Show download pdf controls
  • Changes for imported tobacco from 1 July 2019

    From 1 July 2019, changes occurred to help combat the illegal tobacco trade in Australia:

    • If you import tobacco products, you pay customs duty and taxes to the Department of Home Affairs, including their Australian Border Force division (Home Affairs) when the products arrive at the Australian border.
    • Licensed warehouses can't accept tobacco products for storage unless customs duty has been paid on them. Licensed warehouse operators
      • can only store tobacco that has had customs duty paid on it in their warehouses
      • may receive a penalty if they store tobacco that hasn't had customs duty paid on it in their warehouses.

    Some transitional arrangements applied until 30 June 2020.

    Tobacco warehouse licences have expired

    Together with Home Affairs, we cancelled all periodic settlement permissions (PSPs) for tobacco products and movement permissions that allowed for the movement of underbond tobacco products to or from licensed warehouses.

    All warehouse licences expire annually on 30 June. From 1 July 2019, we:

    • cancelled all warehouse licences where the warehouse only stored underbond tobacco
    • renewed warehouse licences where the warehouse also stores underbond alcohol, but the licence no longer allows for storage of underbond tobacco products.

    Transitional arrangements

    If you were unable to pay duty for your existing underbond stock by 30 June 2019, you may have been eligible to pay the outstanding amount in instalments over 12 months to Home Affairs.

    As part of this arrangement you:

    • had to provide a financial security
    • had to make final payment by 30 June 2020.

    GST was not included in these instalments. You had to pay your GST up front, unless you had a GST deferral arrangement in place. Contact us if you have questions about your GST payable amounts.

    See also:

    Last modified: 15 Sep 2020QC 63584