Customs concession doubles

Press, 24 June 1986, Page 2

Customs concession doubles

By

OLIVER RIDDELL

in Wellington

Overseas travellers returning to New Zealand will have their duty-free concession doubled from $250 to $5OO after July

This is one of several customs service reforms announced yesterday by the Minister of Customs, Mrs Shields. She said the vast majority of travellers were law-abiding and ought to pass through customs with minimum hindrance. A new pro-

cessing system was being devised to begin on July

This passenger processing system would be complemented by an improved passenger declaration form. Where duty concessions were not exceeded, a simple yes/no response would replace the need to record overseas purchases. Those passengers who stayed within the $5OO duty concession could then pass through customs with less delay than those who exceeded the duty limits, Mrs Shields

said. Some checks would be made to confirm that passengers had made honest declarations.

Three other changes were announced by the Minister: • With effect from October 1, no goods and services tax or duty would be charged where the combined amounts were less than $3O. In the case of items free of customs duty, persons would be able to import up to $3OO worth of goods without payment of GST. • A system of deferred payments for

approved importers would start on October 1.

• Import entries would be required for imports valued at $lOOO or more. (The present system required import entries for imports valued at $lOO or more.) Mrs Shields said these changes would affect up to 30 per cent of all importations and would benefit importers by speeding up the clearance of goods. A simplified documentation system was being designed to replace the formal entry require-

ments for imports valued at less than $lOOO, and was expected by August 1.

Her department was on course in its planning for the introduction of GST on October 1. Top rates of wholesale sales tax had already been reduced to 20 per cent as a key step towards the introduction of GST.

A booklet setting out the changes in greater detail, “Customs/GST — The Private Importer and Traveller,” is available from Collectors of Customs.