Customs By-law No. 1303574

Overview

The Customs By-law No. 1303574, enacted under the Customs Act 1901, addresses the need for updated regulations regarding the application of tariffs to specific classes of goods as mandated by the Customs Tariff Amendment (Schedule 4) Act 2012. This by-law, which comes into effect on 1 March 2013, is designed to align with the new Schedule 4 of the Customs Tariff Act, replacing the previous by-law No. 9340019. By prescribing fabrics classified under certain headings for use in the manufacture or repair of hot-air balloon envelopes, parachute canopies, or sails, this legislation ensures that these items are dutiable at the rate of "Free". The by-law was introduced by the Chief Executive Officer of Customs to maintain consistency and clarity in the application of customs duties, without altering existing arrangements or impacting human rights as defined in the Human Rights (Parliamentary Scrutiny) Act 2011.

Scope and Application

The Customs By-law No. 1303574, enacted under Section 271 of the Customs Act 1901, pertains to the imposition of duties on specific types of fabrics used in the manufacture or repair of hot-air balloon envelopes, parachute canopies, or sails. This by-law applies to fabrics classified under certain headings in Schedule 3 of the Customs Tariff Act 1995, which are intended for use in the specified applications. The by-law applies to individuals and entities involved in the importation or manufacture of these fabrics within Australia, ensuring that the prescribed goods are appropriately dutiable as per the new tariff schedule. The by-law has a national jurisdictional reach, applying across all states and territories in Australia. It should be noted that this by-law does not impact on human rights and was not subject to consultation as it maintains existing arrangements. By-law No. 1303574 came into effect on 1 March 2013, aligning with the commencement of the Customs Tariff Amendment (Schedule 4) Act 2012.

Key Provisions

The main operative sections of Customs By-law No. 1303574 are pivotal in defining the scope and application of the by-law. Under section 271 of the Customs Act 1901, the Chief Executive Officer of Customs is empowered to make by-laws for specific items in the Customs Tariff. In this instance, By-law No. 1303574 applies to fabrics classified under certain headings in Schedule 3 of the Customs Tariff Act 1995, specifically those designated for use in the manufacture or repair of hot-air balloon envelopes, parachute canopies, or sails. The by-law sets these fabrics as dutiable at the rate of “Free,” effectively exempting them from customs duty. The by-law imposes obligations on importers, manufacturers, and any entities involved in the importation or use of these specified fabrics. These parties must ensure that the fabrics they import or use fall under the classifications defined in the by-law to benefit from the duty exemption. Compliance with the by-law requires accurate classification and declaration of these fabrics in import documentation, ensuring that they are correctly identified as intended for the specified uses. There are no explicit offences, penalties, or consequences outlined for breaches of By-law No. 1303574. However, any failure to comply with the by-law could potentially lead to the imposition of customs duties, as the fabrics may no longer be considered exempt if they are misclassified or used outside the specified applications. Although the by-law itself does not detail specific penalties, any breaches of the Customs Act 1901 could result in civil or criminal sanctions, including fines or imprisonment, depending on the nature and severity of the breach.