Bill · H.R. 1840· House(119-HR-1840)
Closing the De Minimis Loophole Act
- Introduced
- 3/4/2025
- Last activity
- 3/4/2025 — Referred to the House Committee on Ways and Means.
- Sponsored by
- Linda Sánchez
- Cosponsors
- - 2 - 0
- Introduced
- In Committee
What this bill would do
The ``Closing the De Minimis Loophole Act'' aims to phase out de minimis treatment under the Tariff Act of 1930. It amends the Tariff Act to remove certain privileges regarding the entry of articles. Changes take effect immediately for articles originating in China, with some transit exceptions. For articles from other countries, the changes apply 120 days after the Act is enacted. The Secretary of the Treasury is tasked with creating new rules for entry procedures, data requirements, and penalties.
Yes
Does this raise the taxes companies pay?+5
The bill removes de minimis tax exemptions, which will lead to the collection of duties and taxes on many previously exempt imports.
Does this make the government pay for what it commits to?+4
The bill enhances the efficient and accurate collection of duties, fees, and taxes through new entry procedures.
Does this make what the government does easier for the public to see?+2
The bill requires more detailed data and HTS identification for imported articles.
The opposite
Would business owners be better off under this?-4
The bill imposes new documentation, data requirements, and potential penalties on importers.
Does this make trade with other countries easier?-3
The bill increases the regulatory and documentation burden on entities making international entries.
Would households on low incomes be better off under this?-2
The removal of de minimis treatment may lead to higher costs for low-priced goods imported by consumers.
Who it would affect, and how
Potential Positive Impacts for People
-
Effective Enforcement and Revenue Collection: Under Section 2(c)(2), new rules for data requirements and entry procedures are intended to ensure the effective enforcement of United States laws and the efficient and accurate collection of duties, fees, and taxes.
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Deterrence of Illegal Activity: According to Section 2(c)(3), new regulations and guidance regarding penalties and liabilities are meant to deter unlawful or fraudulent activity and ensure accurate documentation.
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Consistency in Postal Shipments: Section 2(d) directs the Secretary of the Treasury to work with the Postmaster General to determine fees and procedures that ensure consistency between shipments sent through the international postal network and other shipments.
Potential Negative Impacts for People
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Increased Requirements for Importers: Section 2(c)(2) indicates that entities making entries may be required to provide specific identification of HTS heading or subheading numbers, including at the 10-digit level.
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New Fees and Procedures for Postal Shipments: Section 2(d) involves the determination of new appropriate fees and procedures for shipments sent through the international postal network.
Groups and Interests Ranking
Every group the model scored this bill for, from -10 to +10. Hover a score for the reason it gave.
- Economy And Finance
- Increases Corporate Taxes+5Improves Fiscal Responsibility+4
- Demographic And Interest Groups
- Good For Business Owners-4Good For Low Income Households-2
- National Security And Foreign Policy
- Improves International Trade-3
- Governance And Ideology
- Improves Government Transparency+2
- 6/5/2025
- 2 Cosponsors added.
- 3/4/2025
- Referred to the House Committee on Ways and Means.
- Introduced in House
One bill Congress.gov lists as related to this one — companions in the other chamber, earlier versions, and bills this one absorbed or was folded into.
Adriano EspaillatDemocrat · New York
Thomas SuozziDemocrat · New York