TARIFF CONCESSION ORDERS - REQUIREMENTS OF A VALID APPLICATION

Even with the rise of free trade agreements, TCOs remain an important tool to manage customs duty.  This will become more important as the Government has announced a future reform whereby goods covered by a TCO will be automatically exempt from dumping duty.

A recent case examined the requirements for a valid TCO application such as the inquiries that need to be made and whether the TCO describes goods by their end use.  The case contains useful guidance for customs brokers that lodge TCO applications.  CGT Law's commentary on the case can be found HERE.

DOES THE TCO APPLY?

Having a TCO made is only half the challenge.  Whether or not a TCO will apply to a particular import is often a difficult question.  The issue will depend on the tariff classification of the imported goods compared to the tariff classification to which the TCO is keyed. 

If the classifications match, the next issue is whether the TCO completely describes the imported goods.  This involves challenging issues regarding the scope of the TCO wording and the identification of the imported goods. CGT Law's commentary on the application of TCOs can be found HERE.