EXPLANATORY STATEMENT
STATUTORY RULES 1984 NO. 324
ISSUED BY THE AUTHORITY OF THE TREASURER
Introductory Note
These Statutory Rules amend regulation 7 of the Sales Tax (Exemptions and Classifications) Regulations to alter a reference to a Customs Tariff item contained in the regulation which item no longer exists following a restructuring of the Customs Tariff in 1982.
Regulation 7 prescribes goods which are exempt under sub-item 114B(3) in the First Schedule to the Sales Tax (Exemptions and Classifications) Act. The goods formerly prescribed were those covered by item 11 in Part I of the Second Schedule to the Customs Tariff. Sub-item 114B(3) gives effect to certain sales tax concessions required under the Status of Forces Agreement (SOFA) between the United States of America and Australia. The sub-item aims to exempt goods, as prescribed, imported by parcel post from the United States of America for the personal use of members of the United States Forces, or of members of the civilian component, or for the personal use of dependants of such members.
Following the restructuring of the Customs Tariff in 1982 by the Customs Tariff Act No. 113 of 1982, tariff item 11 was omitted from Part I of the Second Schedule and was incorporated in Part I of Schedule 4 (effective from 1 January 1983). Sales tax regulation 7, however, was not amended at that time to reflect this change.
The amendment to the regulations, which is effective on and after 1 January 1983, omits the reference to “the Second Schedule” and includes a reference to “Schedule 4”. It restores legislative effect to the exemption intended under sub-item 114B(3).
Regulation 1 amends regulation 7 of the Sales Tax (Exemptions and Classifications) Regulations by omitting “the Second Schedule” and substituting “Schedule 4”. The amendment is designed to facilitate exemptions from sales tax for goods which are intended to be covered by sub-item 114B(3) in the First Schedule to the Sales Tax (Exemptions and Classifications) Act but which, since changes made to the Customs Tariff by the Customs Tariff Act No.113 of 1982, have not formally been provided for under that sub-item.
Regulation 2 deems regulation 1 to have come into operation on 1 January 1983.