### Question
How is the term duty-free merchandise defined?


### Answer
The term **duty-free merchandise** is defined in *19 U.S.C. § 1555* as the following:

> merchandise on which the liability for payment of duty or tax imposed by reason of importation has been deferred pending exportation from the customs territory

#### Citation:
  - *19 U.S.C. § 1555*
  - Heading: **CHAPTER 4-TARIFF ACT OF 1930 > SUBTITLE III-ADMINISTRATIVE PROVISIONS > Part IV-Transportation in Bond and Warehousing of Merchandise**

