relocate.com.au - Logistics & Customs

REDUCTION OF IMPORT DUTY

Value for Duty

Currently the value for duty for goods imported into Australia is based on 'The value of the goods imported' (including ALL costs of components, labour and manufacture) at an FOB level (which is at the time that they are either packed in an overseas container or placed on board the vessel for export).

Value for GST
From July 1, 2000 the value will be based on the value of the goods imported (including ALL costs of components, labour and manufacture) at a CIF basis.

There are three means for the possible reduction of duties. These are as follows:

1. Tariff Concession System

This system is available to goods to which 'no substitutable goods were produced in Australia in the ordinary course of business' at the time of importation. The application must be made to Customs prior to the goods being imported and included must be approached to possible manufacturers confirming their inability to manufacture.

The tariff concession system allows a reduction to 3% duty for most goods and for specified manufactured goods a rate of duty free may be applicable.

2. Policy By-Law

This by-law will allow goods to be imported duty free under certain conditions for specified industries.

Applications must be made prior to the order being made, as a background the government has made allowances to duty for companies embarking on major capital expenditure of capital equipment which either is not manufactured in Australia in the normal course of business or is technologically more advanced, more efficient or more productive.

3. Tariff Classification

The tariff is highly subjective and therefore is subject to interpretation, this allows for opportunities to have goods classified to the most advantageous rates.

There are also anomalies in the Australian system which may force shipments of machinery to be supplied complete in order to take advantage of concessional rates, it is therefore suggested that should you have to split deliver machinery or integral parts of the machine that you email us for further advice.

In order to assist you in the above we have prepared an enquiry form (available soon) to enable us to gauge your needs.

<- Australian Customs Tariff | Index | Amount of Duty Payable ->

1.	Tariff Concession System
	This system is available to goods to which 'no substitutable goods were produced in Australia in the ordinary course of business' at the time of importation. The application must be made to Customs prior to the goods being imported and included must be approached to possible manufacturers confirming their inability to manufacture. The tariff concession system allows a reduction to 3% duty for most goods and for specified manufactured goods a rate of duty free may be applicable.
2.	Policy By-Law
	This by-law will allow goods to be imported duty free under certain conditions for specified industries. Applications must be made prior to the order being made, as a background the government has made allowances to duty for companies embarking on major capital expenditure of capital equipment which either is not manufactured in Australia in the normal course of business or is technologically more advanced, more efficient or more productive.
3.	Tariff Classification
	The tariff is highly subjective and therefore is subject to interpretation, this allows for opportunities to have goods classified to the most advantageous rates. There are also anomalies in the Australian system which may force shipments of machinery to be supplied complete in order to take advantage of concessional rates, it is therefore suggested that should you have to split deliver machinery or integral parts of the machine that you email us for further advice. In order to assist you in the above we have prepared an enquiry form (available soon) to enable us to gauge your needs.