Tobacco, Drawback and Starch Regulations (Amendment) (Provisional)

Overview

The Provisional Regulation under the Excise Act 1901, numbered 71, was enacted in 1910 to address the need for specific guidelines regarding the delivery of goods for use in the manufacture of tobacco, cigars, cigarettes, and snuff. This regulation was issued by the Governor-General in the context of the Federal Executive Council's advice, recognising the urgency of establishing these provisions to manage excise and customs duties effectively. The primary objective of this regulation was to provide clarity and flexibility in allowing certain articles to be delivered free of duty for manufacturing purposes, thus supporting the industry while maintaining fiscal oversight. This legislative instrument underscores the need for timely adjustments to trade regulations to ensure economic and administrative efficiency.

Scope and Application

The Provisional Regulation under the Excise Act 1901, specifically Statutory Rules 1910, No. 71, pertains to goods that are liable to Customs or Excise duty but may be delivered free for use in the manufacture of tobacco, cigars, cigarettes, or snuff. This regulation applies to manufacturers who are required to apply to the Collector for permission to use specified articles free of duty in their manufacturing processes. The regulation applies to both domestic goods, such as spirits, sugar, and starch, and imported goods, such as cigarette paper, cork manufactures for tips, imitation gold tips, liquorice, petroleum jelly, saccharine, and spice. The scope of this legislation is confined to the Commonwealth of Australia, and it is enforced under the authority of the Excise Act 1901. Notably, the regulation cancels and replaces earlier provisions, ensuring that manufacturers have access to the most current rules regarding the exemption of certain goods from duty for specific manufacturing purposes.

Key Provisions

The main operative sections of the Provisional Regulation under the Excise Act 1901 (section 1) provide for the substitution of a new regulation in place of Regulation No. 1 of the Regulations under the Excise Act 1901. This regulation, which comes into operation immediately, pertains to the list of goods that may be delivered free for use in the manufacture of tobacco, cigars, cigarettes, or snuff (section 1). Under this new regulation, the Collector may permit certain articles to be delivered free of duty, provided they are not imported and are liable to duties of Excise, or are imported articles liable to duties of Customs (section 1). The obligations and requirements imposed by this regulation are primarily on manufacturers who seek to use specific goods in their tobacco, cigar, cigarette, or snuff manufacturing processes. Manufacturers must apply to the Collector for permission to use these goods free of duty (section 1). The regulation specifies which goods can be used without incurring duty, including spirits, sugar, and starch that are not imported and certain imported articles such as cigarette paper, cork manufactures for tips, imitation gold tips, liquorice, petroleum jelly, saccharine, and spice (section 1). In terms of breaches and consequences, the regulation does not explicitly detail specific offences, penalties, or civil or criminal consequences for non-compliance. However, under the broader framework of the Excise Act 1901, breaches of excise regulations can lead to civil penalties such as fines, and in more serious cases, criminal penalties which could include imprisonment. The exact penalties would depend on the nature and severity of the breach, as well as any additional provisions or regulations that may apply. The regulation, as a provisional measure, is intended to provide immediate operational guidance but does not outline the enforcement mechanisms or penalties in detail within its text.