Rule2022-22233

Publication of Iranian Transactions and Sanctions Regulations Web General License D-2

Primary source

Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.

Published
October 13, 2022

Issuing agencies

Treasury DepartmentForeign Assets Control Office

Abstract

The Department of the Treasury's Office of Foreign Assets Control (OFAC) is publishing one general license (GL) issued pursuant to the Iranian Transactions and Sanctions Regulations: GL D-2, which was previously made available on OFAC's website.

Full Text

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<title>Federal Register, Volume 87 Issue 197 (Thursday, October 13, 2022)</title>
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[Federal Register Volume 87, Number 197 (Thursday, October 13, 2022)]
[Rules and Regulations]
[Pages 62003-62005]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2022-22233]


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DEPARTMENT OF THE TREASURY

Office of Foreign Assets Control

31 CFR Part 560


Publication of Iranian Transactions and Sanctions Regulations Web 
General License D-2

AGENCY: Office of Foreign Assets Control, Treasury.

ACTION: Publication of a web general license.

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SUMMARY: The Department of the Treasury's Office of Foreign Assets 
Control (OFAC) is publishing one general license (GL) issued pursuant 
to the Iranian Transactions and Sanctions Regulations: GL D-2, which 
was previously made available on OFAC's website.

DATES: GL D-2 was issued on September 23, 2022. See  SUPPLEMENTARY 
INFORMATION for additional relevant dates.

FOR FURTHER INFORMATION CONTACT: OFAC: Assistant Director for 
Licensing, 202-622-2480; Assistant Director for Regulatory Affairs, 
202-622-4855; or Assistant Director for Sanctions Compliance & 
Evaluation, 202-622-2490.

SUPPLEMENTARY INFORMATION: 

Electronic Availability

    This document and additional information concerning OFAC are 
available on OFAC's website: <a href="http://www.treas.gov/ofac">www.treas.gov/ofac</a>.

Background

    On September 23, 2022, OFAC issued GL D-2 to authorize certain 
transactions otherwise prohibited by the Iranian Transactions and 
Sanctions Regulations, 31 CFR part 560. At the time of issuance, OFAC 
made GL D-2 available on its website (<a href="http://www.treas.gov/ofac">www.treas.gov/ofac</a>). GL D-2 
replaced and superseded GL D-1 in its entirety. The text of GL D-2 is 
provided below.

OFFICE OF FOREIGN ASSETS CONTROL

Iranian Transactions and Sanctions Regulations

31 CFR part 560

GENERAL LICENSE D-2

General License With Respect to Certain Services, Software, and 
Hardware Incident to Communications

    (a) To the extent that such transactions are not exempt from the 
prohibitions of the Iranian Transactions and Sanctions Regulations, 31 
CFR part 560 (ITSR), and subject to the restrictions set forth in 
paragraph (b), the following transactions are authorized:
    (1) Fee-based or no-cost services. The exportation or 
reexportation, directly or indirectly, from the United States or by a 
U.S. person, wherever located, to Iran of fee-based or no-cost services 
incident to the exchange of communications over the internet, such as 
instant messaging, chat and email, social networking, sharing of photos 
and movies, web browsing, blogging, social media platforms, 
collaboration platforms, video conferencing, e-gaming, e-learning 
platforms, automated translation, web maps, and user authentication 
services, as well as cloud-based services in support of the foregoing 
or of any other transaction authorized or exempt under the ITSR.
    (2) Fee-based or no-cost software. (i) Software subject to the EAR. 
The exportation, reexportation, or provision, directly or indirectly, 
to Iran of fee-based or no-cost software subject to the Export 
Administration Regulations, 15 CFR parts 730 through 774 (EAR), that is 
incident to, or enables services incident to, the exchange of 
communications over the internet, such as instant messaging, chat and 
email, social networking, sharing of photos and movies, web browsing, 
blogging, social media platforms, collaboration platforms, video 
conferencing, e-gaming, e-learning platforms, automated translation, 
web maps, and user authentication services, as well as cloud-based 
services in support of the foregoing or of any other transaction 
authorized or exempt under the ITSR, provided that such software is 
designated EAR99 or classified by the U.S. Department of Commerce on 
the Commerce Control List, 15 CFR part 774, supplement No. 1 (CCL), 
under export control classification number (ECCN) 5D992.c.
    (ii) Software that is not subject to the EAR because it is of 
foreign origin and is located outside the United States. The 
exportation, reexportation, or provision, directly or indirectly, by a 
U.S. person, wherever located, to Iran of fee-based or no-cost software 
that is not subject to the EAR because it is of foreign origin and is 
located outside the United States, that is incident to, or enables 
services incident to, the exchange of communications over the internet, 
such as instant messaging, chat and email, social networking, sharing 
of photos and movies, web browsing, blogging, social media platforms, 
collaboration platforms, video conferencing, e-gaming, e-learning 
platforms, automated translation, web maps, and user authentication 
services, as well as cloud-based services in support of the foregoing 
or of any other transaction authorized or exempt under the ITSR, 
provided that such software would be designated EAR99 if it were 
located in the United States or would meet the criteria for 
classification under ECCN 5D992.c if it were subject to the EAR.

