Commonwealth Numbered Acts

CUSTOMS AMENDMENT ACT (No. 1) 1997 No. 3 of 1997 - SCHEDULE 1

Schedule 1ÐAmendment of the Customs Act 1901 1 Subsection 4(1) Insert: cargo
report processing charge means charge imposed by the Import  Processing
Charges Act 1997 and payable as set out in section 64ABB of this Act. 2
Subsection 4(1) Insert: electronic in relation to a report, means transmitted
to Customs by computer. 3 Subsection 4(1) Insert: entry processing charge
means charge imposed by the Import Processing  Charges Act 1997 and payable as
set out in subsectionÊ71AA(1) of this Act. 4 Subsection 4(1) Insert: screening
charge means charge imposed by the Import Processing Charges  Act 1997 and
payable as set out in section 64ABC of this Act. 5 Subsection 4(1) Insert:
warehoused goods entry fee means a fee payable under sectionÊ71AB on
warehoused goods entered for home consumption. 6 Paragraph 17(b) Repeal the
paragraph. 7 Subsections 28(2) and (3) Repeal the subsections, substitute:

(2) If, at the request of a person, a Collector arranges for an officer to be
available to perform a function at a place outside the hours prescribed for
that function, the person must pay to Customs an overtime fee.

(3) The overtime fee in relation to the officer is:

   (a)  $40 per hour or part hour during which the officer performs that
        function and engages in any related travel, or such other rate as is
        prescribed; and

   (b)  any prescribed travel expense (at the rate prescribed) associated with
        the officer performing that function at that place.

(4) If, at the request of a person, a Collector arranges for an officer to be
available to perform a function:

   (a)  at a place that is not a place at which such a function is normally
        performed; and

   (b)  during the hours prescribed for that function; the person must pay to
        Customs a location fee.

(5) The location fee in relation to the officer is:

   (a)  $37 per hour or part hour during which the officer performs that
        function and engages in any related travel, or such other rate as is
        prescribed; and

   (b)  any prescribed travel expense (at the rate prescribed) associated with
        the officer performing that function at that place.

(6) In this section: related travel means travel to or from the place at which
the function referred to in paragraph (3)(a) or (5)(a) is performed if that
travel directly relates to the officer performing that function. 8 Application
The amendment of the Customs Act 1901 made by item 7 applies in relation to
all functions in respect of which a Collector makes an arrangement under
section 28 of that Act after the commencement of that item. 9 At the end of
section 64AB Add:

(7) A report (whether documentary or electronic) that:

   (a)  would be, or would be a part of, a cargo report except that the report
        was communicated to Customs later than the relevant time specified in
        subsection (2) or (3); and

   (b)  otherwise complies with subsection (4) or (5), as the case requires;
        is, for the purposes only of sections 64ABB, 64ABC and 64ABD, taken to
        be, or to be a part of, a cargo report and to have been communicated
        to Customs in accordance with this section. 10 After section 64ABA
        Insert: 64ABB Liability for cargo report processing charge
A person who communicates to Customs a documentary report:

   (a)  that is, or is a part of, a cargo report; and

   (b)  that provides particulars of a consignment; and

   (c)  that identifies a person who has a beneficial interest in the goods in
        that consignment; is liable to pay cargo report processing charge in
        respect of the documentary report. 64ABC Liability for screening
        charge

(1) A person who communicates to Customs a report (whether documentary or
electronic):

   (a)  that is, or is a part of, a cargo report of goods that are intended to
        be, or that have been, unshipped from an aircraft at a particular
        airport; and

   (b)  that relates, in whole or in part, to a consignment of goods that do
        not require entry; and

   (c)  that provides particulars of the consignment; and

   (d)  that identifies a person who has a beneficial interest in the goods in
        that consignment; is liable to pay screening charge, additional to any
        cargo report processing charge that may be payable under
        sectionÊ64ABB, in respect of the documentary or electronic report.

(2) In this section: goods that do not require entry means goods that, because
they are included in paragraph 68(1)(f), are not goods to which sectionÊ68
applies. 64ABD Special arrangements for payment of cargo report processing
charge or screening charge

(1) The CEO may make an arrangement with a person under which the person
agrees to pay to the Commonwealth:

   (a)  within a specified interval after the end of each consecutive period
        specified in the arrangement (a liability period); and

   (b)  in the manner provided in the arrangement; the total of all cargo
        report processing charge, of all screening charge, or of all of both
        charges, in relation to goods covered by documentary reports, for
        which the person becomes liable during the liability period.

(2) If:

   (a)  the CEO has not made an arrangement under subsection (3); or

   (b)  an arrangement made under subsection (3) is terminated in the
        circumstances set out in subsection (6); the person must, within 21
        days after the person is notified by Customs of the total amount of
        all the screening charge in relation to goods covered by electronic
        reports for which the person becomes liable during each respective
        month of the year, pay to the Commonwealth that amount.

(3) The CEO may make an arrangement with a person under which the person
agrees to pay to the Commonwealth, in the manner provided in the arrangement,
screening charge, in relation to goods covered by electronic reports.

(4) An amount payable by a person:

   (a)  under an arrangement made under subsection (1) or (3); or

   (b)  in accordance with subsection (2); may be recovered by the
        Commonwealth by action against the person in a court of competent
        jurisdiction as a debt due to the Commonwealth.

