Overview

The CEO Instrument of Approval No. 21 of 2005 was enacted to address the transitional phase of modernising the communication systems between the Australian Customs Service and its stakeholders, particularly focusing on the electronic declaration of imported goods and the arrival of ships and aircraft. This instrument re-approves certain statements for use with the COMPILE computer system until the cut-over to the new Integrated Cargo System (ICS). It was introduced under the authority of the Customs Act 1901, as amended by the Customs Legislation Amendment and Repeal (International Trade Modernisation) Act 2001 and the Customs Legislation Amendment (Application of International Trade Modernisation and Other Measures) Act 2004, which together set the legal framework for the transition to electronic communications with Customs. The policy objective is to ensure a smooth transition to the new system, allowing stakeholders sufficient time to adjust to the new requirements while maintaining the capability to communicate electronically with Customs during the interim period. This was achieved by re-approving certain statements to ensure continued functionality of the COMPILE system until the final switch to the ICS on 19 July 2005.

Scope and Application

The CEO Instrument of Approval No. 21 of 2005 under the Customs Act 1901 pertains to the approval of a specific statement for use in electronic communications with the Australian Customs Service. This legislation applies to individuals and entities involved in the importation of goods, particularly those communicating electronically with Customs through the Integrated Cargo System (ICS). This includes importers, cargo reporters, and operators of ships and aircraft. The geographic and jurisdictional reach of this Act is confined to Australia, as it is a Commonwealth instrument. The instrument excludes certain communications that will transition from the COMPILE computer system to the ICS after the import cut-over time set by the CEO. The instrument also does not apply to ships or aircraft imported on board another ship or aircraft. The application of this Act may be extended or restricted through subordinate instruments, although this particular instrument is of a minor nature and does not substantially alter existing arrangements. The instrument commences on 19 July 2005.

Key Provisions

The primary operative sections of CEO Instrument of Approval No. 21 of 2005 pertain to the approval of specific statements for electronic communication with the Australian Customs Service under the Customs Act 1901. Specifically, section 126DA of the Customs Act allows the Chief Executive Officer of Customs (CEO) to determine the information technology requirements necessary for electronic communication with Customs. This instrument approves the "Import Declaration/Return (Nature 10) - Air" statement, as detailed in the attached document, for use in communicating electronic import declarations for ships or aircraft, as well as electronic returns for special clearance goods imported by air, until the import cut-over time determined by the CEO. The obligations imposed by this Act on the parties involved, such as importers, ship and aircraft operators, and cargo reporters, include the requirement to comply with the approved statement for the specified communications. Until the import cut-over time, these parties must use the COMPILE computer system to make electronic entries and returns, while after this time, the Integrated Cargo System (ICS) must be used. The re-approval of existing statements ensures that COMPILE can be used for these specific communications until the transition to ICS. Breach of the requirements set out in this instrument can lead to various civil or criminal consequences. Although the specific penalties are not detailed in the explanatory statement, under the Customs Act 1901, non-compliance with the Act's provisions can result in penalties that may include fines and imprisonment. The maximum penalties for offences under the Customs Act can vary depending on the nature and severity of the offence, but they can be substantial, reflecting the importance of compliance with customs regulations. It is essential for the parties governed by this Act to adhere to the approved statements and transition to the ICS at the designated cut-over time to avoid any potential penalties or legal ramifications.