Change in arrangements for excise equivalent goods

From 1 July 2010 the Australian Taxation Office (Tax Office) will have responsibility, under delegation, for the overall administration of excise equivalent goods (EEGs) that are warehoused.

Why are things changing?

In 2008 there was a Productivity Commission recommendation that Government review the administrative arrangements for imported EEGs. The Government, in its response, requested a joint project team be set up between the Tax Office and Customs and Border Protection to review the arrangements for EEGs. As part of the review we consulted with industry and wrote to them seeking feedback on the recommendation. This consultation determined that there was widespread support for the Tax Office to take on the administrative responsibilities of imported EEGs.

A single window for matters relating to EEGs will reduce compliance costs for importers/warehouse licence holders who currently deal with both the Tax Office and Customs and Border Protection to import and warehouse EEGs. It will also deliver a more streamlined process to reduce duplication across both the agencies and will also allow for a complete picture of industry activities associated with both Customs and Excise duties on excise equivalent goods.

This change will not apply to businesses that operate duty free stores, supply the international shipping or airline industries (providores and catering bonds).

What you need to do

If your business is a duty free store, providore or catering bond then this change does not affect you. Your current arrangements with regard to EEGs will continue.

More information

Further information on EEGs is available on www.ato.gov.au/excise.

To speak with an officer regarding the changes, please phone the Tax Office on 1300 137 290 between 8.00am and 6.00pm, Monday to Friday, or Customs and Border Protection on 1300 759 677 or via email eegpt@customs.gov.au.