The Australian Border Force (ABF) has issued Australian Customs Notice No. 2021/30:
Indexation of customs duty rates on excise-equivalent goods on 02 August 2021
The notice sets out the new customs duty rates for certain excise-equivalent goods, including spirits, beers and fuel products, operative from 02 August 2021. Section 19 of the Customs Tariff Act 1995 provides for customs duty rates for certain excise-equivalent goods to be indexed biannually, in February and August, to the Consumer Price Index (CPI).
The new rates are determined by the application of an indexation factor. This indexation factor is calculated by dividing the most recent June or December Quarter CPI number by the previous highest June or December Quarter CPI number occurring after the June 1983 Quarter.
The December2020 Quarter CPI figure (117.2) will be used to determine the indexation factor for the duty rate increase applied on 02 August 2021, as it is higher than the previously used December 2019 Quarter CPI figure. On 28 July 2021, the Australian Bureau of Statistics released the June 2021 Quarter CPI figure (118.8). The figures used to calculate the indexation factor for August 2020 are as set out here:
Most recent CPI number (June Quarter 2021): 118.8
Highest previous June or December Quarter (December Quarter 2020) 117.2
Indexation Factor 1.014
As the indexation factor for August 2021 (1.014) is greater than one, customs duty rates for certain excise-equivalent goods, in Schedule 3 of the Customs Tariff, will increase by the application of this factor.
The ABF will arrange for the publication of a Notice of Substituted Rates of Customs Duty for Excise-Equivalent Goods (No.2) 2021in the Gazette.
The Australian Taxation Office (ATO) will make equivalent changes to the rates of duty on goods subject to excise.
Those interested in obtaining the full 162-page PDF file of the indexation list may do so by following THIS LINK.
Better still, we recommend that you contact us with any questions you may have about your import cargo and tariffs. As licensed Customs Brokers and International Freight Forwarders, Colless Young offers correct advice on all your shipping and transport needs. We offer a complete range of logistics services, both air and sea, through all Australian ports and airports, including clearance through customs and quarantine, warehousing and trucking.
