Customs Licensing Charges Amendment Act 2024
No. 80, 2024
An Act to amend the Customs Licensing Charges Act 1997, and for related purposes
Contents
1 Short title
2 Commencement
3 Schedules
Schedule 1—Amendments
Customs Licensing Charges Act 1997
Customs Licensing Charges Amendment Act 2024
No. 80, 2024
An Act to amend the Customs Licensing Charges Act 1997, and for related purposes
[Assented to 5 September 2024]
The Parliament of Australia enacts:
1 Short title
This Act is the Customs Licensing Charges Amendment Act 2024.
2 Commencement
(1) Each provision of this Act specified in column 1 of the table commences, or is taken to have commenced, in accordance with column 2 of the table. Any other statement in column 2 has effect according to its terms.
Commencement information |
Column 1 | Column 2 | Column 3 |
Provisions | Commencement | Date/Details |
1. The whole of this Act | A single day to be fixed by Proclamation. However, if the provisions do not commence within the period of 6 months beginning on the day this Act receives the Royal Assent, they commence on the day after the end of that period. | 5 March 2025 |
Note: This table relates only to the provisions of this Act as originally enacted. It will not be amended to deal with any later amendments of this Act.
(2) Any information in column 3 of the table is not part of this Act. Information may be inserted in this column, or information in it may be edited, in any published version of this Act.
3 Schedules
Legislation that is specified in a Schedule to this Act is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to this Act has effect according to its terms.
Schedule 1—Amendments
Customs Licensing Charges Act 1997
1 Section 6
Repeal the section, substitute:
6 Amount of depot licence charge
Grant of licence
(1) The amount of depot licence charge payable in respect of the grant of a depot licence is:
(a) for the grant of a depot licence that comes into force on a 1 July—$4,000, or, if another amount not exceeding $6,000 is prescribed, that other amount; or
(b) for the grant of a depot licence that comes into force on a day in a financial year other than 1 July—the amount worked out using the formula:
Renewal of licence
(2) Subject to subsection (3), the amount of depot licence charge payable in respect of the renewal of a depot licence is $4,000, or, if another amount not exceeding $6,000 is prescribed, that other amount.
(3) If:
(a) the depot concerned was licensed under Part IVA of the Customs Act during the whole of the period of 12 months ending on the last 31 March before the start of the financial year for which the renewal is sought; and
(b) there were less than 300 transactions handled in relation to the depot during that 12‑month period;
the amount of depot licence charge payable in respect of the renewal of the depot licence is $1,500, or, if another amount not exceeding $2,250 is prescribed, that other amount.
2 Application provision
The repeal and substitution of section 6 of the Customs Licensing Charges Act 1997 made by this Schedule applies in relation to the following:
(a) the grant of a depot licence on or after the day on which this item commences;
(b) the renewal of a depot licence on or after the day on which this item commences, whether the depot licence was granted before, on or after that day.
[Minister’s second reading speech made in—
House of Representatives on 26 June 2024
Senate on 15 August 2024]
Overview
The Customs Licensing Charges Amendment Act 2024 was enacted by the Parliament of Australia to amend the Customs Licensing Charges Act 1997, addressing the need for updated and more flexible licensing charges for depot licences. The Act received Royal Assent on 5 September 2024 and will commence on a date to be fixed by proclamation, but no later than 5 March 2025. The primary objective of this legislation is to provide a revised formula for calculating depot licence charges, aiming to ensure that the fees are reflective of the operational requirements and transaction volumes of the licensed depots. The Act introduces a tiered charge structure, where the amount payable for the grant and renewal of depot licences varies based on the timing of the licence and the historical transaction volume of the depot.
Scope and Application
The Customs Licensing Charges Amendment Act 2024 amends the Customs Licensing Charges Act 1997 to modify the charges associated with the grant and renewal of depot licences. This Act applies to any person or entity that is subject to the provisions of the Customs Licensing Charges Act 1997, specifically those involved in the import and export processes that require a depot licence. The amendments affect all depot licences granted or renewed on or after the commencement date of the Act, which is set to be 5 March 2025 unless otherwise proclaimed. The amendments are designed to adjust the financial obligations for those seeking to establish or maintain a depot licence based on the timing of the licence grant and the volume of transactions handled by the depot in the preceding financial year. This Act operates nationally, given its foundation under Commonwealth legislation, thus encompassing all states and territories within Australia. There are no exclusions or exemptions specified in the Act itself; however, further details on any applicable exclusions or exemptions may be detailed in subordinate instruments or regulations that extend or restrict the application of the Act.
Key Provisions
The Customs Licensing Charges Amendment Act 2024 amends the Customs Licensing Charges Act 1997, particularly focusing on the fees associated with depot licences. Section 6 (1) now stipulates that the depot licence charge for a licence that takes effect on July 1st is $4,000, or an alternative amount not exceeding $6,000 if prescribed. For licences that take effect on any other day, the charge is calculated using a specified formula. Additionally, the charge for the renewal of a depot licence is generally set at $4,000 or another prescribed amount not exceeding $6,000, unless the depot was licensed under Part IVA of the Customs Act for the entire preceding 12-month period and handled fewer than 300 transactions during that time, in which case the renewal charge is reduced to $1,500 or another prescribed amount not exceeding $2,250. These amendments apply to licences granted or renewed after the commencement date of the Act.
Entities or individuals subject to the Customs Licensing Charges Act 1997, particularly those seeking a depot licence or its renewal, must adhere to the new fee structure as outlined in the amended Section 6. This involves ensuring compliance with the prescribed amounts or the calculation formula for the licence fees. For those who meet the criteria of low transaction volumes over the preceding 12 months, they must ensure they apply for the reduced renewal fee to avoid overpayment.
The Act does not explicitly state any specific offences, penalties, or civil/criminal consequences for breaches related to the fee structure. However, non-compliance with the fee requirements could potentially lead to administrative actions or disputes regarding the validity of the depot licence. It is essential for applicants and renewal seekers to accurately calculate and remit the correct fees as stipulated in the amended Act to avoid any potential complications with their depot licence.