    Note to paragraphs (a)(1) and (a)(2).  See 31 CFR 560.540 for 
authorizations relating to the exportation to persons in Iran of 
additional no-cost services incident to the exchange of personal 
communications over the internet and no-cost software necessary to 
enable such services.

    (3) Additional Software, Hardware, and Related Services. To the 
extent not authorized by paragraphs (a)(1) or (a)(2) of this general 
license, the exportation, reexportation, or provision, directly or 
indirectly, to Iran of certain software and hardware incident to 
communications, as well as related services, as follows:
    (i) In the case of hardware and software subject to the EAR, the 
items specified in the Annex to this general license;
    (ii) In the case of hardware and software that is not subject to 
the EAR because it is of foreign origin and is located outside the 
United States that is exported, reexported, or provided,

[[Page 62004]]

directly or indirectly, by a U.S. person, wherever located, hardware 
and software that is of a type described in the Annex to this general 
license provided that it would be designated EAR99 if it were located 
in the United States or would meet the criteria for classification 
under the relevant ECCN specified in the Annex to this general license 
if it were subject to the EAR; and
    (iii) In the case of software not subject to the EAR because it is 
described in 15 CFR 734.3(b)(3) that is exported, reexported, or 
provided, directly or indirectly, from the United States or by a U.S. 
person, wherever located, software that is of a type described in the 
Annex to this general license.\1\
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    \1\ See Note 1 to paragraph (a) of this general license.

    Note to paragraphs (a)(2) and (a)(3).  The authorizations in 
paragraphs (a)(2) and (a)(3) of this general license include the 
exportation, reexportation, or provision, directly or indirectly, to 
Iran of authorized hardware and software by an individual leaving 
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the United States for Iran.

    (4) internet connectivity services and telecommunications capacity. 
The exportation or reexportation, directly or indirectly, from the 
United States or by a U.S. person, wherever located, to Iran of non-
commercial-grade internet connectivity services, to include cloud-based 
services, and the provision, sale, or leasing of capacity on 
telecommunications transmission facilities (such as satellite or 
terrestrial network connectivity) incident to communications.

    Note to paragraph (a)(4):  See 31 CFR 560.508 for authorizations 
relating to transactions with respect to the receipt and 
transmission of telecommunications involving Iran.

    (5) Importation into the United States of hardware and software 
previously exported to Iran. The importation into the United States of 
hardware and software authorized for exportation, reexportation, or 
provision to Iran under 31 CFR 560.540(a), paragraphs (a)(2) or (a)(3) 
of this general license, or paragraphs (a)(2) or (a)(3) of General 
License D-1, by an individual entering the United States, directly or 
indirectly, from Iran, provided that the items previously were 
exported, reexported, or provided by the individual to Iran pursuant to 
31 CFR 560.540(a), paragraphs (a)(2) or (a)(3) of this general license, 
or paragraphs (a)(2) or (a)(3) of General License D-1 when it was in 
effect.
    (6) Publicly available,\2\ no cost services and software to the 
Government of Iran.\3\ (i) Services. The exportation or reexportation, 
directly or indirectly, from the United States or by a U.S. person, 
wherever located, to the Government of Iran of services described in 31 
CFR 560.540(a)(1) or categories (6) through (11) of the Annex to this 
general license, provided that such services are publicly available at 
no cost to the user. (ii) Software. The exportation, reexportation, or 
provision, directly or indirectly, to the Government of Iran of 
software described in 31 CFR 560.540(a)(2) or categories (6) through 
(11) of the Annex to this general license, read in conjunction with 
paragraph (a)(3) of this general license, provided that such software 
is publicly available at no cost to the user.
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    \2\ See Note 1 to paragraph (a) of this general license.
    \3\ See 31 CFR 560.304.

