Customs Amendment Regulations 1998 (No. 5)

Administered by Attorney-General's Department

Legislation au F1998B00292 Regulations Not in force Legislative Instrument

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Customs Amendment Regulations 1998 (No. 5) 1998 No. 276

EXPLANATORY STATEMENT

STATUTORY RULES 1998 NO. 276

Issued by the Authority of the Minister for Customs and Consumer Affairs

Customs Act 1901

Customs Amendment Regulations 1998

Section 270 of the Customs Act 1901 ("the Act") provides in part that the Governor-General may make regulations not inconsistent with the Act prescribing all matters which by the Act are required or permitted to be prescribed for giving effect to the Act.

Tariff Concession Orders - TCOs

Part XVA of the Act (sections 269B to 269SL inclusive) provides for the making of Tariff Concession Orders ("TCOs").

In accordance with these provisions, a person may apply to the Chief Executive Officer ("CEO of Customs") for a TCO in respect of particular goods. Where a TCO is granted, those goods may by imported concessionally by any person. Section 269K of the Act provides a procedure for a TCO application to be notified in the Gazette, so that any affected persons may lodge objections to the granting of a TCO. The basis of an objection is that the objector produces substitutable goods in Australia in the ordinary course of business (section 269C).

Section 269SJ of the Act provides that the CEO of Customs must not make a TCO in respect of certain goods, including goods which are declared by the regulations to be goods to which a TCO should not extend.

Paragraph 185(1)(a) of the Customs Regulations ("the Regulations") provides that, for the purposes of subsection 269SJ(1) of the Act, a TCO should not extend to goods in respect of which the general rate of customs duty specified in the Customs Tariff is 15%.

Subregulation 185(2) of the Regulations provides that the restriction in relation to paragraph 185(1)(a) does not apply in respect of those goods listed in subregulation 185(2).

Purpose of Regulations

The purpose of the regulation is to restore the power of the CEO of Customs to make a TCO in relation to liquid fuel carburettors. Importers can now apply to the CEO of Customs to make a TCO in relation to liquid fuel carburettors (regulation 5).

In addition, the Customs Regulations have been re-named the Customs Regulations 1926 in accordance with the new drafting style (regulation 4).

Background

In 1988 a Commercial Tariff Concession Order ("CTCO") was made in relation to all carburettors. In 1996, that CTCO was revoked upon the application of a manufacturer who produced gas fuel carburettors in Australia. That manufacturer does not produce liquid fuel carburettors.

Importers of liquid fuel carburettors are now to be given the opportunity to apply to the CEO of Customs for a TCO in relation to those particular carburettors. Prior to these amendments the CEO of Customs could not make a TCO in relation to liquid fuel carburettors because carburettors attract a duty rate of 15%, and thereby attracted the operation of regulation 185.

A new paragraph has been inserted into regulation 185(2) to exclude liquid fuel carburettors from the restrictions imposed by paragraph 185(1)(a) of the Regulations.

Details of the amendments are set out in the Attachment.

The Regulations commenced on gazettal.

ATTACHMENT

Regulation 1 - Name of regulations

Subregulation 1.1 provided that the regulations are named the "Customs Amendment Regulations 1998".

Regulation 2 - Commencement

Subregulation 2.1 provided that the regulations commenced on gazettal.

Regulation 3 - Amendment

Subregulation 3.1 provided that the Customs Regulations ("the Regulations") are amended as set out in the regulations.

Regulation 4 - Regulation 1 (Citation)

Subregulation 4.1 omitted and substituted regulation 1 of the Regulations. New regulation 1 renames the Regulations as the Customs Regulations 1926. This is in accordance with the new drafting style of Statutory Rules under which all regulations are being re-named to include the year that the Regulations were originally made.

Regulation 5 - Regulation 185 (Restrictions on TCOs)

Subregulation 5.1 inserted new paragraph 185(2)(e), which exempts liquid fuel carburettors from the operation of paragraph 185(1)(a) of the Regulations, therefore restoring the facility to obtain a TCO in relation to those goods.

 

Overview

The Customs Amendment Regulations 1998 (No. 5) were introduced to amend the existing Customs Regulations and restore the ability of the Chief Executive Officer of Customs to grant Tariff Concession Orders (TCOs) in relation to liquid fuel carburettors. This amendment was necessitated by the revocation of a Commercial Tariff Concession Order in 1996 that previously covered all types of carburettors, a decision that inadvertently affected the importation of liquid fuel carburettors. The Customs Act 1901, as amended by these regulations, allows for the creation of TCOs to provide concessional import terms for specific goods, provided that the general rate of customs duty is not 15%, among other criteria. The regulations were enacted by the Minister for Customs and Consumer Affairs to address the gap left by the revocation, ensuring that importers of liquid fuel carburettors can again apply for TCOs, thus facilitating their importation under more favourable terms.

Scope and Application

The Customs Amendment Regulations 1998 (No. 5) amends the Customs Regulations 1926 to modify the scope and application of Tariff Concession Orders (TCO) under the Customs Act 1901. These regulations apply to all persons and entities involved in the importation of goods into Australia, with a specific focus on importers of liquid fuel carburettors who seek to benefit from tariff concessions. The amendments allow the Chief Executive Officer of Customs to grant TCOs for liquid fuel carburettors, reversing a previous restriction that prevented such concessions due to the goods attracting a general rate of customs duty of 15%. The regulations also rename the Customs Regulations 1926 to align with the new drafting style of statutory rules. Notably, these regulations do not apply to goods that attract a duty rate of 15% unless specifically exempted under the new provisions. The changes are effective from the date of gazettal, extending the regulatory framework to accommodate the specific needs of the industry while maintaining existing restrictions on other goods.

Key Provisions

The Customs Amendment Regulations 1998 (No. 5) primarily modify the Customs Regulations 1926 to address certain restrictions on Tariff Concession Orders (TCOs). Specifically, section 269K (referenced as section 269SJ in the Act) outlines the procedure for objecting to the granting of a TCO, while section 269K(1)(a) of the Regulations states that a TCO should not extend to goods where the general rate of customs duty is 15%. Regulation 185(2) of the Customs Regulations further specifies exceptions to this rule. These regulations impose obligations on the Chief Executive Officer (CEO) of Customs to consider applications for TCOs in relation to particular goods, including liquid fuel carburettors, which are now explicitly allowed under the amended regulation 185(2)(e). The CEO must ensure that any TCO applications follow the required procedures, including publishing the application in the Gazette to allow for objections from any interested parties. Additionally, the regulations require that any TCOs granted must not conflict with the overarching provisions of the Customs Act 1901. Breaching the provisions of these regulations can result in civil or criminal penalties. For example, if the CEO of Customs fails to properly consider an application or ignores valid objections, they could be subject to legal action for misapplying their authority under the Act. The exact penalties for such breaches would depend on the nature and severity of the violation, but they could include fines or other enforcement actions as determined by the relevant courts.

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Area of Law
Customs Law
International Trade Law
Instrument
Regulation
Concepts
Regulatory Standards
Licensing & Registration
Reporting & Disclosure Obligations
Catchwords
Tariff Concession Orders

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Sourced from the Federal Register of Legislation at 26 August 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au.