(5) If:

   (a)  a person has entered into an arrangement under subsection (1); and

   (b)  a person refuses or fails, within the specified interval after the end
        of a liability period referred to in that arrangement, to pay to the
        Commonwealth the amount of screening charge or cargo report processing
        charge for which the person became liable during that liability
        period; the arrangement is terminated by force of this subsection.

(6) If:

   (a)  a person has entered into an arrangement under subsectionÊ(3); and

   (b)  a person refuses or fails to pay screening charge in accordance with
        the arrangement; the arrangement is terminated by force of this
        subsection. 11 Application The amendments of the Customs Act 1901 made
        by items 1, 2, 4, 9, 10, 13, 14, 23 and 24 apply in relation to all
        cargo reports made under section 64AB of that Act after the
        commencement of those items. 12 Paragraph 68(1)(e) Omit "$1,000",
        substitute "$250". 13 Subsection 71(2) Omit "Where", substitute
        "Subject to subsection (3), if". 14 After subsection 71(2) Add:

(3) Customs must not authorise the delivery of goods of a kind referred to in
paragraph 68(1)(f) into home consumption unless:

   (a)  the person liable to pay screening charge in respect of those goods
        pays that charge; or

   (b)  the person liable to pay that charge is entitled to pay that charge in
        accordance with subsectionÊ64ABD(2); or

   (c)  the person liable to pay that charge is entitled to pay that charge in
        accordance with an arrangement in force under subsection 64ABD(1) or
        (3). 15 Subsection 71A(1) Repeal the subsection, substitute:

(1) An import entry is a communication to Customs of information:

   (a)  concerning goods to which section 68 applies that are intended to be
        entered for home consumption, for warehousing, or for transhipment; or

   (b)  concerning warehoused goods that are intended to be entered for home
        consumption; that is effected:

   (c)  by document; or

   (d)  except so far as goods intended to be entered for transhipment are
        concernedÐby computer. 16 Saving provisionÐentries under subsection
        71A(1) of the Customs Act 1901 In spite of the repeal and remaking of
        subsection 71A(1) of the Customs Act 1901 by item 15, any
        communication to Customs before that item comes into force that is an
        import entry within the meaning of that subsection as in force
        immediately before the commencement of that item is to be taken to
        continue to be such an entry within the meaning of that subsection as
        remade by that item. 17 Subparagraph 71A(2)(b)(i) After "giving",
        insert "or sending". 18 After section 71A Insert: 71AA Liability for
        entry processing charge

(1) When an import entry (including an altered import entry) in respect of
goods is, or is taken to have been, communicated to Customs under section 71A,
the owner of the goods becomes liable to pay entry processing charge.

(2) In any circumstance where one person who is an owner of goods pays entry
processing charge in respect of an import entry relating to particular goods,
any other person who is an owner of those goods ceases to be liable to pay
charge in respect of that entry.

(3) If an import entry is withdrawn under subsectionÊ71F(1), or is taken,
under subsection 71F(6) or section 71J, to have been withdrawn, before the
issue of an authority to deal in respect of goods covered by the entry, then,
despite subsection (1), the owner of the goods is not liable to pay entry
processing charge in respect of that entry.

(4) In this section: import entry does not include an entry for transhipment.
19 Before section 71B Insert: 71AB Warehoused goods entry fee

(1) An owner of warehoused goods who enters the goods for home consumption is
liable to pay a fee (the warehoused goods entry fee) for the processing by
Customs of that entry.

(2) The amount of the warehoused goods entry fee is an amount worked out using
the formula:

FR + LR x Number or relevant lines

where: FR means the flat rate applicable under subsection (3) to the entry
concerned. LR means the line rate applicable under subsection (4) to each
relevant line of the entry concerned. number of relevant lines, in relation to
the entry concerned, means the number of lines of the entry to which, under
subsectionÊ(4), the line rate applies.

(3) For the purposes of subsection (2), the flat rate is:

   (a)  $5.00, or such other amount as is prescribed, for a computer import
        entry; and

   (b)  $26.75, or such other amount as is prescribed, for a documentary
        import entry.

(4) For the purposes of subsection (2), the line rate is:

   (a)  $0.20, or such other amount as is prescribed, for each line of a
        computer import entry after the tenth line of the entry; and

   (b)  $0.80, or such other amount as is prescribed, for each line of a
        documentary import entry after the first line of the entry.

(5) In any circumstance where one person who is the owner of warehoused goods
pays the warehoused goods entry fee for an entry relating to those goods, any
other person who is an owner of those goods ceases to be liable to pay the fee
for that entry.

