1. That the Customs Tariff Act 1995 be altered as set out in Schedule 1 to this Proposal and that the alteration operates starting on and from 1 September 2023 and apply in relation to:

(a) goods imported into Australia on or after the following day (the replacement day):

(i) 1 September 2023;

(ii) if, in relation to the indexation day that is 1 September 2023, subsection 19AB(7) of the Customs Tariff Act 1995 has the effect of replacing a rate of duty on a later day—that later day; and

(b) goods imported into Australia before the replacement day, where the time for working out the rate of import duty on the goods had not occurred before that day.

Schedule 1— Alteration to the Customs Tariff Act 1995 operating starting on 1 September 2023

1 Subsections 19AB(5) and (6)

Repeal the subsections, substitute:

(5) Despite subsection (3), treat the indexation factor for 1 September 2023, 1 September 2024 and 1 September 2025 as 1 if, on that day, it would otherwise be less than 1.

Additional factor

(6) The additional factor for an indexation day is:

(a) 1.05, if the indexation day is 1 September 2023, 1 September 2024 or 1 September 2025; or

(b) 1, for each other indexation day.

2 Subsection 19ACA(2)

Repeal the subsection, substitute:

(2) The weight conversion factor is:

(a) for a day on or after the first replacement day and before the second replacement day—0.000675; or

(b) for a day on or after the second replacement day and before the third replacement day—0.00065; or

(c) for a day on or after the third replacement day and before the fourth replacement day—0.000625; or

(d) for a day on or after the fourth replacement day—0.0006.

3 Subsections 19ACA(4) to (7)

Repeal the subsections, substitute:

Replacement days

(4) For the purposes of this section, the first replacement day is:

(a) 1 September 2023; or

(b) if, in relation to the indexation day that is 1 September 2023, subsection 19AB(7) has the effect of replacing a rate of duty on a later day—that later day.

(5) For the purposes of this section, the second replacement day is:

(a) 1 September 2024; or

(b) if, in relation to the indexation day that is 1 September 2024, subsection 19AB(7) has the effect of replacing a rate of duty on a later day—that later day.

(6) For the purposes of this section, the third replacement day is:

(a) 1 September 2025; or

(b) if, in relation to the indexation day that is 1 September 2025, subsection 19AB(7) has the effect of replacing a rate of duty on a later day—that later day.

(7) For the purposes of this section, the fourth replacement day is:

(a) 1 September 2026; or

(b) if, in relation to the indexation day that is 1 September 2026, subsection 19AB(7) has the effect of replacing a rate of duty on a later day—that later day.