What is ATA Carnet?

An ATA Carnet (also called a 'merchandise passport') is an international customs document that allows the temporary duty-free and tax-free import of goods into participating countries for up to one year. The ATA system is governed by the ATA Convention and the Istanbul Convention, administered by the World Customs Organization and issued through national chambers of commerce (in the U.S., the U.S. Council for International Business). Common uses include trade show samples, professional equipment, and goods for demonstration or testing. Goods imported under an ATA Carnet must be re-exported within the carnet's validity period.

ATA Carnets cover temporary imports that are not subject to permanent duty assessment, so they fall outside the CAPE refund program. However, if goods originally imported under a carnet are later entered for consumption (permanent import), they become subject to standard duty assessment and any applicable IEEPA or Section 301 tariffs — at which point they may become refund-eligible.