    Note 1 to paragraph (a). In sub-paragraph (a)(6), the term 
``publicly available'' refers generally to software that is widely 
available to the public. Sub-paragraph (a)(3)(iii) refers to 
software that is described in 15 CFR 734.3(b)(3), which defines 
``publicly available'' software for purposes of the EAR. The scope 
of the term ``publicly available'' in paragraph (a)(6) of this 
general license thus differs from the scope of the Department of 
Commerce's regulation at 15 CFR 734.3(b)(3) as referenced in 
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subparagraph (a)(3)(iii) of this general license.


    Note 2 to paragraph (a).  The authorizations of U.S. persons set 
forth in paragraph (a) of this general license extend to entities 
owned or controlled by a U.S. person and established or maintained 
outside the United States (``U.S.-owned or -controlled foreign 
entities''), subject to the conditions set forth in 31 CFR 560.556.


    Note 3 to paragraph (a). Nothing in this general license 
relieves the exporter from compliance with the export license 
application requirements of another Federal agency.

    (b) This general license does not authorize:
    (1) The exportation, reexportation, or provision, directly or 
indirectly, of the services, software, or hardware specified in 
paragraph (a) with knowledge or reason to know that such services, 
software, or hardware are intended for the Government of Iran, except 
for services or software specified in paragraph (a)(6).
    (2) The exportation, reexportation, or provision, directly or 
indirectly, of the services, software, or hardware specified in 
paragraph (a) to any person whose property and interests in property 
are blocked pursuant to any part of 31 CFR chapter V, other than 
persons whose property and interests in property are blocked solely 
pursuant to Executive Order 13599 as the Government of Iran.
    (3) The exportation or reexportation, directly or indirectly, of 
commercial-grade internet connectivity services or telecommunications 
transmission facilities (such as dedicated satellite links or dedicated 
lines that include quality of service guarantees).
    (4) The exportation or reexportation, directly or indirectly, of 
web-hosting services that are for websites of commercial endeavors 
located in Iran or of domain name registration services for or on 
behalf of a person located in Iran or the Government of Iran.
    (5) Any transaction by a U.S.-owned or -controlled foreign entity 
otherwise prohibited by 31 CFR 560.215 if the transaction would be 
prohibited by any other part of chapter V if engaged in by a U.S. 
person or in the United States.
    (6) Any action or activity involving any item (including 
information) subject to the EAR that is prohibited by, or otherwise 
requires a license under, part 744 of the EAR or participation in any 
transaction involving a person whose export privileges have been denied 
pursuant to part 764 or 766 of the EAR, without authorization from the 
Department of Commerce.
    (c) Transfers of funds from Iran or for or on behalf of a person in 
Iran in furtherance of an underlying transaction authorized by 
paragraph (a) may be processed by U.S. depository institutions and U.S. 
registered brokers or dealers in securities so long as they are 
consistent with 31 CFR 560.516.\4\
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    \4\ This general license does not authorize any transaction 
prohibited by any part of chapter V of 31 CFR other than part 560. 
Accordingly, the transfer of funds may not be by, to, or through any 
of the following: (1) a person whose property and interests in 
property are blocked pursuant to the Weapons of Mass Destruction 
Proliferators Sanctions Regulations, 31 CFR part 544, or the Global 
Terrorism Sanctions Regulations, 31 CFR part 594; or (2) a person 
whose property and interests in property are blocked pursuant to any 
other part of 31 CFR chapter V, or any Executive order, except an 
Iranian financial institution whose property and interests in 
property are blocked solely pursuant to 31 CFR part 560 or Executive 
Order 13902.
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    (d) Specific licenses may be issued on a case-by-case basis for the 
exportation, reexportation, or provision of services, software, or 
hardware incident to communications not specified in paragraph (a) or 
the Annex to this general license or other activities to support 
internet freedom in Iran, including development and hosting of anti-
surveillance software by Iranian developers.
    (e) Effective September 23, 2022, General License D-1, dated 
February 7, 2014, is replaced and superseded in its entirety by this 
General License D-2.

Andrea M. Gacki,

[[Page 62005]]

Director, Office of Foreign Assets Control

    Dated: September 23, 2022

Annex to General License D-2: Services, Software, and Hardware Incident 
to Communications Authorized for Exportation, Reexportation, or 
Provision to Iran by Paragraph (a)(3) of General License D-2

    Note: See paragraph (a)(3)(ii)-(iii) of General License D-2 for 
authorizations related to certain hardware and software that is of a 
type described below but that is not subject to the EAR.


