Customs By-law No. 1303592

Overview

The Customs By-law No. 1303592, enacted in 2013, serves to update and replace an existing by-law in accordance with the Customs Tariff Amendment (Schedule 4) Act 2012. This legislative instrument was introduced to address the need for new by-laws as part of the transition to a new Schedule 4 in the Customs Tariff Act 1995, which involves redefining the application of duties on certain goods. Specifically, this by-law pertains to fabrics specially prepared or coated for use in the manufacture of emery cloth, ensuring that these goods are appropriately classified and dutiable under the new schedule. The by-law was enacted by the Chief Executive Officer of Customs, pursuant to the authority granted under Section 271 of the Customs Act 1901. The policy objective of this by-law is to maintain consistency and clarity in the application of customs duties, ensuring that goods are correctly classified and taxed according to the updated tariff schedule.

Scope and Application

The Customs By-law No. 1303592 applies to fabrics classified under headings 5903 or 5907 in Schedule 3, specifically those that are specially prepared or coated for use in the manufacture of emery cloth. This includes fabrics coated with abrasive substances such as aluminium oxide, garnet, natural emery, or silicon carbide, which are integral to the creation of emery cloth. The by-law operates within the jurisdictional reach of the Commonwealth of Australia, as it is a regulation derived from the Customs Act 1901 and the Customs Tariff Act 1995. The legislation does not explicitly state any exclusions, exemptions, or thresholds beyond the specific classification of fabrics. The by-law extends its application to all entities and industries involved in the importation and manufacturing of these specially prepared or coated fabrics, ensuring compliance with the prescribed duties of customs as defined in the Customs Tariff. The by-law comes into effect on 1 March 2013, in alignment with the commencement date of the Customs Tariff Amendment (Schedule 4) Act 2012.

Key Provisions

The main operative sections of By-law No. 1303592 under the Customs Act 1901 (section 271) pertain to the imposition of customs duties on specific goods. This by-law, effective from 1 March 2013, establishes that textiles, clothing, and footwear classified under headings 5903 or 5907 in Schedule 3, which are specially prepared or coated for use in the manufacture of emery cloth, will be dutiable at the rate of "Free". The by-law effectively replaces previous By-law No. 9540001, ensuring that the updated legislative framework aligns with the new Customs Tariff Amendment (Schedule 4) Act 2012. It is important to note that this by-law does not require any consultation as it does not alter existing arrangements. The obligations imposed by this by-law are primarily administrative and compliance-oriented. Importers, exporters, and other relevant entities must ensure that any goods falling under the specified classifications and intended uses are correctly identified and declared. This includes verifying that the fabrics or materials meet the criteria outlined in the by-law, specifically those coated with abrasive substances such as aluminium oxide, garnet, natural emery, or silicon carbide for the manufacture of emery cloth. Failure to accurately identify and declare such goods may result in non-compliance with customs regulations, potentially leading to delays or other administrative issues. The by-law does not outline specific offences or penalties for non-compliance, but general provisions under the Customs Act 1901 apply. These may include civil or criminal penalties for knowingly or recklessly providing false or misleading information, or for failing to comply with customs requirements. Penalties for such breaches can be severe, including fines and, in the case of criminal offences, imprisonment. The exact penalties depend on the nature and severity of the breach, but they are intended to enforce compliance and uphold the integrity of the customs system. Overall, By-law No. 1303592 serves to clarify and update the customs duty regime for specific types of textiles and clothing, ensuring that the updated legislative framework is implemented effectively and consistently. Importers and other stakeholders must ensure they are aware of these changes to avoid any potential compliance issues.