Customs By-law No. 1300603

Overview

Customs By-law No. 1300603 was enacted in 2013 to address the need for updated regulations in line with changes introduced by the Customs Tariff Amendment (Schedule 4) Act 2012. This by-law, made under section 271 of the Customs Act 1901, facilitates the application of the new Schedule 4 of the Customs Tariff Act, which replaced the previous Schedule 4. The by-law specifies the goods that are exempt from duty for the official use of international organisations established by agreements between Australia and other countries, as well as for the official or personal use of officials of such organisations. This legislative instrument does not alter existing arrangements and therefore did not require consultation. The by-law also clarifies that these goods must not be used for items that would be subject to excise duty if produced or manufactured in Australia. Importantly, this by-law does not impact on any human rights as defined under the Human Rights (Parliamentary Scrutiny) Act 2011.

Scope and Application

The Customs By-law No. 1300603 applies to goods that are for the official use of international organisations established by agreement between Australia and one or more countries, as well as to goods for the official or personal use of officials of such organisations. This by-law is a subordinate instrument of the Customs Act 1901, and its primary purpose is to implement the provisions of item 9 in the new Schedule 4 of the Customs Tariff Act 1995. This by-law replaces the previous By-law No. 9640001, which governed similar provisions under the old Schedule 4 of the Customs Tariff Act. The geographic reach of the by-law is national, as it applies to international organisations and officials across Australia. It is important to note that the by-law does not apply to goods that would be subject to excise duty if produced or manufactured in Australia. Additionally, the by-law does not engage, impact on, or limit in any way the human rights and freedoms recognised or declared in the international instruments listed in the definition of human rights at section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011. The by-law took effect on 1 March 2013, in line with the commencement date of the Customs Tariff Amendment (Schedule 4) Act 2012.

Key Provisions

The Customs By-law No. 1300603, under the Customs Act 1901 (section 271), outlines the requirements for goods that are prescribed by by-law, particularly in relation to their duty status. This by-law specifies that goods for the official use of an international organisation established by agreement between Australia and one or more countries, or for the official or personal use of an official of such an organisation, are dutiable at the rate of “Free” (paragraph 3(a)). It also mandates that such goods, specifically furniture, personal, and household effects, should be used solely for their intended purposes and not for producing or manufacturing items that would otherwise be subject to excise duty in Australia (paragraph 4(a)). Furthermore, the by-law identifies three specific international organisations listed in Table 1 and two in Table 2 that are subject to these provisions. The obligations under this by-law require the international organisations listed in Table 1 to ensure that the prescribed goods are used exclusively for their official purposes and not for producing items subject to excise duty. Similarly, officials of the organisations listed in Table 2 must adhere to the same restrictions regarding the use of prescribed goods, particularly in avoiding the use for motor vehicles or goods that would incur excise duty if manufactured in Australia. These obligations are intended to maintain the integrity of the duty-free status of the prescribed goods. Failure to comply with the provisions of this by-law may result in penalties. Although specific penalties are not detailed in the explanatory statement, breaches of the Customs Act 1901 generally may lead to significant civil or criminal consequences, including fines and imprisonment, depending on the severity and intent of the breach. The by-law underscores the importance of adhering to the stipulated guidelines to avoid any legal repercussions.