Formula Act (H.R. 8351)

Summary

Makes it easier and cheaper to bring baby formula into the country by temporarily stopping import taxes until the end of 2022.

What problem does this solve?

Families were facing a shortage of baby formula, and import taxes made it hard to get more from other countries. This law removes those taxes for a short time to help increase the supply of formula in the U.S.

What does this law do?

Suspends import taxes on baby formula

Removes all import taxes, also called duties, on certain types of infant formula, making them free to import.

Waives other import fees and limits

Stops any other import limits, extra taxes, or fees from being applied to these specific infant formula products.

Sets a temporary time frame

The removal of import taxes is temporary and only applies to formula brought into the country before December 31, 2022.

Creates new entry requirements

Requires importers to list the correct tariff codes on customs forms to receive the tax-free benefit.

Who does this affect?

Parents and caregivers of infants
Infant formula importers
Foreign manufacturers of infant formula

What is the real world impact?

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Addresses the infant formula shortage

Makes it cheaper to import baby formula from other countries by removing import taxes. This helps increase the supply available to families during a national shortage.

When does this start?

The removal of import taxes on baby formula begins on July 21, 2022, and lasts until a specific end date.

End of tax suspension

The special rules allowing infant formula to be imported without taxes will end after December 31, 2022.

Formula Act