Calculation of Overseas Freight

ACN 2005/23 has now been distributed by Australian Customs.

This notice provides a significant change of practice in the calculation of overseas freight and insurance

for use in the calculation of the value of a taxable importation for GST liability purposes on the import Customs entry.

 

Letters of Authority - Authorising

"are you dealing with a Licensed Customs Broker?"

ACN 2007/56 - Importers can only authorise a "Licenced Broker" to Act on there behalf for Clearing / Entering goods.

Freight Forwarders need to be careful not to represent that they are able to do, or able to arrange Customs Clearance Services.

 

If they do, the Authorisation letter from the Importer must state the role of the Forwarder's Company

and the name of the Licensed Brokerage Company authorising there role to act as the Importers Broker for Clearance purposes under the Customs Act.

This must be from the Importer so they are aware who the Licensed Broker is Clearing their Product & Cargo entering Australia. This must be Signed by the Importer.

 

Under Section 181(5) of the Customs Act Freight Forwarders can be fined $1100.00 for committing an Offence. Section 181(1) gives power to Australian Customs to refuse the Authority if its not to the Licensed Broker.

 

If Australian Customs Hold your contianer "Border Processing"

Prior to the ship docking an Australian Port - You must have your Formal Customs Entry & Cargo Report Lodged,

then you will receive a 24 hour free time to collect you container, over and above the 3 free day storage period given by the Wharf Terminal.

 

If you don't have everything submitted and Customs select your container for Boarder Processing and hold this for your 3 free days, you "will" have to pay Storage to the wharf before you collect your FCL Container,

Even if Customs hold for X-Ray for up to 72hours, Make sure you get your documents early to your Broker to Lodge before ship arrival.

 

The early bird catches the worm, and you will get the 24 hour free time given to you.

 

 

Docs Required for Clearance

Sea - Bill of Lading, Commercial Invoice from O/Sea, AQIS Quarantine Packing Declaration, (Sample on our website - other services) and your Packing List, and any Fumigation and or Permit depending what your products are.

Air - AWB (Airway Bill), Commercial Invoice, and any Fumigation and or Permits depending on your products.

"Remember a Letter of Authority also if your new"

 

Calculation of Overseas Insurance

Calculation of overseas insurance; where the shipments are covered by an annual insurance policy, this rate (say % of value) must be applied on the individual shipments to arrive at the cost for the total premium.

As such, could you please re-confirm the % rate you have instructed us to use on you import shipments.

 

 

Following are the main changes:

Calculation of overseas freight when paid in A$ (i.e. collect shipments); where the overseas freight is paid in A$, this amount must be used on the Customs entry.

Furthermore, where this amount contains a % allowing for a currency uplift conversion factor (charged by the freight forwarder), this amount must also be included.

 

Note: Any shipments that are freight collect will not be able to be lodged with Customs until we have been provided the A$ collect amount from yourself or the freight forwarder,