EXPLANATORY STATEMENT
CEO Instrument of Approval No. 32 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. Under paragraph 6(d) of the Legislative Instrument Act 2003, approved forms are legislative instruments.
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). Prior to 19 July 2005, subsection 71(1) of the Act provided 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...”.
On 19 July 2005, section 71 was repealed and replaced by the Customs Legislation Amendment and Repeal (International Trade Modernisation) Act 2001. The requirement on a passenger to provide information about their accompanied personal or household effects is now contained in new section 71AAAB of the Act.
Regulation 41 of the Customs Regulations 1926 has been amended as a consequence of the enactment of new section 71AAAB and provides that if a Collector requires information under section 71AAAB of the Act, then it must be provided in an approved form or an approved statement. Under regulation 41, the CEO has previously approved, for the purposes of section 71 of the Act, 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.
The CEO has now approved the same Incoming Passenger Cards for the purposes of new section 71AAAB of the Act.
CEO Instrument No. 32 of 2005 approves the “Incoming passenger card” form (No. 15 ITA (Design date 03/05)).
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 the day after it is registered.
Overview
The Customs Legislation Amendment and Repeal (International Trade Modernisation) Act 2001 was enacted to address the need for modernising Australia's customs legislation and to streamline the import process. This Act, introduced by the Australian Parliament, aimed to ensure that the country's customs regulations align with contemporary international trade practices, thereby enhancing efficiency and reducing administrative burdens. One of the key changes was the replacement of section 71 of the Customs Act 1901 with new section 71AAAB, which specifically addresses the requirements for passengers to provide information about their accompanied personal or household effects. This legislative amendment was crucial in updating the legal framework to accommodate modern trade requirements while maintaining the integrity of customs procedures.
The CEO Instrument No. 32 of 2005, issued under the authority of the Customs Act 1901, further operationalises these changes by approving the "Incoming passenger card" form for use in complying with the new requirements. This instrument ensures that the approved form is compliant with the legislative changes and provides a standardised method for passengers to report their personal or household effects upon arrival in Australia. The approval of these forms is part of the ongoing effort to streamline customs processes and facilitate smoother international trade and travel.
Scope and Application
The Customs Act 1901 applies to individuals and entities involved in the import and export of goods into and out of Australia, encompassing a wide range of industries and transactions. Specifically, it applies to passengers arriving in Australia with personal or household effects, who are required to provide information about these goods in a prescribed format. This requirement is facilitated by the approval of certain forms, such as the "Incoming Passenger Card," by the Chief Executive Officer of Customs, who has the authority to approve forms under subsection 4A(1) of the Act. The geographic scope of the Act is national, governing activities across the Commonwealth of Australia. The approval of forms by the CEO extends the application of the Act through subordinate instruments, ensuring that the required information is collected in a standardised and approved manner. The Act does not specify any exclusions or thresholds; however, the regulation of forms and the approval process may inherently limit the types of information and methods of submission that are acceptable.
Key Provisions
The main operative sections of this legislation are section 4A(1) and (2) of the Customs Act 1901, which define an approved form as a form that has been approved by the Chief Executive Officer of Customs, and specify that such instruments are disallowable under section 46A of the Acts Interpretation Act 1901 (section 4A(2)). Furthermore, the Customs Legislation Amendment and Repeal (International Trade Modernisation) Act 2001 introduces new section 71AAAB to the Act, which now governs the requirement for passengers to provide information about their accompanied personal or household effects upon arrival in Australia. Regulation 41 of the Customs Regulations 1926 has also been amended to reflect this change, requiring the provision of such information in an approved form or approved statement when requested by a Collector.
The Act imposes specific obligations on passengers arriving in Australia with accompanied personal or household effects. Under new section 71AAAB of the Customs Act 1901, passengers are required to provide information about these goods to a Collector when requested. This information must be provided in an approved form or statement, as stipulated in regulation 41 of the Customs Regulations 1926. The Chief Executive Officer of Customs has approved the use of Incoming Passenger Cards for this purpose, and these cards are available in multiple languages to accommodate different passengers. These obligations ensure that customs officials have the necessary information to assess and, if required, levy duties or take appropriate action on the accompanied personal or household effects.
Failure to comply with the requirements set out in the Customs Act 1901 and the Customs Regulations 1926 can result in civil and criminal consequences. Under the Act, individuals who fail to provide the required information or provide false or misleading information may be subject to fines and penalties. The specific maximum penalties are not detailed in the explanatory statement, but it is understood that breaches of the Act can lead to significant financial and legal repercussions. In addition to the financial penalties, individuals who are found to have provided false or misleading information may also face criminal charges, which could result in further penalties, including imprisonment. The seriousness of these consequences underscores the importance of complying with the Act's requirements.
In conclusion, this legislation primarily focuses on updating the requirements for passengers to provide information about their accompanied personal or household effects when entering Australia. It outlines the obligations for passengers to furnish this information in an approved form and details the potential penalties for non-compliance. The approval of the Incoming Passenger Cards by the Chief Executive Officer of Customs facilitates this process, ensuring that passengers can easily meet their obligations under the Act.