PART 802-ANNUAL REPORTING OF REVENUES FOR CARRYING IMPORTS TO, AND EXPENDITURES IN, THE UNITED STATES OF SHIPPING AND AIR TRANSPORT OPERATORS OF FOREIGN NATIONALITY

Sec.

802.1 Who must report.

802.2 Forms to be used.

802.3 Information to be furnished. 802.4 Time and place of filing reports.

AUTHORITY: R.S. 161; 5 U.S.C. 301. Interpret or apply sec. 8, 59 Stat. 515; 22 U.S.C. 286f, E.O. 10033, 14 FR 561, 3 CFR, 1949 Supp.

SOURCE: 17 FR 4922, May 30, 1952, unless otherwise noted. Redesignated at 18 FR 8111, Dec. 10, 1953.

§ 802.1 Who must report.

(a)(1) A report is required from or on behalf of every foreign individual or organization incorporated, licensed or otherwise granted permission in countries other than the United States to operate vessels or aircraft if engaged in carrying goods or passengers to or from the United States. Agents or operating agents must respond where acting for foreign operators, unless the operator has his own office in the United States to which the agent is accountable or unless the operator elects to report directly from his home office.

(2) The Department of Commerce may in lieu of individual reports required under this part, accept consolidated reports from foreign governments covering the operations of their national shipping concerns when, in its discretion, such consolidated reports would provide the information required by this part. Where such reports are accepted, the individual reports from operators or their agents will not be required.

(b) The foreign operator, for purposes of this part, means the owner, managing or operating owner, chartered owner, or subchartered owner who enters into and carries out any form of transportation contract with the shippers of merchandise or with passengers.

(c) If foreign-owned vessels or aircraft are chartered to other foreign operators, the owner should report his

expenses in the United States, if any, and the operator should report the freight or charter revenue earned from the shippers of merchandise and his expenses in the United States.

(d) If foreign-owned vessels or aircraft are chartered to a United States operator, the owner should report his expenses in the United States, if any.

(e) Reports submitted by agents should include all disbursements accounted for directly by them to the foreign company at its foreign office; if subagents report through a principal agent in the same or another location, the principal agent should file a consolidated report on behalf of the foreign company.

§ 802.2 Forms to be used.

§ 802.3 Information to be furnished.

The information required for balance-of-payments purposes consists of the earnings of foreign operators from the carriage of imports into the United States and their total expenses incurred in the United States on both passenger and freight operations, including overhead. Voluntary replies to questions 5, 6, 7 and 8 on Form BE-29 (vessel operators) regarding earnings on exports and movements in accounts due to or payable from home offices of foreign branches in the United States are requested but are not required by law.

§ 802.4 Time and place of filing reports.

Reports shall be filed annually on or before March 31 of each year to cover operations of the preceding calendar year, except that a report covering operations for 1951 shall be filed on or before June 30, 1952. Reports shall be filed with the Department of Commerce, Bureau of Economic Analysis, Balance of Payments Division, Washington, D.C. 20230.

[17 FR 4922, May 30, 1952, as amended at 39 FR 44441, Dec. 24, 1974]

'Filed with the Office of the Federal Register as part of the original document.

PART 803-REPORTS ON INTERNATIONAL TRANSACTIONS IN ROYALTIES AND FEES WITH UNAFFILIATED FOREIGN RESIDENTS

Sec.

803.1 Purpose.

803.2 Who must report.

803.3 Form to be used, frequently of reports, and place of filing.

803.4 Exemptions.
803.5 General definitions.

AUTHORITY: Reports on Form BE-93 are mandatory under Section 8(b) of the Bretton Woods Agreements Act (59 Stat. 515, 22 U.S.C. 286f). All replies will be held in confidence under the provisions of Section 8(c) of that Act (22 U.S.C. 286f(c)) and Section 4(b) of the Federal Act (44 U.S.C. Section 3509).

SOURCE: 42 FR 64314, Dec. 22, 1977, unless otherwise noted.

§ 803.1 Purpose.

Reports on Form BE-93 are required in order to provide reliable and up-todate information on international transfers of intangible assets and proprietary rights with unaffiliated foreign residents for use in compiling the U.S. balance of payments.

§ 803.2 Who must report.

United States individuals and firms who have entered into agreements with unaffiliated foreign residents, including governments of foreign countries, to sell or buy outright or provide or be provided with the use of intangible assests or rights such as patents, techniques, processes, formulae, designs, trademarks, copyrights, franchises, manufacturing rights, film rentals, and other similar intangible property or rights shall report on Form BE-93.

NOTE.-Oil royalties and other natural resources (mining) royalties are not reportable on this form.

§ 803.3 Form to be used, frequency of reports, and place of filing.

(a) One Form BE-93 is to be filed annually by each United States person or firm receiving from unaffiliated foreign residents, or paying to unaffiliated foreign residents, royalties, licensing fees, film rentals, etc., arising from the use, purchase, or sale of intangible

assets or rights. Reports should be sent to the Department of Commerce, Bureau of Economic Analysis, BE-58, Washington, D.C. 20230 within 90 days after the close of the calendar or fiscal year.

(b) Requests for extension of the filing dates, additional forms, or classifications of the reporting requirements or instructions should be directed to the same address.

(c) Consolidated reports for each company and its domestic affiliates are preferred. Please list on an attachment names of affiliates whose transactions are consolidated on this form. Also list names of affiliates with reportable transactions not consolidated on this form.

§ 803.4 Exemption.

A U.S. individual or business firm otherwise required to report is exempted if his annual foreign receipts and payments, combined, of the types covered by Form BE-93, are less than $25,000 in the year covered by the report.

§ 803.5 General definitions.

(a) U.S. resident-Any person, including corporations, unincorporated business organizations, partnerships, individuals, trusts and estates, under the jurisdiction of the U.S. and ordinarily residing in the U.S., including territories and possessions.

(b) U.S. subsidiary or affiliate-For purposes of Form BE-93, any U.S. incorporated enterprise in which more than 50 percent of the voting stock is directly or indirectly held by another U.S. company.

(c) Unaffiliated foreign resident, means: (1) With reference to ownership by a U.S. resident in a foreign business enterprise, any enterprise in which the U.S. resident holds less than 10 percent, directly or indirectly of the voting stock if an incorporated foreign enterprise, or an equivalent interest if an unincorporated foreign enterprise; and

(2) With reference to ownership in a U.S. business enterprise by a foreign resident, any enterprise in which the foreign resident holds less than 10 percent, directly or indirectly, of the voting stock if an incorporated U.S.

§ 804.2 Associated group.

The term "associated group" means two or more foreign persons who, by the appearance of their actions, by agreement, or by an understanding, exercise their voting privileges in a concerted manner to influence the management of a U.S. business enterprise. The following are deemed to be associated groups:

(a) Members of the same family.

(b) A foreign business enterprise and one or more of its officers or directors. (c) Members of a syndicate or joint venture.

(d) Foreign owners of a U.S. business enterprise whose interests in the enterprise are held or managed by a U.S. or a foreign trust.