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QID - 26669

A vessel puts into the port of Kobe, Japan to discharge cargo. While awaiting completion of the cargo operation, the vessel contracts with a local shipyard to have the hull chipped, scaled, and painted. How is the cost of this maintenance handled with the Collector of Customs?

A declaration is made, but duty is charged on the labor only. 
            
No declaration is required since this is considered routine maintenance. 
            
A declaration is required and duty is involved on the total cost. 
            
A declaration is made and duty is charged on the materials only. 
            

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