EXPLANATORY STATEMENT
Customs By-law No. 1306509
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. The Customs Tariff Act 1995 (the Customs Tariff Act) is a Customs Tariff for the purposes of the Act.
Background
The Customs Tariff Amendment (Schedule 4) Act 2012 will repeal the existing Schedule 4 of the Customs Tariff Act and replace it with a new Schedule 4. As part of this process, new
by-laws are required for all items that provide for goods to be prescribed by by-law.
Item 37 in the new Schedule 4 replaces item 59 of the previous Schedule 4 to the Customs Tariff Act. Item 37 provides that used or second-hand passenger motor vehicles, as prescribed by by-law, are dutiable at the rate of “Free”.
New By-law No. 1306509 replaces previous By-law No. 0140001.
Instrument
By-law No. 1306509 prescribes used or second-hand passenger motor vehicles classified under heading 8703 of Schedule 3. The importation must be approved, in writing, by the Minister administering the Motor Vehicle Standards Act 1989 in accordance with the circumstances prescribed under section 20(1)(b) of the Motor Vehicle Standards Act 1989.
Consultation
No consultation was undertaken in relation to By-law No. 1306509 as it does not alter existing arrangements.
Human Rights Implications
This 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.
Commencement
By-law No. 1306509 takes effect on and from the date that the Customs Tariff Amendment (Schedule 4) Act 2012 commences, that is 1 March 2013.
Overview
The Customs By-law No. 1306509, introduced under Section 271 of the Customs Act 1901, was enacted to facilitate the transition to a new Customs Tariff as amended by the Customs Tariff Amendment (Schedule 4) Act 2012. This by-law, which took effect on 1 March 2013, is aimed at replacing the previous By-law No. 0140001 to prescribe used or second-hand passenger motor vehicles, classified under heading 8703 of Schedule 3, as dutiable at the rate of "Free". The by-law was introduced to ensure compliance with the new Customs Tariff and does not alter existing arrangements. The enactment of this by-law ensures that the importation of such vehicles continues to be governed by the specific conditions stipulated under section 20(1)(b) of the Motor Vehicle Standards Act 1989, requiring approval from the Minister administering the Act.
Scope and Application
The Customs By-law No. 1306509, implemented under the Customs Act 1901, pertains to the regulation of the importation of used or second-hand passenger motor vehicles classified under heading 8703 of Schedule 3. This by-law specifically applies to these types of vehicles, and its application extends to ensuring that the importation is approved in writing by the Minister administering the Motor Vehicle Standards Act 1989, in accordance with the prescribed circumstances under section 20(1)(b) of that Act. The geographic reach of this by-law is national, applying uniformly across Australia. The by-law was enacted to align with the Customs Tariff Amendment (Schedule 4) Act 2012, which introduced changes to the Customs Tariff Act 1995, including the replacement of item 59 with item 37. Notably, this by-law does not engage or impact upon human rights, as confirmed in the Human Rights (Parliamentary Scrutiny) Act 2011. By-law No. 1306509 became effective on 1 March 2013, the date the Customs Tariff Amendment (Schedule 4) Act 2012 commenced.
Key Provisions
The Customs By-law No. 1306509, made under section 271 of the Customs Act 1901, outlines the conditions for the importation of used or second-hand passenger motor vehicles. As per section 4 of the Act, these vehicles are now classified under heading 8703 of Schedule 3 and are dutiable at the rate of "Free" as stipulated in item 37 of the new Schedule 4 of the Customs Tariff Act. This change replaces the previous item 59 and necessitates the new by-law to align with the Customs Tariff Amendment (Schedule 4) Act 2012.
The by-law imposes specific obligations on importers of used or second-hand passenger motor vehicles. Importers must ensure that these vehicles are classified correctly under heading 8703 and obtain prior written approval from the Minister administering the Motor Vehicle Standards Act 1989. This approval must align with the criteria set out in section 20(1)(b) of the Motor Vehicle Standards Act 1989, which generally concerns the safety and compliance of vehicles with Australian standards.
Failure to comply with the provisions of this by-law could result in legal consequences. Although the explanatory statement does not detail specific offences or penalties, breaches of the Customs Act 1901 can lead to civil or criminal penalties, including fines or imprisonment, depending on the severity of the breach. Given the potential complexities and implications of customs and import laws, it is crucial for parties involved to ensure strict adherence to the by-law's requirements.
In summary, By-law No. 1306509 effectively governs the importation of used or second-hand passenger motor vehicles by setting out clear conditions for classification and approval. Compliance with these provisions is essential to avoid potential legal repercussions under the Customs Act 1901 and related legislation.