Overview

The Tariff Concessions Revocation Instrument 143/2011, enacted on 29 July 2011, addresses the issue of unused Tariff Concession Orders (TCOs) within the framework of the Customs Act 1901. This legislative instrument is made by the Chief Executive Officer of Customs under the authority granted by sections 269C, 269P, and 269SD of the Act. The primary policy objective is to ensure that tariff concessions are effectively utilised and do not remain dormant, thereby maintaining the efficiency and fairness of the customs duty system. By revoking TCO 0946613, the instrument aims to remove unnecessary concessions that have not been applied in the preceding two years, thereby ensuring that the concessional rates are only available for genuinely in-use orders. This revocation is effective from the date the CEO is satisfied that the TCO has not been used, as specified in subsection 269SD(1A) of the Act.

Scope and Application

The Tariff Concessions Revocation Instrument No. 143/2011 applies specifically to Tariff Concession Orders (TCOs) under the Customs Act 1901. This legislation affects entities that had previously been granted tariff concessions on imported goods. The revocation of TCO 0946613 is based on the CEO’s satisfaction that the concession has not been utilised in the preceding two years, rendering it unnecessary. The geographic reach of this Act is national, as it pertains to the Commonwealth of Australia. The Act does not extend its application through subordinate instruments but provides specific criteria under sections 269C, 269P, and 269SD(1A) for the creation and revocation of TCOs. Notably, the revocation of the TCO will not affect businesses as it has not been used in the past two years, and no consultation was undertaken in this matter. The revocation took effect from the day the CEO became satisfied about the non-utilisation of the TCO, with the order coming into force on 27 July 2011.

Key Provisions

The Tariff Concessions Revocation Instrument No. 143/2011 revokes Tariff Concession Order (TCO) 0946613 as stipulated under sections 269C, 269P, and 269SD of the Customs Act 1901 (the Act). This instrument was made on 29 July 2011 by the Chief Executive Officer of Customs (the CEO) based on their satisfaction that the TCO had not been used in the two years preceding the revocation date of 27 July 2011. This revocation means that the lower rate of customs duty, which was applicable to goods subject to the TCO, is no longer in effect. The Act imposes specific obligations on the CEO to ensure that TCOs are revoked when they are no longer required. Under section 269SD(1A), the CEO must revoke a TCO if satisfied that it has not been quoted in an import entry to secure a concessional rate of duty in the preceding two years. This ensures that tariff concessions are only in place when they are actually being utilised, preventing unnecessary advantages from being extended to goods that are not being imported under the concession. Failing to comply with the requirements to revoke a TCO when it is no longer needed could lead to significant consequences. However, the Explanatory Statement does not detail specific offences, penalties, or civil/criminal consequences for such breaches. It is likely that any non-compliance would be addressed under the broader provisions of the Customs Act 1901, which could include fines or other penalties as prescribed by the Act. The revocation order itself has effect from the day the CEO becomes satisfied that the TCO has not been used, and section 269SD(6) ensures that this has effect despite certain retrospective legislative constraints under the Legislative Instruments Act 2003.