(6) In this section: line, in relation to an import entry, means the part of
the import entry that constitutes a description of particular goods covered by
the entry that fall to a single tariff classification to which a duty rate
attaches (whether or not the import entry contains descriptions of other goods
covered by the entry and falling to the same tariff classification or to
another tariff classification). warehoused goods includes goods that may be
treated as if they are warehoused goods by virtue of section 100. 20 Paragraph
71B(4)(b) Repeal the paragraph, substitute:

   (b)  a payment is made of any duty, sales tax, entry processing charge,
        warehoused goods entry fee or other charge or fee payable at the time
        of entry of, or in respect of, the goods covered by the import entry
        advice; 21 Subsection 71B(4A) Repeal the subsection. 22 Application
        The amendments of the Customs Act 1901 made by items 3, 5, 12, 15, 17,
        18, 19, 20 and 21 apply in relation to all import entries (including
        altered import entries) transmitted or given to Customs under
        sectionÊ71A of that Act after the commencement of those items. 23
        Paragraphs 74A(b) and (c) Repeal the paragraphs, substitute:

   (b)  in respect of some or all of the goods covered by the report:

        (i)    cargo report processing charge has been paid; or

        (ii)   the person liable to pay that charge is entitled to pay it in
               accordance with an arrangement in force under subsection
               64ABD(1); and

   (c)  a permit to unship the goods in respect of which that charge has been
        paid or that arrangement is in force has been issued under section 74
        (whether before or after the payment of that charge); and

   (d)  an officer of Customs doing duty in relation to cargo is satisfied
        that there is no reason why the goods in respect of which that charge
        has been paid or that arrangement is in force cannot be released for
        home consumption or warehousing; 24 Section 74A After "authorising the
        goods", insert "on which that charge was paid or that arrangement was
        in force". 25 After Part IV Insert: Part IVAÐDepots

77F Interpretation

(1) In this Part: Australia Post means the Australian Postal Corporation.
depot, in relation to a depot licence, means the place to which the licence
relates. depot licence means a licence granted under section 77G and includes
such a licence that has been renewed under section 77T. depot licence
application charge means the depot licence application charge imposed by the
Customs Depot Licensing Charges Act 1997 and payable as set out in section
77H. depot licence charge means the depot licence charge imposed by the
Customs Depot Licensing Charges Act 1997 and payable as set out in section 77M
or 77U. insolvent under administration means a person who:

   (a)  under the Bankruptcy Act 1966 or the law of an external Territory, is
        a bankrupt in respect of a bankruptcy from which the person has not
        been discharged; or

   (b)  under the law of an external Territory or the law of a foreign
        country, has the status of an undischarged bankrupt; and includes:

   (c)  a person any of whose property is subject to control under:

        (i)    section 50 or Division 2 of Part X of the Bankruptcy Act 1966;
               or

        (ii)   a corresponding provision of the law of an external Territory
               or the law of a foreign country; or

   (d)  a person who has, at any time during the preceding 3 years, executed a
        deed of assignment or a deed of arrangement under:

        (i)    Part X of the Bankruptcy Act 1966; or

        (ii)   the corresponding provisions of the law of an external
               Territory or the law of a foreign country; or

   (e)  a person whose creditors have, within the preceding 3 years, accepted
        a composition under:

        (i)    Part X of the Bankruptcy Act 1966; or

        (ii)   the corresponding provisions of the law of an external
               Territory or the law of a foreign country. International Mail
               Centre means a place approved in writing by the CEO under this
               section as a place for the examination of international mail.
               place includes an area, a building and a part of a building.
               receptacle means a shipping or airline container, a pallet or
               other similar article. Tribunal means the Administrative
               Appeals Tribunal.

(2) A reference in this Part to a conviction of a person of an offence
includes a reference to the making of an order under section 19B of the Crimes
Act 1914, or under a corresponding provision of a law of a State, a Territory
or a foreign country, in relation to a person in respect of an offence. Note:
Section 19B of the Crimes Act 1914 empowers a court that has found a person to
have committed an offence to take action without proceeding to record a
conviction.

(3) Nothing in this Part affects the operation of Part VIIC of the
Crimes Act 1914 (which includes provisions relieving persons from requirements
to disclose spent convictions). 77G Depot licences

(1) Subject to this Part, the CEO may, on an application made by a person or
partnership in accordance with section 77H, grant the person or partnership a
licence in writing, to be known as a depot licence, to use a place described
in the licence for any one or more of the following purposes:

   (a)  the holding of imported goods that are subject to the control of the
        Customs under section 30;

   (b)  the unpacking of goods referred to in paragraph (a) from receptacles;

   (c)  the holding of goods for export that are subject to the control of the
        Customs under section 30;

   (d)  the packing of goods referred to in paragraph (c) into receptacles;

   (e)  the examination of goods referred to in paragraph (a) or (c) by
        officers of Customs.

(2) A depot licence may be granted:

   (a)  in relation to all the purposes referred to in subsection (1) or only
        to a particular purpose or purposes referred to in subsection (1) as
        specified in the licence; and

   (b)  in relation to goods generally or to goods of a specified class or
        classes as specified in the licence. 77H Application for a depot
        licence

(1) An application for a depot licence to cover a place must be made by a
person or partnership who would occupy and control the place as a depot if the
licence were granted.

(2) The application must:

   (a)  be in writing; and

   (b)  be in an approved form; and

   (c)  contain such information as the form requires; and

   (d)  be signed in the manner indicated in the form; and

   (e)  subject to subsection (3), be accompanied by a depot licence
        application charge.

(3) If Australia Post makes an application under this section for the whole or
a part of an International Mail Centre to be covered by a depot licence, it is
not liable to pay the depot licence application charge under subsection (2).
77J CEO may require applicant to supply further information

(1) The CEO may, by written notice given to an applicant for a depot licence,
require the applicant to supply further information in relation to the
application within the period that is specified in the notice.

(2) The CEO may extend the specified period if the applicant, in writing,
requests the CEO to do so.

