Customs Licensing Charges Amendment

Current status

This bill became law on Sep 5th, 2024.

Policy area

Immigration, border & security

What does this bill do?

Once commenced, new customs depot licences that start on 1 July now cost $4,000 by default, and regulations can raise that amount to as much as $6,000.

Why was it introduced?

Deficiencies in how customs depot renewal fees were calculated left the charging rules inconsistent across licence types. This bill fixes the fee formula and aligns depot licenceA permission needed to run a depot where goods under customs control are stored or handled. charges and payment rules with the broader customs licensing regime.

Broader context

Australia’s customs licensing system already covered depots, warehouses and customs brokers. A review conducted in 2015 produced a final report submitted on 31 March 2017, and the government later said depot renewal fee calculations were still inconsistent with other licence types. As part of its Simplified Trade SystemThe government reform program this bill sits under, aimed at making cross-border trade rules simpler and more modern. agenda, the government introduced this bill in June 2024 to align depot charges and payment rules with the broader licensing framework. Parliament passed it in August before Royal AssentThe final step that turns a passed bill into an Act of Parliament. on 5 September 2024, with commencement still dependent on Proclamation or fallback.

Key criticism

No significant public case against this bill is recorded so far, with the main plausible concern being that higher depot licenceA permission needed to run a depot where goods under customs control are stored or handled. charges could modestly increase costs for some operators. In the parliamentary debate provided, no party represented in the debate opposed the bill and no substantial public reservations were set out beyond that limited implementation risk.

Who supported it?

Clare O'Neil MP introduced this bill. It passed on the voices.

Introduced in House 26 June 2024
Passed House 14 Aug 2024
Passed Senate 22 Aug 2024
Became law 05 Sept 2024

Did it become law?

Yes

Became law 05 Sept 2024

Final passage

Passed without a counted vote

Members called out ‘aye’ or ‘no’ — no individual votes were recorded.

Passage speed

71 days

From introduction to the latest recorded parliamentary step

Official record

View on APH

Parliament of Australia bill page

What does this bill do?

  1. Once commenced, new customs depot licences that start on 1 July now cost $4,000 by default, and regulations can raise that amount to as much as $6,000.

  2. Once commenced, new customs depot licences that start partway through a financial year will use a pro-rataA way of charging only for the part of the year a new depot licence actually covers. formula instead of charging the full annual amount straight away.

  3. Once commenced, renewing a customs depot licenceA permission needed to run a depot where goods under customs control are stored or handled. will usually cost $4,000, and regulations can set a higher renewal charge up to $6,000.

  4. Once commenced, small customs depots that were licensed for the full previous year and handled fewer than 300 transactions can renew at a lower $1,500 rate, with regulations able to lift that to $2,250.

  5. The new charging rules will apply to depot licences granted or renewed from the start date, including renewals for depots that were licensed before the change began.

Show source excerpts
  1. (a) for the grant of a depot licence that comes into force on a 1 July—$4,000, or, if another amount not exceeding $6,000 is prescribed, that other amount; or
    Customs Licensing Charges Amendment Act 2024 final Act text
  2. (b) for the grant of a depot licence that comes into force on a day in a financial year other than 1 July—the amount worked out using the formula:
    Customs Licensing Charges Amendment Act 2024 final Act text
  3. (2) Subject to subsection (3), the amount of depot licence charge payable in respect of the renewal of a depot licence is $4,000, or, if another amount not exceeding $6,000 is prescribed, that other amount.
    Customs Licensing Charges Amendment Act 2024 final Act text
  4. the amount of depot licence charge payable in respect of the renewal of the depot licence is $1,500, or, if another amount not exceeding $2,250 is prescribed, that other amount.
    Customs Licensing Charges Amendment Act 2024 final Act text
  5. (b) the renewal of a depot licence on or after the day on which this item commences, whether the depot licence was granted before, on or after that day.
    Customs Licensing Charges Amendment Act 2024 final Act text

Broader context for this bill

Australia’s customs licensing system already covered depots, warehouses and customs brokers. A review conducted in 2015 produced a final report submitted on 31 March 2017, and the government later said depot renewal fee calculations were still inconsistent with other licence types. As part of its Simplified Trade SystemThe government reform program this bill sits under, aimed at making cross-border trade rules simpler and more modern. agenda, the government introduced this bill in June 2024 to align depot charges and payment rules with the broader licensing framework. Parliament passed it in August before Royal AssentThe final step that turns a passed bill into an Act of Parliament. on 5 September 2024, with commencement still dependent on Proclamation or fallback.

  1. 31 Mar 2017

    Customs licensing review final report submitted

    A review conducted in 2015 produced a final report submitted on 31 March 2017, which later informed the customs licensing reform package.

    Customs Licensing Charges Amendment explanatory memorandum ↗
  2. 26 June 2024

    Government introduces depot charging changes under the Simplified Trade SystemThe government reform program this bill sits under, aimed at making cross-border trade rules simpler and more modern. agenda

    The bill was introduced to modernise depot licenceA permission needed to run a depot where goods under customs control are stored or handled. charge calculations and align them with warehouse licenceAnother customs licence type used as the benchmark for aligning depot charge rules more closely across the system. charging as part of broader trade-system reforms.

