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CONTENTS
Passage History
Purpose
Background
Main Provisions
Contact Officer and Copyright Details
Customs Tariff
Amendment (ACIS Implementation) Bill 1999
Date Introduced: 13 May 1999
House: House of Representatives
Portfolio: Justice and Customs
Commencement: A day fixed by proclamation or
if no such day is fixed within 6 months of the Bill receiving Royal
assent, at the end of that period.
Purpose
To reduce the
rate of tariff payable on passenger motor vehicles and components
by 5% from 1 January 2005, with the general rate from that date
being 10%, and to allow ASIC credits to be offset against the
amount of tariff payable.
Background
Refer to the Digest for the ACIS Administration
Bill 1999.
Main Provisions
Item 1 of Schedule 1 of the
Bill will reduce the general rate of tariff for passenger motor
vehicle (PMV) components from 15% to 10% with effect from 1 January
2005. The rate for imports from developing countries will be 5%
from 1 January 2005 compared to the 10% rate that will operate
prior to that date, maintaining the 5% advantage for such
countries. The Customs Tariff Act 1995 (the Principal Act)
provides for two categories of developing countries, one subject to
the DCS rate of tariff and the other subject to the DC rate., with
the DCS rate applying to a larger number of 'more advanced'
developing countries. In relation to the Customs tariff items
listed in Item 1 of Schedule 1 of the Bill, the
DCS and DC rates are both 5% below the general rate. From 1 January
2005 the DCS rate will be the same as the general rate.
Item 2 of Schedule 1 deals with
imports of PMVs and certain PMV components, including certain
engines and will reduce the general rate from 15% to 10% from 1
January 2005. The DC and Forum Island rate from this date will be
5%, while such imports from Canada will be subject to a 2.5%
rate.
Item 3 deals with certain PMV
components and will reduce the tariff rates in the same manner as
Item 2 except that there will be no special rate for the Forum
island countries.
Item 4 deals with another group
of PMV components. The changes are similar to those implemented by
Item 1 with the addition that the Canadian rate will be 5% from 1
January 2005compared to the current 10% rate.
Item 5 also deals with a range
of PMV components and replacement parts. The effect of the
amendments will be the same as Item 1 except that the rate for
Canadian goods will be 0.
Item 6 deals with rates
applicable to imported used or secondhand PMVs, where currently
duty of $12 000 plus a percentage ad valorem rate. The later rate
will be reduced by 5% to a general rate of 10%, a DC and Forum
island rate of 5% and a Canadian rate of 2.5%. The $12 000
component will remain unchanged.
Item 7 will insert a new item
41E into Schedule 4 of the Principal Act. The amendments will allow
any credits under the ACIS scheme to be used to reduce the tariff
payable on motor vehicles, as described by by-law.
Ian Ireland
28 June 1999
Bills Digest Service
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ISSN 1328-8091
© Commonwealth of Australia 1999
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Published by the Department of the Parliamentary Library,
1999.
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