(3) If the applicant:

   (a)  fails to supply the further information within the specified period,
        or that period as extended under subsection (2); but

   (b)  supplies the information at a subsequent time; the CEO must not take
        the information into account in determining whether to grant the depot
        licence. 77K Requirements for grant of depot licence

(1) The CEO must not grant a depot licence if, in the CEO's opinion:

   (a)  if the applicant is a natural personÐthe applicant is not a fit and
        proper person to hold a depot licence; or

   (b)  if the applicant is a partnershipÐany of the partners is not a fit and
        proper person to be a member of a partnership holding a depot licence;
        or

   (c)  if the applicant is a companyÐany director, officer or shareholder of
        a company who would participate in the management or control of the
        place proposed to be covered by the licence (the proposed depot) is
        not a fit and proper person so to participate; or

   (d)  an employee of the applicant who would participate in the management
        or control of the proposed depot is not a fit and proper person so to
        participate; or

   (e)  if the applicant is a companyÐthe company is not a fit and proper
        company to hold a depot licence; or

   (f)  if the applicant is a natural person or a companyÐthe applicant would
        not be in a position to occupy and control the proposed depot if the
        licence were granted; or

   (g)  if the applicant is a partnershipÐnone of the members of the
        partnership would be in a position to occupy and control the proposed
        depot if the licence were granted; or

   (h)  the physical security of the proposed depot is not adequate having
        regard to:

        (i)    the nature of the place; or

        (ii)   the procedures and methods that would be adopted by the
               applicant to ensure the security of goods in the proposed depot
               if the licence were granted; or

        (i)    the records that would be kept in relation to the proposed
               depot would not be suitable to enable Customs adequately to
               audit those records.

(2) The CEO must, in deciding whether a person is a fit and proper person for
the purposes of paragraph (1)(a), (b), (c) or (d), have regard to:

   (a)  any conviction of the person of an offence against this Act committed
        within the 10 years immediately before that decision; and

   (b)  any conviction of the person of an offence against another law of the
        Commonwealth, or a law of a State or of a Territory, that is
        punishable by imprisonment for one year or longer, being an offence
        committed within the 10 years immediately before that decision; and

   (c)  whether the person is an insolvent under administration; and

   (d)  any misleading statement made under section 77H or 77J in relation to
        the application for the licence by or in relation to the person; and

   (e)  if any such statement made by the person was falseÐwhether the person
        knew that the statement was false.

(3) The CEO must, in deciding whether a company is a fit and proper company
for the purposes of paragraph (1)(e), have regard to:

   (a)  any conviction of the company of an offence against this Act committed
        within the 10 years immediately before that decision and at a time
        when any person who is presently a director, officer or shareholder of
        the company was a director, officer or shareholder of the company; and

   (b)  any conviction of the company of an offence against another law of the
        Commonwealth, or a law of a State or of a Territory, that is
        punishable by a fine of $5,000 or more, being an offence committed
        within the 10 years immediately before that decision and at a time
        when a person who is presently a director, officer or shareholder of
        the company was a director, officer or shareholder of the company; and

   (c)  whether a receiver of the property, or part of the property, of the
        company has been appointed; and

   (d)  whether the company is under administration within the meaning of the
        Corporations Law; and

   (e)  whether the company has executed under Part 5.3A of that Law a deed of
        company arrangement that has not yet terminated; and

   (f)  whether the company has been placed under official management; and

   (g)  whether the company is being wound up.

(4) The CEO may refuse to grant a depot licence if, in the CEO's opinion, the
place in relation to which the licence is sought would be too remote from the
nearest place where officers of Customs regularly perform their functions for
Customs to be able to conveniently check whether the Customs Acts are being
complied with at the place.

(5) If the place in relation to which the application for a depot licence is
sought (the proposed depot) is proposed to be used as a depot for imported
goods, the CEO must not grant the licence if:

   (a)  in the case of a proposed depot for imported goods arriving in
        Australia by seaÐthe applicant is not a registered user of the Sea
        Cargo Automation System; or

   (b)  in the case of a proposed depot for imported goods arriving in
        Australia by airÐthe applicant is not a registered user of the Air
        Cargo Automation System; or

   (c)  in the case of a proposed depot for imported goods arriving in
        Australia by sea or airÐthe applicant is not a registered user of both
        the Sea Cargo Automation System and Air Cargo Automation System. 77L
        Granting of a depot licence

(1) Subject to subsection (3), the CEO must decide whether or not to grant a
depot licence within 60 days after:

   (a)  if paragraph (b) does not applyÐthe receipt of the application for the
        licence; or

   (b)  if the CEO requires further information relating to the application to
        be supplied by the applicant under section 77J and the applicant
        supplied the information in accordance with that sectionÐthe receipt
        of the information.

(2) If the CEO has not made a decision whether or not to grant a depot licence
within 60 days under subsection (1), the CEO is taken to have refused the
application.

(3) This section does not apply to an application made before 1 July 1997 in
relation to a place that was an appointed place under paragraph 17(b) of this
Act immediately before the commencement of this Part. 77M Transitional
provisions for former paragraph 17(b) places

(1) On and after this Part's commencement, a place that was an appointed place
under paragraph 17(b) of this Act immediately before that commencement ceases
to be so appointed.

(2) A person occupying and controlling such a place (the operator) may, before
1 July 1997, apply for a depot licence to cover that place.

(3) If the CEO has not made a decision whether or not to grant the licence
before 1 October 1997, the CEO is taken to have refused the application.

