EXPLANATORY STATEMENT
CEO Instrument of Approval No. 12 of 2005
Customs Act 1901
Subsection 4A(1) of the Customs Act 1901 (the Act) defines an approved form as a form that is approved, by instrument in writing, by the Chief Executive Officer of Customs (the CEO). Subsection 4A(2) of the Act provides that the instrument by which a form is approved under subsection 4A(1), is a disallowable instrument for the purposes of section 46A of the Acts Interpretation Act 1901.
Background
Paragraphs 68(1)(d) to (i) of the Act list certain classes of goods which, if imported into Australia, are not required to be entered. Goods that are the accompanied personal or household effects of a passenger of a ship or an aircraft are such a class of goods (paragraph 68(1)(d) refers). Despite being exempt from formal import entry requirements, subsection 71(1) of the Act provides that the owner of such goods “must, in any circumstances specified in the regulations, provide such information, at such time, and in such manner and form as the regulations specify...”.
Regulation 41 of the Customs Regulations 1926 provides that if a Collector requires information under section 71 of the Act, then it must be provided in an approved form or an approved statement. Under regulation 41, the CEO has approved Incoming Passenger Cards, in a number of languages, which are used by arriving passengers to provide information about the passengers accompanied personal or household effects.
From 1 February 2005, new rules took effect providing for an increase in the value of duty free goods that travellers can bring into Australia.
Travellers can now bring the following goods duty and or tax free in their accompanied baggage (group 3 has not been amended):
GROUP 1 - General goods
AUD$900 worth of goods (AUD$450 for people under 18) including gifts, souvenirs, cameras, electronic equipment, leather goods, perfume concentrates, jewellery, watches and sporting equipment. Previously, the concession limit was $400 for adults and $200 for minors.
GROUP 2 – Alcohol
2.25 litres of alcoholic beverages for each passenger aged 18 and over. Previously, the concession limit was 1.125 litres.
GROUP 3 – Tobacco
250 cigarettes, or 250 grams of cigars or tobacco products for each passenger aged 18 and over.
Instrument
Questions 2 and 3 on the former Incoming Passenger Card (No. 15 SCH(Design date 07/03)) have been amended to reflect these new duty free concessions.
CEO Instrument No. 12 of 2005 approves the “Incoming passenger card” form (No. 15 CHS (Design date 03/05)).
CEO Instrument No. 12 of 2005 also revokes CEO Instrument of Approval No. 19 of 2003, which approved the former “Incoming passenger card” form (No. 15SCH (Design date 07/03)).
Consultation
No consultation was undertaken under section 17 of the Legislative Instruments Act 2003 before this instrument was made as it is of a minor or machinery nature and does not substantially alter existing arrangements.
Commencement
The instrument commences on 22 February 2005, when the new Incoming passenger card will be available for use.
Overview
The Customs Act 1901 was enacted to regulate the import and export of goods into and out of Australia, providing a framework for the collection of duties and taxes, and ensuring compliance with relevant laws. The Act was introduced to address the need for structured management of international trade and to protect domestic industries by controlling the flow of goods across the borders. The Customs Act 1901 is administered by the Parliament of Australia, and its policy objectives include facilitating legitimate trade while preventing illegal activities such as smuggling and ensuring revenue collection for the government. One specific aspect of the Act involves the use of approved forms for providing necessary information about imported goods, as outlined in CEO Instrument No. 12 of 2005. This instrument updates the form for incoming passenger cards to reflect new duty-free allowances for travellers, thereby streamlining the process of declaring accompanied personal or household effects.
Scope and Application
The Customs Act 1901 applies to all persons and entities involved in the importation and exportation of goods into and out of Australia. This encompasses a broad range of activities, including the import of accompanied personal or household effects by passengers, which are subject to certain information requirements despite being exempt from formal entry processes. Specifically, the Act mandates that the owner of such goods must provide information as specified in regulations, and this must be done in an approved form, such as the Incoming Passenger Card. This requirement is governed by regulations, such as Regulation 41 of the Customs Regulations 1926, which outlines the approved forms for providing necessary information. The application of the Act is national, extending across the Commonwealth of Australia, and it is administered by the Chief Executive Officer of Customs, who has the authority to approve forms used for compliance under the Act. Certain exclusions apply, such as the exemption of accompanied personal or household effects from formal entry requirements. The Act’s scope is further defined and potentially extended through subordinate instruments, such as CEO Instruments, which specify approved forms for information provision and other compliance measures.
Key Provisions
The Customs Act 1901 provides for the approval of forms by the Chief Executive Officer of Customs (sections 4A(1) and 4A(2)). In this context, CEO Instrument No. 12 of 2005 is particularly relevant as it approves a new form for incoming passengers to use in providing information about their accompanied personal or household effects. This instrument revokes the previous form approved under CEO Instrument of Approval No. 19 of 2003, and it comes into effect on 22 February 2005.
The approved form, the "Incoming passenger card" (No. 15 CHS (Design date 03/05)), must be used by passengers to provide the necessary information about their accompanied personal or household effects, as required by regulation 41 of the Customs Regulations 1926. This form replaces the previous "Incoming passenger card" (No. 15 SCH (Design date 07/03)), which is no longer valid. The primary obligation imposed on incoming passengers is to complete this approved form accurately and submit it as required by the Collector, ensuring that they comply with the information-provision requirements outlined in the Customs Act 1901 and the Customs Regulations 1926.
Additionally, the legislation includes new provisions regarding the duty-free allowances for travellers. From 1 February 2005, travellers can bring a higher value of goods duty-free into Australia. Specifically, adults can bring in goods worth up to AUD$900, while those under 18 can bring in goods worth up to AUD$450. The duty-free limit for alcoholic beverages has also increased to 2.25 litres for each passenger aged 18 and over, and the tobacco limit remains unchanged at 250 cigarettes, or 250 grams of cigars or tobacco products for each passenger aged 18 and over. These new concessions are reflected in the amended questions 2 and 3 on the new Incoming Passenger Card.
There are no specified offences or penalties within the explanatory statement for failing to comply with the requirements to use the approved form or to provide information about accompanied personal or household effects. However, failure to comply with the Customs Act 1901 or the Customs Regulations 1926 could result in civil or criminal penalties as outlined in those Acts. Generally, penalties for breaches of the Customs Act can include fines and, in some cases, imprisonment, depending on the severity of the breach.