EXPLANATORY STATEMENT
Tariff Concessions Revocation Instrument 95/2007
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, in making a TCO, there has been a transcription error in the description of goods the subject of the TCO including the tariff classification that is stated in the TCO to apply to the goods, the CEO may:
− make an order revoking the TCO; and
− make a new TCO in respect of goods that corrects the error.
Instrument
Tariff Concessions Revocation Instrument No 95/2007 was made on 8 May 2007. It revokes TCO 0512941 and makes TCO 0706697 because of a certain transcription error.
Consultation
No consultation was undertaken since the change is minor or machinery nature and does not substantially alter existing arrangements.
Commencement
Subsection 269SD(3) provides that the order revoking the TCO has effect from the day on which the TCO came into force and the new TCO has effect from the revocation of the old TCO.
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.95/2007 revoked 0512941 and made new TCO 0706697 on 8 May 2007.
Overview
The Tariff Concessions Revocation Instrument 95/2007 was enacted in 2007 under the Customs Act 1901 to address transcription errors in Tariff Concession Orders (TCOs). This legislative instrument was introduced by the Chief Executive Officer of Customs (CEO) in response to a need to correct specific errors that had occurred in the description of goods subject to TCOs, including their tariff classification. This was necessary to ensure the accuracy and integrity of the concessions provided by the Customs Act. The Instrument revokes TCO 0512941 and issues a new TCO 0706697 to rectify the errors, with the changes taking effect from the date the original TCO came into force. The enactment of this Instrument by the CEO allows for the quick and effective correction of administrative errors without requiring extensive consultation, as the changes are minor and do not substantially alter existing arrangements.
Scope and Application
The Tariff Concessions Revocation Instrument 95/2007 operates under the framework of the Customs Act 1901, specifically targeting Tariff Concession Orders (TCOs) made by the Chief Executive Officer of Customs. This legislation applies to entities and individuals who are subject to the provisions of TCOs, particularly those benefiting from reduced customs duties. The Act's scope encompasses goods subject to TCOs, with the focus here on the correction of transcription errors in the description of these goods and their tariff classifications. The instrument revokes the old TCO 0512941 and issues a new TCO 0706697, effective from the date of its enactment, which is 8 May 2007. The geographical reach of this legislation is national, as it pertains to customs duties applicable across Australia. There are no exclusions or exemptions specified in this particular instrument, and it does not introduce new substantive changes but rather corrects an administrative error. The Act allows for the extension or restriction of its application through subordinate instruments, ensuring that any necessary adjustments can be made to maintain the integrity of the customs duty scheme.
Key Provisions
The Tariff Concessions Revocation Instrument 95/2007 (sections 269C, 269P, and 269SD) outlines the procedures for revoking and replacing Tariff Concession Orders (TCOs) due to transcription errors. Specifically, section 269SD(2) of the Customs Act 1901 allows the Chief Executive Officer of Customs (CEO) to revoke a TCO and issue a new one if a transcription error is identified in the description of the goods or their tariff classification. This instrument revokes TCO 0512941 and issues TCO 0706697, effective from the date of the original TCO's commencement, in accordance with section 269SD(3). The new TCO takes effect from the date of the revocation of the old TCO.
Under this instrument, the CEO is mandated to review and correct any transcription errors in the TCOs to ensure accuracy in the tariff classification and description of goods, which is essential for the proper application of the concessions. The CEO must act promptly to rectify any identified errors to maintain the integrity of the tariff concession scheme. The instrument ensures that the corrections are made without delay, preserving the intended benefits of the concessions for the relevant goods.
The Customs Act 1901 imposes several obligations on the CEO concerning the administration of TCOs. The CEO must ensure that the TCOs are correctly applied and that any errors are promptly identified and rectified. The CEO is also required to make the necessary orders to revoke and reissue TCOs when transcription errors are discovered, as specified in section 269SD. Additionally, the CEO must ensure that the corrected TCOs align with the original intent of the concessions to avoid any unintended disruptions to trade.
Failure to comply with the provisions of the Customs Act 1901, including the timely correction of transcription errors in TCOs, may result in legal consequences. While the explanatory statement does not detail specific penalties for non-compliance, breaches of the Act may lead to civil or criminal liability, depending on the nature and severity of the offence. The penalties for breaches of customs legislation can include fines and imprisonment, as prescribed by the relevant sections of the Act. It is important for the CEO and other relevant parties to adhere to the Act's requirements to avoid any legal repercussions.