Customs Tariff Amendment Act (No. 2) 1986

Overview

The Customs Tariff Amendment Act (No. 2) 1986 was enacted to amend the Customs Tariff Act 1982, addressing specific issues related to the tariff classification and duty rates on various imported goods. This legislation was passed by the Queen, with the assent of the Senate and the House of Representatives of the Commonwealth of Australia, and came into effect shortly after receiving Royal Assent. The principal aim of the Act was to make precise adjustments to the tariff schedule, ensuring that the duties imposed on certain items were accurately reflected and updated according to the economic and trade policies of the time. By modifying the tariff classification and duties, the Act aimed to streamline customs procedures and provide clarity for importers and customs officials.

Scope and Application

The Customs Tariff Amendment Act (No. 2) 1986 applies to entities involved in the import and export of goods within the Commonwealth of Australia, specifically targeting the tariff adjustments as per the Customs Tariff Act 1982. This Act serves to modify the tariff rates, as outlined in Schedule 3 of the Principal Act, for specific items such as gold and platinum-plated gold that are unwrought or semi-manufactured. The amendments are designed to reflect changes in the economic policy and international trade agreements affecting these commodities. The Act's jurisdiction is limited to the Commonwealth level, thereby impacting all states and territories within Australia uniformly. There are no exclusions or exemptions specified in this particular Act; however, the scope of its application can be extended or restricted through subordinate instruments as necessary to implement the amendments effectively. The Act came into operation on the third day following its Royal Assent, ensuring prompt application of the new tariff rates.

Key Provisions

The Customs Tariff Amendment Act (No. 2) 1986 amends the Customs Tariff Act 1982, primarily through changes to Schedule 3 (section 3). The key operative section of this amendment is section 3, which modifies item 71.07 of Schedule 3 to the Principal Act. The amendment involves the removal of the existing item 71.07 and the substitution of a new item: “71.07 *GOLD, INCLUDING PLATINUM-PLATED GOLD, UNWROUGHT OR SEMI-MANUFACTURED Free..” This change effectively removes the tariff on unwrought or semi-manufactured gold, including platinum-plated gold. The obligations imposed by this Act primarily affect importers and exporters of gold and platinum-plated gold. Importers and exporters must now ensure that any unwrought or semi-manufactured gold, including platinum-plated gold, is classified correctly under the amended tariff schedule. This involves adhering to the new tariff classification which exempts these items from duty. The amendment requires these parties to update their classification and valuation processes to reflect this change in tariff treatment. For breaches related to incorrect classification or valuation contrary to the provisions of the amended tariff, there could be civil or criminal consequences. Although the specific penalties are not detailed in the Act, breaches of the Customs Tariff Act 1982 typically attract significant fines and, in severe cases, imprisonment. The exact penalties can depend on the nature and extent of the breach, as well as any associated fraudulent intent. Therefore, entities involved in the import and export of the specified goods must ensure compliance to avoid potential legal repercussions.