Supplementary Explanatory Memorandum(Circulated by authority of the Treasurer, the Hon Peter Costello, MP)
Chapter 5 - Customs Act 1901
5.1 This Chapter explains the amendments to the Customs Act that are to be inserted in Schedule 11 to the Bill.
5.2 The amendments ensure that non-commercial low value postal importations are explicitly subject to customs duty. They also fix the time when the rate of import duty is calculated for such goods and the time when import duty must be paid.
5.3 Customs duty (and therefore GST) is payable on non-commercial low value postal importations whether or not Customs requires the owner to give Customs further information about the goods. New item 16G amends subsection 71(2) to put this beyond doubt.
5.4 New item 16H amends section 132 of the Customs Act to specify the time when the rate of import duty payable on the goods is worked out. New item 16I amends the table in subsection 132AA(1) to make it clear that any customs duty that is payable on such goods must be paid before the goods are delivered into home consumption. [Amendments 64 to 66]