; and (B) includes activities related to implementation of section 608, regarding the review of cosmetic ingredients and non-functional constituents. (5) Gross annual sales The term gross annual sales means the average United States gross annual sales for the previous 3-year period of cosmetics for a registrant, including the sales of all of its affiliates, as reported in the registration under section 605. (c) Fee setting and amounts (1) In general Subject to subsection (d), the Food and Drug Administration shall establish the fees to be collected under this section for each fiscal year after fiscal year 2018, based on the methodology described in paragraph (3)(B), and shall publish such fees in a Federal Register notice not later than 60 days before the beginning of each such fiscal year. (2) Fee exemption Any registrant whose gross annual sales of cosmetic products in the 3-year period immediately preceding the fiscal year for which the annual fee will be paid was not more than $2,000,000, shall be exempt from registration fees under this section for that fiscal year. (3) Annual fee setting (A) Fiscal year 2018 For fiscal year 2018, to generate a total estimated revenue amount of $20,600,000, the amount of the registration fee under subsection (a) shall be as follows: (i) Tier I–A For a registrant that has gross annual sales of $5,000,000,000 or more in 2017, $1,350,000. (ii) Tier I–B For a registrant that has gross annual sales of at least $4,000,000,000 per annum but less than $5,000,000,000 in 2017, $850,000. (iii) Tier II–A For a registrant that has gross annual sales of at least $3,000,000,000 per annum but less than $4,000,000,000 in 2017, $730,000. (iv) Tier II–B For a registrant that has gross annual sales of at least $2,000,000,000 per annum but less than $3,000,000,000 in 2017, $610,000. (v) Tier III–A For a registrant that has gross annual sales of at least $1,000,000,000 per annum but less than $2,000,000,000 in 2017, $500,000. (vi) Tier III–B For a registrant that has gross annual sales of at