EXPLANATORY STATEMENT
Tariff Concessions Revocation Instrument 76/2007
Customs Act 1901
Background
Part XVA of the Customs Act 1901 (the Act) sets out a scheme under which Tariff Concession Orders (TCOs) may be made and revoked by the Chief Executive Officer of Customs (the CEO). A lower rate of customs duty applies to goods that are the subject of a TCO.
Under sections 269C and 269P of the Act, a TCO will be made if the application for the TCO meets the core criteria, that is, on the day on which the application was lodged, no substitutable goods were produced in Australia in the ordinary course of business.
Subsection 269SD(2) of the Act provides that if the CEO is satisfied that:
− because of an amendment of the Customs Tariff Act 1995; or
− having regard to a decision of a court of the Administrative Appeals Tribunal; or
− having regard to written advice on the matter given by an officer of Customs;
the tariff classification that is stated in a TCO to apply to the goods the subject of the TCO has not, with effect from a particular day, applied to those goods, the CEO must:
− make an order revoking the TCO with effect from that day; and
− make a new TCO in respect of the goods with effect from the revocation.
Instrument
Tariff Concessions Revocation Instrument No 76/2007 was made on 30 April 2007. It revokes TCO 0614406 and makes TCO 0704548. The tariff classification has been changed from 8519.89.90 to 8519.81.90 because of a tariff classification change.
Consultation
No consultation was undertaken since the change is minor or machinery nature and does not substantially alter existing arrangements.
Commencement
Subsection 269SD(2) provides that the order revoking the TCO has effect from the day on which the tariff classification did not apply to the goods. Further the new TCO has effect from the revocation. Subsection 269SD(4) provides that the day may be the day on which the old TCO came into force or a later day.
Subsection 269SD(6) provides that section 269SD has effect despite section 12 of the Legislative Instruments Act 2003. Section 12 prohibits the making of certain retrospective legislative instruments.
Tariff Concessions Revocation Instrument No. 76/2007 revoked 0614406 and made new TCO 0704548 on 30 April 2007.
Overview
The Tariff Concessions Revocation Instrument 76/2007, enacted in 2007, is a legislative instrument designed to address minor changes in tariff classifications under the Customs Act 1901. This instrument was introduced to ensure the continued accuracy and relevance of tariff concessions applied to certain goods, reflecting updates in the Customs Tariff Act 1995 or decisions from courts or tribunals. The Customs Act 1901, enacted by the Parliament of Australia, establishes a framework where tariff concessions can be adjusted or revoked to maintain fairness and compliance with current legal standards. The policy objective is to streamline the customs process by ensuring that tariff classifications remain current and correctly applied to goods entering the Australian market, thus facilitating trade while maintaining regulatory integrity. The instrument was issued without consultation due to its minor nature and the fact that it does not significantly alter existing arrangements.
Scope and Application
The Tariff Concessions Revocation Instrument 76/2007 under the Customs Act 1901 applies specifically to the revocation of Tariff Concession Orders (TCOs) as stipulated under sections 269C and 269P of the Act. This instrument governs the process through which the Chief Executive Officer of Customs (CEO) revokes a TCO and issues a new one, should the tariff classification of goods change due to amendments in the Customs Tariff Act 1995, court decisions, or written advice from Customs officers. This legislation pertains to entities and industries involved in importing goods that are subject to tariff concessions, ensuring that they comply with the correct tariff classifications. Geographically, this Act operates under the Commonwealth jurisdiction, applying across Australia. There are no stated exclusions or exemptions within the text, and the instrument extends its application through subordinate instruments by revoking the previous TCO and implementing a new one effective from the specified date. The revocation and subsequent new TCO are designed to align with the current tariff classifications, ensuring compliance with the Customs Act 1901.
Key Provisions
The Tariff Concessions Revocation Instrument 76/2007 (F2007L01407) operates under the Customs Act 1901, particularly sections 269C, 269P, and 269SD, to revoke and replace a Tariff Concession Order (TCO). Specifically, section 269SD(2) mandates that if the Chief Executive Officer (CEO) of Customs is satisfied that a tariff classification in a TCO no longer applies due to an amendment in the Customs Tariff Act 1995, a court decision, or written advice from a Customs officer, the CEO must revoke the existing TCO and issue a new one. The Instrument revoked TCO 0614406 and issued TCO 0704548 on 30 April 2007, adjusting the tariff classification from 8519.89.90 to 8519.81.90.
The obligations imposed by this Act on the parties involved include ensuring that the tariff classifications stated in any TCO accurately reflect the goods they cover. The CEO of Customs has a duty to review and, if necessary, revoke and replace TCOs when changes in tariff classifications occur. This requires Customs to maintain up-to-date and accurate tariff classifications and to communicate any changes promptly.
Any failure to comply with the provisions of the Customs Act 1901 in relation to TCOs may result in significant consequences. While the explanatory statement does not detail specific offences or penalties, it is reasonable to infer that breaches could lead to legal challenges, financial penalties, or other enforcement actions under the Act. Given the importance of accurate tariff classifications in trade and customs duties, non-compliance could also result in financial losses or disruptions for businesses relying on the concessions provided by TCOs.