EXPLANATORY STATEMENT
Customs By-law No. 1134476 (replacing Customs BL 9940022)
Customs Act 1901
Section 271 of the Customs Act 1901 (the Act) provides, in part, that where an item of a Customs Tariff is expressed to apply to goods, or to a class or kind of goods, as prescribed by by-law, the Chief Executive Officer of Customs may make by-laws for the purposes of that item. A Customs Tariff is defined in section 4 of the Act to mean an Act imposing duties of customs that is the Customs Tariff Act 1995 (the Customs Tariff Act).
Background
On 26 July 2011, the Customs Tariff Amendment (2012 Harmonized System Changes) Act 2011 (the HS2012 Act) received the Royal Assent. This Act repeals, from 1 January 2012, a tariff subheading to which item 36 of Schedule 4 to the Customs Tariff Act 1995 and related existing By-law No. 9940022 refers.
Existing item 36 sets out a ‘Free’ rate of duty for goods, as prescribed by by-law, that are classified to subheading 2903.49.10 inter alia. For item 36, the existing By‑law No. 9940022 applies to chlorofluorinated derivatives of hydrocarbons classified under subheading 2903.49.10, other than chlorodifluoromethane, as follows:
(a) for use in degreasing or cleaning of radio, television, electronic or electrical apparatus, or parts thereof; or
(b) for use otherwise than in the degreasing or cleaning of metal surfaces.
The HS2012 Act repeals subheading 2903.49.10 and the goods classified to this subheading are reclassified to new subheadings, 2903.71.00, 2903.72.00, 2903.73.00, 2903.74.00, 2903.75.00 and 2903.79.10, with effect from 1 January 2012.
Instrument
To take into account the changes under the HS2012 Act, By-law No. 9940022 is revoked from 1 January 2012 by Instrument of Revocation No. 1 (2011) and replaced by new By-law No. 1134476. The new by-law substitutes the reference to subheading 2903.49.10 with reference to new subheadings 2903.72.00, 2903.73.00, 2903.74.00, 2903.75.00 and 2903.79.00, but is otherwise the same as By-law No. 9940022.
Subheading 2903.71.00 applies to chlorodifluoromethane, therefore is excluded from By-law No. 1134474 in accordance with the terms of the by-law.
Consultation
No consultation was undertaken in relation to By-law No. 1134476 as it is of a minor and machinery nature.
Commencement
By-law No. 1134476 takes effect from 1 January 2012.