR) regulations contain license exemptions/exceptions that exporters can utilize to make exports without the need for an export license. In addition, the Bureau of Alcohol Tobacco, Firearms and Explosives regulation (ATF- Importation of Arms, Ammunition and Implements of War) also contains exemptions to the requirement for an import permit for the importation of Defense Articles.
  • Department of Commerce (BIS) – License Exceptions
    • Authorization by the Department of Commerce that allows a person to export or re-export under stated conditions, items subject to the Export Administration Regulations (EAR) that would otherwise require a license
  • Department of State (DDTC) – License Exemptions
    • Authorization by the Department of State for a person to approve, for their company, the export, re-export, or temporary import of items contained on the US Munitions List without a license/agreement
    • Bureau of Alcohol Tobacco and Firearms and Explosives (ATF) – Permit Exemptions
    • Authorization by the Bureau of Alcohol Tobacco, Firearms and Explosives for a person to approve, for their company, the permanent import of items contained on the US Munitions Import List without a permit

By using any license exemptions/exceptions the exporter/importer is certifying that the terms, provisions, and conditions for the use of the exemption/exception as described in the regulations have been met

There are numerous exceptions and exemptions available to exporters and importers, but determining which one to use and whether it fits a particular transaction can often be a confusing and difficult exercise. In addition, there can be numerous administrative, shipping, certification and/or reporting requirements associated with their use.

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ITC Strategies is well versed in all the US Government exemptions and exceptions available for use by exporters and importers. We can assist companies in determining their applicability for a particular transaction, how to utilize them correctly when making a shipment or export, and what is needed in terms of the associated follow-on requirements.

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