Notice of Intention to Propose Customs Tariff Alterations Notice (No. 4) 2021

Overview

The Customs Act 1901, as amended, includes provisions for the Minister for Home Affairs to propose alterations to the Customs Tariff. In Notice (No. 4) 2021, published in the Gazette on 15 December 2021, Suzanne Ford, as delegate of the Minister for Home Affairs, has indicated an intention to propose changes to the Customs Tariff, effective from 1 January 2022. This notice is in accordance with section 273EA of the Customs Act 1901, which facilitates the amendment process within the Parliament. The specific alterations, detailed in the Schedule, involve modifications to tariff codes within the Customs Tariff Act 1995, reflecting updates to the classifications of goods under the Harmonised System. The notice aims to ensure transparency and provide timely information to stakeholders regarding impending changes to tariff classifications.

Scope and Application

The Customs Act 1901, through this notice, proposes amendments to the Customs Tariff, impacting the classification and duties on certain imported goods. This legislative action applies to all entities and persons involved in the import and export of goods subject to these tariff changes. The alterations specified in the Schedule affect particular tariff codes, altering the classifications and associated duties for these goods, effective from 1 January 2022. The alterations are aimed at adjusting the customs tariff to better align with international standards and trade practices. While the notice specifies the changes, it does not explicitly mention any exclusions or exemptions from these alterations, indicating that the modifications will apply broadly across the affected tariff items unless otherwise stated in subordinate instruments. The changes extend to the national level, influencing customs practices throughout Australia, and will be implemented following parliamentary approval within the stipulated timeframe.

Key Provisions

The Customs Act 1901, under section 273EA, mandates that any proposal to alter the Customs Tariff must be communicated via a Notice of Intention. This particular notice (No. 4) 2021, issued by Suzanne Ford, the delegate of the Minister for Home Affairs, informs that a proposal for Customs Tariff alteration will be presented in Parliament within 7 sitting days of the House of Representatives following the publication of this notice in the Gazette. The alterations, as per the schedule of this notice, are intended to take effect from 1 January 2022. The alterations to the Customs Tariff, as specified in the Schedule, involve changes to tariff classifications. Specifically, Schedule 3, Chapter 13, paragraph (g) of Note 1, will have the code "(3006)" omitted and replaced with "(3822)". Additionally, Schedule 14, at the table item 270 in column 2, will see the repeal of an existing cell, which will be substituted with "3808.93.00". These changes are intended to modify how certain goods are classified under the Customs Tariff. Entities and individuals governed by the Customs Act 1901 are required to adhere to these changes in tariff classifications. This includes ensuring that any declarations, invoices, or other documentation reflect the updated tariff codes as of the effective date, 1 January 2022. Non-compliance with these updated tariff classifications may result in incorrect duties or charges being applied, potentially leading to legal or financial repercussions. Breaches of the Customs Act 1901, including failure to comply with the altered tariff classifications, may result in civil or criminal penalties. The maximum penalties for such breaches can be substantial, depending on the severity and intent behind the non-compliance. Civil penalties may include fines, while criminal penalties can include imprisonment, reflecting the seriousness with which the Australian government treats violations of customs regulations.