EXPLANATORY STATEMENT
Instrument of Revocation No. 1 (2011)
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, that is the Customs Tariff Act 1995 (the Customs Tariff Act).
Section 33(3) of the Acts Interpretation Act 1901 provides that where an Act confers a power to make, grant or issue any instrument (including rules, regulations or by‑laws) the power shall, unless the contrary intention appears, be construed as including a power exercisable in the like manner and subject to the like conditions (if any) to repeal, rescind, revoke, amend, or vary any such instrument.
Background
On 26 July 2011, the Customs Tariff Amendment (2012 Harmonized System Changes) Act 2011 (the HS2012 Act) received the Royal Assent. This Act makes changes to tariff headings and subheadings in the Customs Tariff Act with effect from 1 January 2012.
The changes under the HS2012 Act affect the tariff headings and subheadings to which existing By-law Nos. 0618807, 9940022 and 9840006 refer. These by-laws relate to items 36 and 40A of Schedule 4 to the Customs Tariff Act, respectively. These items set out concessional rates of duty for goods specified in each respective item, as prescribed by by-law.
Instrument
To take into account the changes under the HS2012 Act, Instrument of Revocation No. 1 (2011) revokes By-laws Nos. 0618807, 9940022 and 9840006. The revoked by-laws are replaced under separate instruments by new By-laws Nos. 1134474, 1134476 and 1134478, respectively. The new by-laws incorporate the changes to the tariff headings and subheadings under the HS2012 Act, but are otherwise the same as the revoked by-laws.
Consultation
No consultation was undertaken in relation to Instrument of Revocation No. 1 (2011) as it is of a minor and machinery nature and does not alter existing arrangements.
Commencement
Instrument of Revocation No. 1 (2011) takes effect on and from 1 January 2012, the date on which new By-laws Nos. 1134474, 1134476 and 1134478 take effect.
Overview
The Customs Act 1901, enacted by the Commonwealth Parliament, addresses the administration of customs duties and other import and export-related matters in Australia. In 2011, the Customs Tariff Amendment (2012 Harmonized System Changes) Act 2011 was passed to update the Customs Tariff Act 1995 to align with the 2012 changes in the Harmonized System for tariff classification. To accommodate these changes, Instrument of Revocation No. 1 (2011) was issued to revoke certain by-laws that referred to the affected tariff headings and subheadings, ensuring that the customs regulations remained consistent with the updated tariff system. The revocation did not require consultation as it was deemed minor and did not alter existing arrangements, and it came into effect on 1 January 2012, coinciding with the commencement of the new by-laws.
Scope and Application
The Instrument of Revocation No. 1 (2011) applies to the Customs Act 1901, specifically addressing certain by-laws that were in place under the Customs Tariff Act 1995. These by-laws, namely Nos. 0618807, 9940022, and 9840006, were revoked to accommodate the changes introduced by the Customs Tariff Amendment (2012 Harmonized System Changes) Act 2011 (HS2012 Act). The revocation and subsequent replacement of these by-laws are intended to ensure that the tariff headings and subheadings comply with the updated legislation, thereby affecting the rates of duty applicable to specified goods as prescribed by by-law. The instrument applies to all entities and persons subject to the Customs Act 1901, particularly those involved in the importation or exportation of goods that fall under the affected tariff items. The geographic reach of this instrument is national, applying across Australia in accordance with the Commonwealth's legislative authority. The revocation does not alter existing arrangements and is considered a minor, administrative change, hence no consultation was deemed necessary. The instrument comes into effect on 1 January 2012, in alignment with the commencement of the new by-laws Nos. 1134474, 1134476, and 1134478, which incorporate the tariff changes specified by the HS2012 Act.
Key Provisions
The Instrument of Revocation No. 1 (2011) pertains to section 271 of the Customs Act 1901 (the Act), which allows the Chief Executive Officer of Customs to make by-laws for specific items in the Customs Tariff, as prescribed by by-law. This instrument revokes By-laws Nos. 0618807, 9940022 and 9840006, which were previously in effect, and replaces them with new By-laws Nos. 1134474, 1134476 and 1134478, respectively. These changes are necessitated by the Customs Tariff Amendment (2012 Harmonized System Changes) Act 2011 (the HS2012 Act), which introduced amendments to the tariff headings and subheadings in the Customs Tariff Act from 1 January 2012.
The obligations imposed by the Act on the parties or entities it governs include ensuring compliance with the new by-laws. This means that any entity dealing with goods covered under the revoked by-laws must now comply with the new by-laws Nos. 1134474, 1134476 and 1134478. These new by-laws maintain the same conditions and requirements as the revoked ones, but with updated tariff headings and subheadings to reflect the changes introduced by the HS2012 Act.
The revocation and replacement of the by-laws are designed to ensure that the Customs Tariff remains aligned with the updated international classification system, the Harmonized System (HS), as of 1 January 2012. This alignment is crucial for maintaining consistency and accuracy in the application of customs duties and regulations. Failure to comply with these new by-laws could result in penalties under the Customs Act 1901, which may include fines and other enforcement actions. The exact penalties are not specified in the Instrument of Revocation No. 1 (2011), but they are generally aligned with the provisions of the Customs Act 1901, which can impose substantial fines and other civil or criminal penalties for non-compliance with customs regulations.