U.S. CIT REJECTS HARBOR MAINTENANCE TAX CHALLENGE
The U.S. Court of International Trade has rejected a challenge by Thomson Multimedia of the constitutionality of the harbor maintenance tax as applied to ocean imports.
Judge Jane A. Restani ruled Aug. 21 that the harbor maintenance tax for imports does not violate the Constitution's uniformity clause nor the port preference clause. Resani had ruled similarly in Amoco Oil vs. United States.
Restani also ruled against Thomson's argument that the HMT statute was severable and that since the U.S. Supreme Court found the HMT for exports unconstitutional, it should invalidate it with respect to imports.
The harbor maintenance tax was enacted as part of the Water Resources Development Act. It imposed an ad valorem tax, based on value, of commercial cargo imported or exported through U.S. ports. The HMT was created to fund the operation and maintenance of U.S. channels and harbors.
Thomson is not expected to appeal the decision to the U.S. Court of Appeals.