According to Customs, three TCOs are invalid because they apply only to goods listed on the Excluded Goods Schedule and further 19 TCOs are sufficiently ambiguous that a person could construe the description of the goods in the TCOs as extending to goods on the Excluded Goods Schedule.

If revocation of the TCO occurs, then the operative date of the revocation would be 27 April 2011.

If your company is affected by the possible cancelation of the TCOs listed below you should be aware that the legislation does not permit the automatic making of a narrower replacement TCO, Saving Point can provide you with the service of applying for a narrower replacement TCO.

Saving Point has a wealth of experience in conducting Import File Audits and obtaining successful TCOs on behalf of the industry and we will be happy to assist you in this matter. Please contact us on info@savingpoint.com.au or 03 9555 3551 for further information.

Intention to revoke certain Tariff Concession Orders following review

1. TCO 0818098 LIGHTS, movement activated

2. TCO 0704799 LAMPS, electric, incorporating bulbs OR tubes, having BOTH of the following:
a. wattage not less than 13 W and NOT greater than 25 W;
b. illumination formula blend of NOT less than 5 rare earth phosphors

3. TCO 9904228 LAMPS, NOVELTY, electric, comprising BOTH of the following:
a. colour changing optical fibres;
b. rotating base

4. TCO 8805389 LIGHTS neon indicator, incorporating a neon discharge lamp, a resistor and fitted insulator leads or terminal pins affixed for direct mounting into appliances

5. TCO 9008667 MOVING LIGHTS SYSTEM, comprising ALL of the following:
a. light source;
b. gobo or slide wheel;
c. colour disc wheel;
d. moving mirror assembly;
e. computerised control equipment

6. TCO 0510890 LIGHT ASSEMBLIES, GAMING TOWER ILLUMINATION, comprising ALL of the following:
a. lamps;
b. lamp bases;
c. plugs

7. TCO 9902814 LIGHTS, OUTDOOR, COACH, movement and light sensor activated

8. TCO 0839147 LIGHTS AND LIGHT FITTINGS, LIGHT EMITTING DIODE (LED), being ANY of the following:
a. strip lights;
b. downlights;
c. spotlights;
d. flat lights;
e. stick lights

9. TCO 9305028 NIGHT LIGHT, having ALL of the following:
a. automatically activated in the absence of external light;
b. automatically de-activated in the presence of external light;
c. cordless

10. TCO 9305386 LIGHT ASSEMBLIES, garden, 12V, being either a single unit or a set having ALL of the following:
a. plastic staked light fittings;
b. transformer;
c. cable

11. TCO 0109213 CHRISTMAS LIGHT SETS, including replacement lamps.

12. TCO 0614516 PARTS, BRAKE, COMMERCIAL VEHICLES AND/OR TRUCKS, being mounted pads

13. TCO 0614519 POWER CHAMBERS, spring brake

14. TCO 0614522 PARTS, BRAKE, COMMERCIAL VEHICLES AND/OR TRUCKS, being ANY of the following:
a. callipers;
b. pneumatic disc brakes;
c. connecting cables

15. TCO 0614526 SLACK ADJUSTORS, BRAKE

16. TCO 0614527 POWER CHAMBERS, BRAKE ACTUATOR

17. TCO 0614528 BRAKE CHAMBERS, comprising ALL of the following:
a. combined double diaphragm spring brake actuator;
b. service diaphragm;
c. release diaphragm

18. TCO 8532897 TRANSMISSIONS, power shift, having ALL of the following:
a. hydraulically activated clutch;
b. designed minimum power input capacity exceeding 70 kW;
c. at least one forward and one reverse gear ratio;
d. capable of changing gear ratios under full input power

19. TCO 0614563 PARTS, STEERING, COMMERCIAL VEHICLES AND/OR TRUCKS, being ANY of the following:
a. torque rods;
b. tie rods;
c. ball sockets;
d. drag links;
e. columns;
f. bushings

In a recent Administrative Appeals Tribunal (AAT) case an importer (Trustee for the Kurowski Family Trust) claimed that food supplements should be classified as medicaments for therapeutic or prophylactic under subheading 3004.50.00 which are duty free.

Customs and Border Protection Service decided to classify the goods under subheading 2106.90.90 (Food preparation not elsewhere specified or included) because the goods were not considered to be medicaments used for the prevention or treatment of any disease or ailment but, rather, food supplements that maintain health and well-being. As a consequence of this decision, an import duty of 4% was applied.

The Importer paid the duty ‘under protest’ and lodged an application for the review of this decision with the Tribunal.

HOW SHOULD THE GOODS BE IDENTIFIED?

The AAT consulted the Macquarie Dictionary to define the key terms in dispute. The following definitions were used to define and subsequently classify the goods.

It found that ‘food’ is defined in terms of “what is eaten, or taken into the body, for nourishment”. In turn, ‘nourishment’ is defined as “that which sustains”.

A ‘supplement’ is “something added to complete a thing, supply a deficiency, or reinforce or extend a whole”.

‘Diet’ is “food considered in terms of its qualities, composition, and its effects on health”. ‘Dietary’ means “relating to diet”.

A ‘vitamin’ is defined as “any of a group of food factors essential in small quantities to maintain life, but not themselves employing energy. The absence of any one of them results in a characteristic deficiency disease.”

After further consideration of an expert’s advice and other specialised sources regarding the definitions of vitamins, the Tribunal found that these definitions indicate that ‘vitamins’ do not fall within the ordinary meaning of the word ‘food’.

HOW SHOULD THE GOODS AS IDENTIFIED BE CLASSIFIED?

The AAT decided that the goods should be classified under subheading 3004.50.00 of Schedule 3 of the Act. This means that the goods are free of duty on importation.

PAYMENT UNDER PROTEST

An owner of goods or the licensed broker acting on behalf of an owner can endorse the entry of goods as Paid Under Protest (PUP) if they dispute the amount or rate of duty payable in respect of any goods.

The duty must still be paid, however the payment of duty under protest provides an opportunity for the owner/broker to apply for a review of Customs decision by the Administrative Appeals Tribunal (AAT).

For further information please contact Saving Point on (03) 9555 3551 or send us an email on info@savingpoint.com.au