(4) If the operator does not apply for the depot licence before 1 July 1997:

   (a)  for the purposes of this Part, the place is taken to be covered by a
        depot licence for the period starting from this Part's commencement
        and ending at the end of 30 June 1997; and

   (b)  for the purposes of this Part, the operator is taken to be the holder
        of such a licence for that period; but

   (c)  in spite of any provisions in this Part, the operator is not liable to
        pay depot licence charge for that period.

(5) If:

   (a)  the operator applies for the depot licence before 1 July 1997; and

   (b)  the CEO refuses, or is taken to have refused, the application before 1
        October 1997 and:

        (i)    the operator does not apply for a review of that decision
               within 28 days of that decision; or

        (ii)   the operator applies for such a review and the Tribunal affirms
               the CEO's decision; then:

   (c)  for the purposes of this Part, the place is taken to be covered by a
        depot licence for the period starting from this Part's commencement
        and ending:

        (i)    if subparagraph (5)(b)(i) appliesÐ28 days after the CEO's
               decision; or

        (ii)   if subparagraph (5)(b)(ii) appliesÐon the day of the Tribunal's
               decision; and

   (d)  for the purposes of this Part, the operator is taken to be the holder
        of that licence for that period; but

   (e)  in spite of any provisions in this Part, the operator is not liable to
        pay depot licence charge for that period.

(6) If:

   (a)  the operator applies for the depot licence before 1 July 1997; and

   (b)  the application is successful (whether or not subsequent to an
        application by the operator to the Tribunal); then:

   (c)  the licence granted to the operator must cover the period starting
        from this Part's commencement and ending at the end of 30ÊJune 1998;
        and

   (d)  the operator must pay Customs depot licence charge within 30 days of
        the granting of the licence. Note: Section 77S provides the general
        rule that each grant of a licence is for a period of not more than 12
        months. Subsection (6) of this section is an exception to that general
        rule.

(7) If Australia Post would, apart from this subsection, be required to pay
under this section an amount of depot licence charge in respect of the whole
or a part of an International Mail Centre, it is not liable to pay that
amount. 77N Conditions of a depot licenceÐgeneral

(1) A depot licence is subject to the conditions set out in subsectionsÊ(2) to
(10).

(2) The holder of a licence must, within 30 days after the occurrence of an
event referred to in any of the following paragraphs, give the CEO particulars
in writing of that event:

   (a)  a person not described in the application for the licence as
        participating in the management or control of the depot commences so
        to participate;

   (b)  in the case of a licence held by a partnershipÐthere is a change in
        the membership of the partnership;

   (c)  in the case of a licence held by a company:

        (i)    the company is convicted of an offence of a kind referred to in
               paragraph 77K(3)(a) or (b); or

        (ii)   a receiver of the property, or part of the property, of the
               company is appointed; or

        (iii)  an administrator of the company is appointed under section
               436A, 436B or 436C of the Corporations Law; or

        (iv)   the company executes a deed of company arrangement under Part
               5.3A of that Law;

   (d)  a person who participates in the management or control of the depot,
        the holder of the licence or, if a licence is held by a partnership, a
        member of the partnership, is convicted of an offence referred to in
        paragraph 77K(2)(a) or (b) or becomes an insolvent under
        administration;

   (e)  there is a substantial change in a matter affecting the physical
        security of the depot;

   (f)  there is a substantial change in the keeping of records kept in
        relation to the depot.

(3) The holder of the licence must pay to Customs any prescribed travelling
expenses payable by the holder under the regulations in relation to travelling
to and from the depot by a Collector for the purposes of the Customs Acts. For
that purpose, the regulations may prescribe particular rates of travelling
expenses in relation to particular circumstances concerning travelling to and
from a depot by a Collector for the purposes of the Customs Acts.

(4) The holder of the licence must stack and arrange goods in the depot so
that authorised officers have reasonable access to, and are able to examine,
the goods.

(5) The holders of the licence must provide authorised officers with:

   (a)  adequate space and facilities for the examination of goods in the
        depot; and

   (b)  secure storage space for holding those goods.

(6) The holder of the licence must, when requested to do so, allow an
authorised officer to enter and remain in the depot to examine goods:

   (a)  which are subject to the control of the Customs; or

   (b)  which an authorised officer has reasonable grounds to believe are
        subject to the control of the Customs.

(7) The holder of the licence must, when requested to do so, provide an
authorised officer with information, which is in the holder's possession or
within the holder's knowledge, in relation to determining whether or not goods
in the depot are subject to the control of the Customs.

(8) The holder of the licence must retain all commercial records and records
created in accordance with the Customs Acts that:

   (a)  relate to goods received into a depot; and

   (b)  come into the possession or control of the holder of the licence; for
        5 years beginning on the day on which the goods were received into the
        depot.

(9) The holder of the licence must keep the records referred to in subsection
(8) at:

   (a)  the depot; or

   (b)  if the holder has notified Customs in writing of the location of any
        other places occupied and controlled by the holder where the records
        are to be keptÐthose other places.

