Labrador Liquor Wholesale Pty Ltd & Ors v CEO Customs

The applicants, Labrador Liquor Wholesale Pty Ltd and others, sought judicial review of a decision by the Chief Executive Officer of Customs (CEO Customs) to refuse their applications for remission of customs duty. The dispute concerned the proper interpretation and application of s 162 of the *Customs Act 1901* (Cth), which allows for the remission of duty on goods that are subsequently exported. The applicants had imported goods, paid customs duty, and then exported those goods. They argued that they were entitled to remission of the duty paid under s 162.

The central legal issue before the Full Federal Court was whether the applicants were entitled to remission of customs duty under s 162 of the *Customs Act 1901* (Cth) when they had not applied for such remission prior to the goods being entered for home consumption. The applicants contended that s 162 permitted remission even if the application was made after the goods had been entered for home consumption, provided the application was made before the duty was paid. The CEO Customs argued that s 162 required the application for remission to be made before the goods were entered for home consumption.

The Court analysed the text and purpose of s 162, noting that it provided a mechanism for relief from the burden of customs duty in circumstances where goods were ultimately destined for export. The Court held that the plain language of s 162(1) stipulated that an application for remission must be made "before the goods are entered for home consumption". This temporal requirement was a condition precedent to the CEO Customs having the power to grant remission. The Court rejected the applicants' submission that the phrase "before the duty is paid" in s 162(2) qualified the timing of the application itself, finding instead that it related to the timing of the remission being granted.

The applications for judicial review were dismissed.