Thiess v Collector of Customs

The appellant, Mr Thiess, sought to recover customs duty paid on an imported yacht, which he had mistakenly overpaid due to an error in its declared weight. The error, made by his customs agent, resulted in the yacht being assigned an incorrect tariff classification, leading to a duty assessment of $543,919 when, in fact, no duty was payable. Mr Thiess discovered this mistake only after the statutory period for applying for a refund under section 163 of the *Customs Act 1901* (Cth) had expired. The proceedings were brought in the Supreme Court of Queensland against the Collector of Customs and the Commonwealth, with questions of law reserved for the Court of Appeal.

The central legal issue before the High Court of Australia was whether section 167(4) of the *Customs Act 1901* (Cth) operated as a bar to the recovery of customs duty paid where no dispute under section 167(1) had arisen, and the claim was made outside the statutorily prescribed period for refunds. This required the Court to consider whether an action for recovery of customs duty paid was available outside the specific circumstances and timeframes set out in the Act.

The High Court held that section 167(4) of the *Customs Act 1901* (Cth) did indeed operate as a bar to the recovery of customs duty paid in the circumstances of this case. The Court reasoned that the Act provided a comprehensive scheme for the recovery of customs duties, and that the specific provisions for refunds, including the time limits, were exhaustive. Section 167(4) stipulated that "no action shall lie for the recovery of any sum paid to the Collector as duty or on account of duty" unless certain conditions were met, which included a dispute arising under section 167(1) or a refund application being made within the prescribed period. As Mr Thiess's claim did not fall within these exceptions, his action for recovery was barred. The Court affirmed that the common law action for money had and received was displaced by the statutory scheme in relation to the recovery of customs duties.

The appeal was dismissed with costs.