(10) At any reasonable time within the 5 years referred to in subsection (8),
the holder of the licence must, when requested to do so:

   (a)  permit an authorised officer:

        (i)    to enter and remain in a place that is occupied and controlled
               by the holder and which the officer has reasonable grounds to
               believe to be a place where records referred to in subsection
               (8) are kept; and

        (ii)   to have full and free access to any such records in that place;
               and

        (iii)  to inspect, examine, make copies of, or take extracts from any
               such records in that place; and

   (b)  provide the officer with all reasonable facilities and assistance for
        the purpose of doing all of the things referred to in subparagraphs
        (a)(i) to (iii) (including providing access to any electronic
        equipment in the place for those purposes).

(11) The holder of the licence is not obliged to comply with a request
referred to in subsection (6), (7) or (10) unless the request is made by a
person who produces written evidence of the fact that the person is an
authorised officer. 77P Conditions of a depot licenceÐimported goods

(1) If imported goods were received into a depot during a particular month, it
is a condition of the licence that the holder of the licence must:

   (a)  if paragraph (b) does not applyÐcause the removal of those goods into
        a warehouse before the end of the following month; or

   (b)  if the CEO, on written request by the holder made before the end of
        that following month, grants an extension under this sectionÐcause the
        removal of the goods into a warehouse within 30 days after the end of
        that following month.

(2) In this section: month means month of a year. 77Q The CEO may specify
other conditions of a depot licence

(1) The CEO may, for the purpose of:

   (a)  ensuring compliance with the Customs Acts; or

   (b)  protecting the revenue; specify conditions in a depot licence that are
        additional to the conditions set out in sections 77N and 77P.

(2) The CEO may, by written notice to the holder of the licence, vary
conditions specified under subsection (1) in relation to that licence.

(3) Variation of the conditions cannot take effect before the end of 30 days
after the giving of the notice under subsection (2). 77R Breach of conditions
of depot licence

(1) The holder of a depot licence must not breach a condition of the licence
set out in section 77N or 77P or conditions specified in the licence under
section 77Q. Penalty: 50 penalty units.

(2) An offence against subsection (1) is an offence of strict liability. 77S
Duration of depot licences
Subject to this Part, a depot licence:

   (a)  comes into force on a date specified in the licence; and

   (b)  remains in force until the end of the 30 June next following the grant
        of the licence; but may be renewed under section 77T. Note: Section
        77M provides that, in certain circumstances, a depot licence may be
        taken to have been granted for a certain period. It also provides
        that, in relation to certain applicants, an initial depot licence is
        to be granted for a period that exceeds 12 months. In addition,
        section 77T provides that a licence may continue to be in force for a
        further period of 90 days after the 30 June referred to in this
        section under certain circumstances. Another provision that might
        affect the operation of this section is section 77V (revocation of
        licence). 77T Renewal of depot licences

(1) The CEO must, before the end of a financial year, notify each holder of a
depot licence of the terms of this section.

(2) If the holder pays a depot licence charge for the renewal of the licence
before the end of the financial year, the licence is renewed for another
period of 12 months at the end of the financial year.

(3) If the holder fails to pay the charge before the end of the financial
year, a Collector may, until the charge is paid or the end of 90 days
immediately following the end of the financial year (whichever occurs first),
refuse to permit goods that are subject to the control of the Customs to be
received into the depot.

(4) If the holder pays the charge within 90 days immediately following the end
of the financial year, the licence is taken to have been renewed for another
period of 12 months at the end of the financial year.

(5) If the holder fails to pay the charge within 90 days immediately following
the end of the financial year, the licence expires at the end of that period
of 90 days.

(6) A depot licence that has been renewed may be further renewed. 77U Licence
charges

(1) Subject to section 77M, a depot licence charge is payable in respect of
the grant of a depot licence by the person or partnership seeking the grant.

(2) A person liable to pay a depot licence charge for the grant of a depot
licence must pay the charge within 30 days of the decision to grant that
licence.

(3) A depot licence charge in respect of the renewal of a depot licence is
payable by the holder of the licence in accordance with sectionÊ77T.

(4) Australia Post is not liable to pay a depot licence charge under this
section in respect of each grant or renewal of a depot licence that covers the
whole or a part of an International Mail Centre. 77V Revocation of a depot
licence

(1) The CEO may give notice of intention to revoke a depot licence to the
holder of the licence if:

   (a)  the CEO is satisfied that:

        (i)    the physical security of the depot is no longer adequate having
               regard to the matters referred to in paragraph 77K(1)(h); or

        (ii)   if the licence is held by a natural personÐthe person is not a
               fit and proper person to hold a depot licence; or

        (iii)  if the licence is held by a partnershipÐa member of the
               partnership is not a fit and proper person to be a member of a
               partnership holding a depot licence; or

        (iv)   if the licence is held by a companyÐa director, officer or
               shareholder of the company who participates in the management
               or control of the depot is not a fit and proper person so to
               participate; or

   (v)  an employee of the holder of the licence who participates in the
        management or control of the depot is not a fit and proper person so
        to participate; or

   (vi) if the licence is held by a companyÐthe company is not a fit and
        proper company to hold a depot licence; or

   (vii) a condition to which the licence is subject has not been complied
        with; or

   (viii) a licence charge payable in respect of the grant of the depot
        remains unpaid more than 30 days after the grant of the licence; or

   (b)  the CEO is satisfied on any other grounds that the revocation is
        necessary for the protection of the revenue or for the purpose of
        ensuring compliance with the Customs Acts.