    Hansard ↗
  3. 22 Aug 2024

    Parliament passes the bill

    Both houses passed the bill in the same form, clearing the way for the new depot charging rules to become law.

    Parliamentary timeline ↗
  4. 05 Sept 2024

    Royal AssentThe final step that turns a passed bill into an Act of Parliament. given, commencement still to follow

    Royal AssentThe final step that turns a passed bill into an Act of Parliament. turned the bill into an Act, but the charging changes commence by Proclamation or fallback rather than automatically taking effect on 5 September 2024.

    Parliamentary timeline ↗

How did it move through Parliament?

House Senate
Introduced 26 June 2024

The bill was formally presented to the chamber and read a first time, which starts its parliamentary journey.

Introduced and read a first time

Second reading opened 26 June 2024

A minister or sponsoring member moved the second reading, opening the main debate on the bill's purpose and principles.

Second reading moved

Sent to Federation Chamber for debate 13 Aug 2024

The bill reached this recorded parliamentary step.

Referred to Federation Chamber

Second reading debate 14 Aug 2024

The bill reached this recorded parliamentary step.

House second reading agreed 14 Aug 2024

The chamber agreed to the bill at second reading, meaning it accepted the bill in principle and allowed it to continue.

Second reading agreed to

Returned from Federation Chamber 14 Aug 2024

The bill reached this recorded parliamentary step.

Reported from Federation Chamber

House third reading agreed 14 Aug 2024

The chamber agreed to the bill at third reading, which completed passage through that chamber.

Third reading agreed to

Introduced 15 Aug 2024

The bill was formally presented to the chamber and read a first time, which starts its parliamentary journey.

Introduced and read a first time

Second reading opened 15 Aug 2024

A minister or sponsoring member moved the second reading, opening the main debate on the bill's purpose and principles.

Second reading moved

Senate second reading agreed 22 Aug 2024

The chamber agreed to the bill at second reading, meaning it accepted the bill in principle and allowed it to continue.

Second reading agreed to

Senate third reading agreed 22 Aug 2024

The chamber agreed to the bill at third reading, which completed passage through that chamber.

Third reading agreed to

Passed both houses 22 Aug 2024

Both houses passed the bill in the same form, completing parliamentary passage.

Finally passed both Houses

Assent 05 Sept 2024

The Governor-General gave Royal AssentThe final step that turns a passed bill into an Act of Parliament., turning the bill into an Act.

The main case against this bill

No significant public case against this bill is recorded so far, with the main plausible concern being that higher depot licenceA permission needed to run a depot where goods under customs control are stored or handled. charges could modestly increase costs for some operators. In the parliamentary debate provided, no party represented in the debate opposed the bill and no substantial public reservations were set out beyond that limited implementation risk.

No significant public case against the bill is recorded so far.

Recorded votes

How the bill itself passed

The bill passed both chambers on the voices, so there is no list of individual Aye and No votes for final passage.

Passed

House passed the bill

House agreed to the bill's third reading on the voices, so there is no list of individual Aye and No votes for final passage in that chamber.

14 Aug 2024

Passed on the voices

In a voice vote, members call out Aye or No and the presiding officer judges which side has it. Individual names are only recorded if a formal division is called.

Passed

Senate passed the bill

Senate agreed to the bill's third reading on the voices, so there is no list of individual Aye and No votes for final passage in that chamber.

22 Aug 2024

Passed on the voices

In a voice vote, members call out Aye or No and the presiding officer judges which side has it. Individual names are only recorded if a formal division is called.

Who spoke, and what they said

Start here — lead voices

Sponsor speech Supports

Clare O'Neil

Australian Labor Party • MP 26 June 2024

O'Neil supports the bill and says it will modernise and streamline depot licenceA permission needed to run a depot where goods under customs control are stored or handled. charges so the customs licensing system is fairer and easier to comply with.

Read in Hansard ↗
Lead supporting voice Supports

Dan Tehan

Liberal Party • MP 02 July 2024

Dan Tehan says the coalition will support the bill because it reduces red tape, modernises customs licensing and strengthens integrity controls in the trade system.

Read in Hansard ↗
Lead voice Supports

Anthony Chisholm

Australian Labor Party • Senator 15 Aug 2024

Chisholm supports the bill because it modernises and streamlines depot licenceA permission needed to run a depot where goods under customs control are stored or handled. charges, aligns them with warehouse charges, and closes a loophole that could leave some licence holders financially advantaged.

Read in Hansard ↗
Lead voice Supports

Matt Thistlethwaite

Australian Labor Party • MP 14 Aug 2024

Thistlethwaite supports the bill, saying it is a sensible but overdue reform that will modernise customs licensing, reduce business costs and regulatory burden, and strengthen border integrity.

Read in Hansard ↗

All speeches by bloc

Labor

3 speakers · 3 support

Coalition

1 speaker · 1 support

Full record

Full chat