Study Guide

10. Structure of a chapter - legal notes

10.4. Notes of exclusion

By far the most common of the directional notes are the notes of exclusion. They prevent access to various areas of the Nomenclature and thus have the effect of denying access to certain areas where goods may prima facie fall, thereby minimizing the number of classification possibilities.

Notes of exclusion are normally introduced by the phrase ‘This section (or chapter) does not cover…’

Example: Note of exclusion

Note	What it does
Note 1 to Section XVI	Directs ‘This Section does not cover…’ then lists sub notes (a) to (q), which contain descriptions of goods that are classified within other areas of the Nomenclature. This means that the goods listed within sub notes (a) to (q) cannot be classified within any of the headings within Chapters 84 and 85, as Section XVI covers both of those chapters.
Note 1 to Chapter 84	Directs ‘This Chapter does not cover…’ then lists sub notes (a) to (h), which contain descriptions of goods that are classified within other areas of the Nomenclature. This means that in addition to the goods listed within Note 1 to Section XVI, there are additional goods that cannot be classified within any of the headings in Chapter 84.
Chapter 85	Contains a similar exclusion note.

They point you to where the goods do belong. A feature of exclusion notes is the reference in brackets, usually at the end of the sub note.

Example. Note 1(h) to Section XVI reads ‘Drill pipe (heading 73.04)’.

The bracketed reference is normally a heading, but it may also be a section, a chapter, or a direction to classify the product according to its constituent material.