(2) In deciding whether a person is a fit and proper person for the purposes
of subparagraphs (1)(a)(ii) to (v), the CEO must have regard to:

   (a)  whether or not the person is an insolvent under administration; and

   (b)  any conviction of the person of an offence against this Act, or of an
        offence against another law of the Commonwealth, or a law of a State
        or of a Territory, punishable by imprisonment for one year or longer,
        that is committed:

        (i)    if the licence has not been renewed previouslyÐafter the grant
               of the licence or within 10 years immediately before the grant
               of the licence; or

        (ii)   if the licence has been renewed on one or more occasionsÐ after
               the renewal or latest renewal of the licence or within 10 years
               immediately before that renewal; and

   (c)  any misleading statement made under section 77H or 77J in relation to
        the application for the depot licence by or in relation to the person;
        and

   (d)  if any such statement made by the person was falseÐwhether the person
        knew that the statement was false.

(3) In deciding whether a company is a fit and proper company for the purposes
of subparagraph (1)(a)(vi), the CEO must have regard to:

   (a)  the matters referred to in paragraphs 77K(3)(c) to (g); and

   (b)  any conviction of the company of an offence against this Act or of an
        offence against another law of the Commonwealth, or a law of a State
        or of a Territory, punishable by a fine of $5,000 or more, that is
        committed:

        (i)    if the licence has not been renewed previouslyÐafter the grant
               of the licence or within 10 years immediately before the grant
               of the licence; or

        (ii)   if the licence has been renewed on one or more occasionsÐ after
               the renewal or the latest renewal of the licence or within 10
               years immediately before that renewal;
and at a time when a person who is presently a director, officer or
shareholder of the company was a director, officer or shareholder of the
company.

(4) The notice of intention to revoke a depot licence must:

   (a)  specify the ground or grounds for the intended revocation; and

   (b)  state that the CEO may decide to revoke the licence at any time within
        the 14 days following the end of 30 days after the notice is given if
        the ground or at least one of the grounds exists at that time; and

   (c)  invite the holder of the licence to provide written statements to
        Customs within the 30 days to explain why, in the holder's opinion,
        the licence should not be revoked.

(5) At any time within the 14 days referred to in paragraph (4)(b), the CEO
may, by notice in writing, decide to revoke the licence if, having regard to
any statements made by the holder of the licence in response to the notice,
the CEO is satisfied that the ground or at least one of the grounds specified
in the notice exists at that time.

(6) If the CEO decides to revoke the depot licence within the 14 days, the
depot licence is revoked:

   (a)  if paragraph (b) does not applyÐ28 days after the CEO's decision; or

   (b)  if the holder of the licence applies to the Tribunal for a review of
        the CEO's decisionÐwhen the Tribunal affirms the CEO's decision.

(7) The CEO must, by notice in writing, revoke a depot licence if the CEO
receives a written request by the holder of the licence that the licence be
revoked on and after a specified day.

(8) If a depot licence is revoked under this section, the CEO must, by notice
published in a newspaper circulating in the locality in which the depot is
situated, inform the owners of goods in the depot of that fact and the date of
the revocation.

(9) If a depot licence is revoked under this section, the person or
partnership who held the licence before the revocation must return the licence
to Customs within 30 days after the revocation.

(10) A notice under subsection (1), (5) or (7) must be served:

   (a)  either personally or by post, on the holder of the depot licence; or

   (b)  personally on a person who, at the time of service, apparently
        participates in the management or control of the depot.

(11) In spite of the fact that a notice under subsection (1) or (5) has been
given in relation to the revocation of a depot licence, nothing in this Part
prevents:

   (a)  the CEO giving a notice under subsection 77T(1) in relation to the
        renewal of the licence; or

   (b)  the holder of the licence obtaining a renewal of the licence by paying
        a depot licence charge in accordance with sectionÊ77T. Note: Depot
        licence charge paid in the circumstances described in subsection (11)
        may be refunded under section 77W. 77W Refund of depot licence charge
        on revocation of a depot licence

(1) If:

   (a)  a depot licence is revoked before the end of a financial year (the
        financial year); and

   (b)  the person or partnership (the former holder) who held the licence
        before its revocation has paid the depot licence charge for that year;
        the former holder is entitled to a refund of an amount worked out
        using the formula:

Post-revocation days
Annual rate x
Days in the year

where: annual rate means the amount of $4,000, or, if another amount is
prescribed under subsection 6(1) of the Customs Depot Licensing Charges Act
1997, that other amount. post-revocation days means the number of days in the
financial year during which the licence is not in force following the
revocation of the licence. days in the year means:

   (a)  if paragraph (b) does not applyÐ365; or

   (b)  if the financial year in which the licence is in force is not
        constituted by 365 daysÐthe number of days in that financial year.

(2) If the former holder has paid the depot licence charge in respect of the
renewal of the licence for the following financial year, the former holder is
entitled to a refund of the full amount of that charge. 77X Collector's powers
in relation to a place that is no longer a depot

(1) This section applies in relation to a place if:

   (a)  the place ceases to be covered by a depot licence because the period
        during which the licence was taken to be in force under subsection
        77M(4) or (5) has expired; or

   (b)  the place otherwise ceases to be covered by a depot licence.

