EXPLANATORY STATEMENT
CEO Instrument of Approval No. 67 of 2005
Customs Act 1901
Subsection 4A(1A) of the Customs Act 1901 (the Act) defines an approved statement as a statement that is approved, by instrument in writing, by the Chief Executive Officer of Customs (the CEO). Subsection 4(2) of the Act provides that the instrument by which a statement 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 Instruments Act 2003, approved statements are legislative instruments.
Background
Section 68 of the Act provides that goods that are imported into Australia and goods that are intended to be imported into Australia must be entered for home consumption or warehousing. Prior to 19 July 2005, an entry for home consumption or warehousing was made under section 71A of the Act as an import entry.
On 19 July 2005, section 71A was repealed by the Customs Legislation Amendment and Repeal (International Trade Modernisation) Act 2001 (the ITM Act) and replaced with three new provisions. An entry for home consumption is now made under section 71A of the Act (as an import declaration in relation to imported goods or warehoused goods) or under section 71DB of the Act (as a request for cargo release). An entry for warehousing is made under section 71DH of the Act (as a warehouse declaration). The three new methods of entering goods for either home consumption or warehousing are included in the new definition of import entry in subsection 4(1) of the Act.
Under section 71L of the Act, an import entry that is communicated to Customs electronically must communicate such information as is set out in an approved statement. Under section 71L, the CEO has previously approved a statement setting out all the information that was required to be included in a computer import entry in respect of warehoused goods being entered for home consumption.
However, as a consequence of the repeal and replacement of section 71A by the ITM Act, the CEO has approved the new “IMPORT DECLARATION (N30)” statement for the purposes of making an electronic import declaration in respect of warehoused goods being entered for home consumption. The new statement will also refer to the new method of making an import entry as a import declaration.
Section 71L of the Act also provides that an return for the purposes of subsection 69(5) or 70(7) of the Act that is communicated to Customs electronically must communicate such information as is set out in an approved statement.
The new statement has also been approved purposes of communicating electronically to Customs a return for like customable goods under subsection 69(5) of the Act.
The statement that the CEO had previously approved setting out all the information that was required to be included in an computer import entry in respect of warehoused goods being entered for home consumption was also approved for this additional purpose. This additional purpose has not been affected by the ITM Act.
CEO Instrument No. 67 of 2005 approves the “IMPORT DECLARATION (N30)” statement.
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
This instrument commences at the same time as import cut-over time (as defined in section 4 of the Customs Legislation Amendment (Application of International Trade Modernisation and Other Measures) Act 2001. Currently that time is 2am AEST on 12 October 2005.
Overview
The Customs Act 1901, enacted by the Australian Parliament, serves as the principal legislation governing customs and excise in Australia. One of the issues it addresses is the need for efficient and modernised customs procedures to facilitate international trade. The Customs Legislation Amendment and Repeal (International Trade Modernisation) Act 2001 introduced significant changes to streamline customs processes, including the replacement of the old import entry system with new methods. In this context, the Customs Act 1901 (No. 67 of 2005) was introduced to approve the "IMPORT DECLARATION (N30)" statement for electronic communication of import declarations and returns to Customs, ensuring compliance with modernised customs requirements. The policy objective of this amendment is to enhance the efficiency and accuracy of customs processes, thereby supporting the smooth flow of goods into Australia.
Scope and Application
The Customs Act 1901 governs the importation of goods into Australia and the regulation of related activities. Specifically, the Act applies to any individual or entity importing goods into Australia, and to the conduct and transactions related to these imports. The instrument CEO Instrument No. 67 of 2005, which approves the "IMPORT DECLARATION (N30)" statement, extends the application of the Act by providing an approved statement for electronic import declarations and returns under certain sections of the Act. This instrument applies nationally across Australia, governed by the Commonwealth. There are no stated exclusions, exemptions, or thresholds in this particular instrument; however, the Act itself may contain provisions that exclude certain goods or transactions from its application. The scope of the Act can be further defined or modified through subordinate instruments, though this specific instrument is of a minor nature and does not substantially alter existing arrangements. The instrument commenced on 12 October 2005 at 2am AEST, aligning with the import cut-over time defined in the Customs Legislation Amendment (Application of International Trade Modernisation and Other Measures) Act 2001.
Key Provisions
The primary operative sections of this legislation (F2005L02764) involve the approval and use of the "IMPORT DECLARATION (N30)" statement, which is now the approved statement for making electronic import declarations and returns concerning goods being entered for home consumption or warehousing under the Customs Act 1901. Section 71L of the Act specifies that any import entry or return communicated electronically must include information set out in an approved statement. The "IMPORT DECLARATION (N30)" statement is approved under this section to fulfill these requirements, replacing the previously approved statement for warehoused goods entering for home consumption. Additionally, the new statement is also used for electronically communicating returns for like dutiable goods under subsections 69(5) and 70(7) of the Act.
The obligations imposed on parties and entities governed by this Act include the necessity to use the approved "IMPORT DECLARATION (N30)" statement for all electronic import declarations and returns. This requirement ensures that all relevant information is communicated accurately and in compliance with the Act. Importers and other entities involved in the import process must ensure that their electronic communications to Customs include the specific details set out in the approved statement. The use of this approved statement is a critical compliance measure under the Act, ensuring that all necessary information is captured and processed correctly by Customs.
Breaches of the requirements to use the approved "IMPORT DECLARATION (N30)" statement for electronic communications to Customs may lead to civil or administrative consequences. Although the specific penalties are not detailed in the Explanatory Statement, such breaches could result in fines, delays in the clearance of goods, or other administrative actions taken by Customs. Ensuring compliance with the approved statement is crucial to avoid these potential negative outcomes and to maintain smooth operations in the import process.