EXPLANATORY STATEMENT
CEO Instrument of Approval No. 93 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 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On 19 July 2005, section 71A was repealed by the Customs Legislation Amendment and Repeal (International Trade Modernisation) Act 2001 (the ITM Act) and replaced with three new provisions.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) 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 71F of the Act, at any time after an import entry that has been communicated to Customs but before the goods to which it relates are dealt with in accordance with the entry, the entry may be withdrawn.
Under section 71K of the Act, a documentary withdrawal of an import entry must be in an approved form. Under section 71K, the CEO has previously approved the form for making a documentary withdrawal of an import entry .
However, as a consequence of the repeal of section 71A and the three new methods of entering goods for home consumption or warehousing, the CEO has approved a new form for making a documentary withdrawal of an import entry to include references to these new methods.
CEO Instrument of Approval No. 93 of 2005 approves the “IMPORT/ WAREHOUSE DECLARATION WITHDRAWAL (B371 SEP/05)” form as an approved form for the purposes of withdrawing, by document, an import entry.
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 modernise international trade processes and streamline customs procedures. The Act introduced various reforms to the Customs Act 1901, including the introduction of new methods for entering goods into Australia for home consumption or warehousing, which necessitated the repeal of section 71A and its replacement with new provisions. This reform aimed to enhance the efficiency of customs operations and adapt to contemporary international trade practices. The CEO Instrument of Approval No. 93 of 2005 was subsequently introduced to update the form used for withdrawing an import entry in light of these changes. This instrument was approved by the Chief Executive Officer of Customs and is considered a legislative instrument under the Legislative Instruments Act 2003. The instrument was enacted without consultation as it pertains to minor administrative updates. It took effect on the day following its registration.
Scope and Application
The CEO Instrument of Approval No. 93 of 2005 pertains to the Customs Act 1901 and concerns the approval of a specific form for the withdrawal of import entries, aligning with the changes introduced by the Customs Legislation Amendment and Repeal (International Trade Modernisation) Act 2001. The Act applies to entities and individuals involved in the importation of goods into Australia, specifically those who are responsible for making import entries and subsequently withdrawing these entries. The approved form, "IMPORT/ WAREHOUSE DECLARATION WITHDRAWAL (B371 SEP/05)", is intended to be used by those who need to withdraw import entries for home consumption or warehousing under the updated procedures of the Customs Act. The geographic and jurisdictional reach of this Act is national, governing all importation activities within Australia. The Act does not explicitly state exclusions, exemptions, or thresholds, but it is applicable to all goods imported into Australia under the updated customs entry methods. The approval of the form extends the application of the Act through subordinate instruments, ensuring that the procedures for withdrawing import entries are updated to reflect the new entry methods.
Key Provisions
The main operative sections of the CEO Instrument of Approval No. 93 of 2005 pertain to the approval of a new form for the documentary withdrawal of an import entry. Section 4A(1) of the Customs Act 1901 defines an approved form as one that is approved by the Chief Executive Officer of Customs, which in this case, is the "IMPORT/ WAREHOUSE DECLARATION WITHDRAWAL (B371 SEP/05)" form (section 4A(1)). The form's approval follows the repeal of section 71A and the introduction of three new methods of entering goods for home consumption or warehousing, as outlined in the Customs Legislation Amendment and Repeal (International Trade Modernisation) Act 2001. The new form is intended to align with these updated methods of entry, which include an import declaration under section 71A, a request for cargo release under section 71DB, and a warehouse declaration under section 71DH (subsection 4(1)).
The obligations and requirements imposed by the Act on the parties or entities it governs are primarily administrative in nature. Importers and other stakeholders must ensure that any documentary withdrawal of an import entry is made using the approved form. This requirement is crucial for maintaining the integrity of the customs process and ensuring that the appropriate procedures are followed. The new form must be used to withdraw import entries that reference the updated methods of entering goods for home consumption or warehousing. Compliance with this requirement is essential to avoid any disruptions in the clearance process of imported goods.
The Act also delineates the consequences for non-compliance or breaches of its provisions. While the Explanatory Statement does not explicitly detail the specific offences, penalties, or consequences for breaches, it is reasonable to infer that the non-use of the approved form for withdrawing import entries could lead to administrative penalties or delays. The seriousness of such breaches might also potentially lead to further scrutiny or penalties under the broader customs framework. The precise nature and extent of penalties are not specified in the Explanatory Statement but would likely be consistent with other provisions of the Customs Act 1901 and related instruments.