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(1.).....................  Mobile phones (including but not limited to
                            smartphones), Personal Digital Assistants
                            (PDAs), Subscriber Identity Module (SIM)
                            cards, and accessories for such devices
                            designated EAR99 or classified on the CCL
                            under ECCN 5A992.c; drivers and connectivity
                            software for such hardware designated EAR99
                            or classified under ECCN 5D992.c; and
                            services necessary for the operation of such
                            hardware and software.
(2.).....................  Satellite phones and Broadband Global Area
                            Network (BGAN) hardware designated EAR99 or
                            classified under ECCN 5A992.c; demand
                            drivers and connectivity software for such
                            hardware designated EAR99 or classified
                            under ECCN 5D992.c; and services necessary
                            for the operation of such hardware and
                            software.
(3.).....................  Consumer * modems, network interface cards,
                            radio equipment (including antennae),
                            routers, switches, and WiFi access points,
                            designed for 50 or fewer concurrent users,
                            designated EAR99 or classified under ECCNs
                            5A992.c, 5A991.b.2, or 5A991.b.4; drivers,
                            communications, and connectivity software
                            for such hardware designated EAR99 or
                            classified under ECCN 5D992.c; and services
                            necessary for the operation of such hardware
                            and software.
(4.).....................  Residential consumer * satellite terminals,
                            transceiver equipment (including but not
                            limited to antennae, receivers, set-top
                            boxes and video decoders) designated EAR99
                            or classified under ECCNs 5A992.c,
                            5A991.b.2, or 5A991.b.4; drivers,
                            communications, and connectivity software
                            for such hardware designated EAR99 or
                            classified under ECCN 5D992.c; and services
                            necessary for the operation of such hardware
                            and software.
(5.).....................  Laptops, tablets, and personal computing
                            devices, and peripherals for such devices
                            (including but not limited to consumer* disk
                            drives and other data storage devices) and
                            accessories for such devices (including but
                            not limited to keyboards and mice)
                            designated EAR99 or classified on the CCL
                            under ECCNs 5A992.c, 5A991.b.2, 5A991.b.4,
                            or 4A994.b; computer operating systems and
                            software required for effective consumer use
                            of such hardware, including software updates
                            and patches, designated EAR99 or classified
                            under ECCN 5D992.c; and services necessary
                            for the operation of such hardware and
                            software.
(6.).....................  Anti-virus and anti-malware software
                            designated EAR99 or classified under ECCN
                            5D992.c; and services necessary for the
                            operation of such software.
(7.).....................  Anti-tracking software designated EAR99 or
                            classified under ECCN 5D992.c; and services
                            necessary for the operation of such
                            software.
(8.).....................  Mobile operating systems, online application
                            for mobile operating systems (app) stores,
                            and related software, including apps
                            designed to run on mobile operating systems,
                            designated EAR99 or classified under ECCN
                            5D992.c; and services necessary for the
                            operation of such software.
(9.).....................  Anti-censorship tools and related software
                            designated EAR99 or classified under ECCN
                            5D992.c; and services necessary for the
                            operation of such software.
(10.)....................  Virtual Private Network (VPN) client
                            software, proxy tools, and fee-based client
                            personal communications tools including
                            voice, text, video, voice-over-IP telephony,
                            video chat, and successor technologies, and
                            communications and connectivity software
                            required for effective consumer use
                            designated EAR99 or classified under ECCN
                            5D992.c; and services necessary for the
                            operation of such software.
(11.)....................  Provisioning and verification software for
                            Secure Sockets Layers (SSL) certificates
                            designated EAR99 or classified under ECCN
                            5D992.c; and services necessary for the
                            operation of such software.
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* For purposes of this Annex, the term ``consumer'' refers to items that
  are: (1) generally available to the public by being sold, without
  restriction, from stock at retail selling points by means of any of
  the following: (a) over-the-counter transactions; (b) mail order
  transactions; (c) electronic transactions; or (d) telephone call
  transactions; and (2) designed for installation by the user without
  further substantial support by the supplier.


Andrea M. Gacki,
Director, Office of Foreign Assets Control.
[FR Doc. 2022-22233 Filed 10-12-22; 8:45 am]
BILLING CODE 4810-AL-P


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Indexed from Federal Register on October 13, 2022.

This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.