Importers face $15m Customs clawback

By IRENE CHAPPLE

From July importers will cover a $15 million bill for border-control paperwork, a cost currently covered by the taxpayer.

Acting Customs Minister Jim Anderton, who announced the change in Parliament yesterday, said clearance services for imported goods currently cost the Customs Service $21 million a year.

"Some of that component
is for public services such as drug detection. The remainder is a subsidy for having goods cleared in a fast, straightforward and efficient way."

The $15 million will be recovered by a $18 charge to importers with declarations over $1000. The charge will apply to each import order, whether private or business.

Mr Anderton said the reduction of the subsidy would put everyone on a level playing field.

The move has been denounced by the Importers Institute as nonsensical.

Institute secretary Daniel Silva said border control was a genuine use of taxes.

If an importer paid it, the cost would be passed on to the consumer, he said.

"It is just additional revenue for the Government. It is a new tax."

The Customs and Excise Act 1996 will be amended to incorporate the change.