Summary

SUMMARY OF ALTERATIONS CUSTOMS TARIFF PROPOSAL (No. 2) 2021 Reasons for changes: To insert a concessional item into Schedule 4 Date of effect: 1 March 2021 Alterations to the Customs Tariff Act 1995 Australia is one of eight countries participating in the F-35 Lightning II Joint Strike Fighter Program. Consistent with the terms of the Memorandum of Understanding concerning the Production, Sustainment and Follow-on Development of the Joint Strike Fighter which governs this program, the Australian Government has committed to achieving tax neutrality. This is implemented through the addition of proposed new item 58 in Schedule 4 of the Customs Tariff Act 1995 which provides for concessional rates of customs duty for eligible goods. New item 58 will provide a ‘Free’ rate of customs duty for goods that are for use in the program known as the F-35 Lightning II Joint Strike Fighter Program. The ‘Free’ rate of customs duty will apply from 1 March 2021.