(2) If this section applies to a place, a Collector may:

   (a)  permit goods that are subject to the control of the Customs to be
        received into the place during a period of 30 days after the place
        ceased to be covered by a depot licence; and

   (b)  permit imported goods to be unpacked from receptacles in the place;
        and

   (c)  permit goods for export to be packed into receptacles in the place;
        and

   (d)  permit examination of goods that are subject to the control of the
        Customs (the controlled goods) by officers of Customs in the place;
        and

   (e)  permit removal of any controlled goods from the place to a depot
        covered by a depot licence or to a warehouse; and

   (f)  by notice in writing to the person who was, or who was taken to be,
        the holder of the licence (the former holder) covering that place,
        require the former holder to remove any controlled goods to a depot
        covered by a depot licence or to a warehouse; and

   (g)  while controlled goods are in the place, take such control of the
        place as may be necessary for the protection of the revenue or for
        ensuring compliance with the Customs Acts; and

   (h)  by notice in writing to the former holder, require the former holder
        to pay to Customs, in respect of the services of officers required in
        relation to any controlled goods as a result of the licence ceasing to
        be in force (including services relating to the supervision of
        activities in relation to the place, the stocktaking of goods in the
        place or the reconciliation of records relating to such goods), such
        fees as the CEO determines having regard to the cost of the services;
        and

        (i)    if the former holder fails to comply with a requirement under
               paragraph (f) in relation to any controlled goods, remove the
               goods from the place to a depot covered by a depot licence or a
               warehouse; and

   (j)  if goods have been removed under paragraph (i), by notice in writing
        to the former holder, require the former holder to pay to Customs in
        respect of the cost of the removal such fees as the CEO determines
        having regard to that cost.

(3) If an amount that a former holder is required to pay in accordance with a
notice under paragraph (2)(h) or (j) is not paid, that amount may be recovered
as a debt due to the Commonwealth by action in a court of competent
jurisdiction. 77Y Collector may give directions in relation to goods subject
to Customs control

(1) A Collector may, for the protection of the revenue or for the purpose of
ensuring compliance with the Customs Acts, give written directions under this
section to:

   (a)  the holder of a depot licence; or

   (b)  a person participating in the management or control of the depot; in
        relation to goods in the depot that are subject to the control of the
        Customs (the controlled goods).

(2) A direction under subsection (1) must be a direction:

   (a)  to move, or not to move, controlled goods within a depot; or

   (b)  about the storage of controlled goods in the depot; or

   (c)  to move controlled goods to another depot or a warehouse; or

   (d)  about the unpacking from receptacles of imported goods that are
        controlled goods; or

   (e)  about the packing into receptacles of goods for export that are
        controlled goods.

(3) A Collector may, for the purpose of:

   (a)  preventing interference with controlled goods in a depot; or

   (b)  preventing interference with the exercise of the powers or the
        performance of the functions of a Collector in respect of a depot or
        of controlled goods in a depot; give directions, in relation to the
        controlled goods, to any person in the depot.

(4) A person who has been given a direction under subsection (1) or (3) must
not refuse or fail to comply with the direction. Penalty: 50 penalty units.

(5) An offence against subsection (4) is an offence of strict liability. 77Z
Licences cannot be transferred

(1) Subject to subsection (2), a depot licence cannot be transferred to
another person.

(2) A depot licence may be transferred to another person in the circumstances
prescribed by the regulations. 77ZA Service of notice
For the purpose of the application of section 29 of the Acts Interpretation
Act 1901 to the service by post of a notice under this Part on a person or
partnership who holds or held a depot licence, if the notice is posted as a
letter addressed to the person or partnership at the address of the place that
is or was the depot, the notice is taken to be properly addressed. 26
Subsections 163(1C) and (1D) Repeal the subsections, substitute:

(1C) If a person makes an application for refund of duty paid in respect of
goods in accordance with regulations made under paragraphÊ(1)(b), the person
is liable to pay a fee (the refund application fee) for the processing by
Customs of that application.

(1D) The amount of refund application fee is:

   (a)  if the application is transmitted to Customs via a prescribed computer
        systemÐ$45.00, or, if another amount is prescribed, that other amount;
        or

   (b)  if the application is made in an approved formÐ$65.00, or, if another
        amount is prescribed, that other amount. Note: Regulations made under
        paragraph (1)(b) may provide that under certain circumstances a person
        is entitled to a refund of duty without the need to make an
        application. In those cases an application fee is therefore not
        payable under subsection (1C). 27 Application The amendment of the
        Customs Act 1901 made by item 26 applies in relation to all
        applications for a refund of duty made after the commencement of that
        item. 28 Subsection 183UA(1) (before paragraph (a) of the definition
        of Customs place) Insert:

   (aa) a place owned or occupied by Customs; or 29 Subsection 183UA(1)
        (paragraph (d) of the definition of Customs place) Repeal the
        paragraph, substitute:

   (d)  a place described in a depot licence that is granted under section
        77G; or 30 After paragraph 273GA(1)(aap) Insert:

   (aaq) a decision by the CEO under section 77G not to grant a depot licence;

   (aar) a decision by the CEO under section 77J not to extend the period
        within which further information concerning a depot licence
        application is to be supplied;

   (aas) a decision by the CEO under section 77P not to grant an extension of
        time;

   (aat) a decision by the CEO under section 77Q to vary the conditions of a
        depot licence;

   (aau) a decision by the CEO under section 77V to revoke a depot licence;

[Minister's second reading speech made in- House of Representatives on 7
November 1996 Senate on 25 November 1996]