New TRS rules? Goods no longer included in cap?

[DejaBrew]

Also, is it better to prepare your TRS claim online before you front up at the airport?

100% the way to go!

Are things like pate and cheese OK if they are produced in France and the packaging is unopened?

My personal experience with this is that it depends on the product and the ABF Officer. I’ve successfully brought cheese back from Holland (smoked and wax sealed cheeses) that were inspected and given the all clear, but it can be a bit of pot luck. I’m sure others will have had varied experiences.

 

[ninja-tim]

I’m about to provide another data point to share on this one. When I departed MEL last night, I claimed clothing/footwear (which in addition to other items) put me well over the $900 concession. Dealt with a lovely ABF officer at the TRS counter, who asked if I was travelling alone or pooling and when I confirmed I was flying solo, she advised that I would likely be stung on my way back into the country. I suggested clothing/footwear was exempt so I’d be fine, to which she queried where I’d seen/heard that? Told her it was indicated on the ABF website and showed her the relevant detail -:


She agreed that the wording is very ambiguous as it can be interpreted as personal items being different to personal goods. Basically, you can read it as personal items being clothing etc that are quite simply exempt, whereas personal goods (e.g. Phone/iPad/etc) aren’t exempt unless you’ve had them for 12 months or are importing them temporarily.

Ill find out later today, but my intent is to not declare as without the clothing/footwear, I’m well under the limit. ABF officer agreed I’d likely be fine given the ambiguity of the text. Otherwise, to use an extreme example, bringing back a deodorant or shampoo/conditioner purchased overseas (i.e. personal hygiene articles) would count towards your duty free concessions unless you’d owned them for 12 months (which would be utterly ridiculous)!!

Ahhh! I didn't even notice the difference in wording, but that does leave a lot up to the officers interpretation and your debating skills at arrivals if anyone ever gets checked.

 

[DejaBrew]

Ahhh! I didn't even notice the difference in wording, but that does leave a lot up to the officers interpretation and your debating skills at arrivals if anyone ever gets checked.

And that’s why I was confident to run the gauntlet. I figured that even if I was checked and “lost” the resulting argument at Customs, I’d be exempted from the fine for false declaration due to the confusing language. Interpretation from the ABF officer at TRS on departure gave me additional confidence on that front.

 

[marc171]

And that’s why I was confident to run the gauntlet. I figured that even if I was checked and “lost” the resulting argument at Customs, I’d be exempted from the fine for false declaration due to the confusing language. Interpretation from the ABF officer at TRS on departure gave me additional confidence on that front.

How did you go DejaBrew? Were you able to bring in the clothes/footwear you claimed and successfully convinced the ABF officer that it's duty/tax free?

Also, what will be the definition of "clothing"? For example, does outer layer of clothing for example a jacket and and a scarf considered as clothing? If it is, seems like a big loophole? One could buy a Gucci jacket, Hermes scarf etc and potentially not pay any tax on it?

 

[scottsworld]

Don't forget to factor in DEPRECIATION on the items - especially electronics! As a surprisingly nice ABF lady told me once, when I took my new $1100 phone out of country, & I asked her what to do when I came back ;-)

(sorry if someone else mentioned this in an earlier thread, I got sick of going thru the past 9 pages of threads)

 

[justin23]

when I took my new $1100 phone out of country, & I asked her what to do when I came back ;-)

Its also not worth the effort of chasing every single person who claims just over the $900 at TRS either. The change to this was just stupidity to appease a few billionaires like Gerry Harvey. Who knows one day they may clamp down on it, but they really are relying on people being honest especially with much bigger purchases. If they actually did start to clamp down, people would just buy OS instead. Things like laptops, cameras and phones can be bought OS and they will work fine here, so the short sighted policy will backfire if they ever do start chasing every $1100 or even $2-3k purchase.
Also if you can salary sacrifice a phone, its a far better way to buy one and thats what anyone who can do this, actually does.

 

[marc171]

Don't forget to factor in DEPRECIATION on the items - especially electronics! As a surprisingly nice ABF lady told me once, when I took my new $1100 phone out of country, & I asked her what to do when I came back ;-)

(sorry if someone else mentioned this in an earlier thread, I got sick of going thru the past 9 pages of threads)

When I claimed at the TRS counter, the lady specifically mentioned to me depreciation is not considered. This was the Saturday that has passed

 

[There'sOnlyOneJimmy]

When I claimed at the TRS counter, the lady specifically mentioned to me depreciation is not considered. This was the Saturday that has passed

I don’t doubt what you report, but the advice from ‘the counter lady’ seems to be at odds with the wording on the ABF website.

From the ABF website (my bolding):

• If you bring goods back into Australia for which a GST refund via the TRS has been claimed, the goods must be declared, and if the value of those goods (combined with any other overseas/duty free purchases) exceeds the passenger concession allowance, any applicable GST and/or duty may need to be paid unless another concession (e.g. all personal clothing – except furs) is available.

ThIs refers to “the value” of the goods brought back, not ‘the purchase price’ (or similar).
As an example, if I was to buy an iPhone 59 days before departure, then use it for those 59 days plus the 45 days while o/s, then bring it back to Aus (with a couple of minor surface scratches ) it is clear that the VALUE of the phone is something less than the original price paid (which was used for the TRS claim).
(Keep in mind family pooling).

 

[marc171]

I don’t doubt what you report, but the advice from ‘the counter lady’ seems to be at odds with the wording on the ABF website.

From the ABF website (my bolding):

• If you bring goods back into Australia for which a GST refund via the TRS has been claimed, the goods must be declared, and if the value of those goods (combined with any other overseas/duty free purchases) exceeds the passenger concession allowance, any applicable GST and/or duty may need to be paid unless another concession (e.g. all personal clothing – except furs) is available.

ThIs refers to “the value” of the goods brought back, not ‘the purchase price’ (or similar).
As an example, if I was to buy an iPhone 59 days before departure, then use it for those 59 days plus the 45 days while o/s, then bring it back to Aus (with a couple of minor surface scratches ) it is clear that the VALUE of the phone is something less than the original price paid (which was used for the TRS claim).
(Keep in mind family pooling).

Valid point. Perhaps one of the reason why she mentioned is to make sure it looks used and not brand new.

 

[DejaBrew]

How did you go DejaBrew? Were you able to bring in the clothes/footwear you claimed and successfully convinced the ABF officer that it's duty/tax free?

Also, what will be the definition of "clothing"? For example, does outer layer of clothing for example a jacket and and a scarf considered as clothing? If it is, seems like a big loophole? One could buy a Gucci jacket, Hermes scarf etc and potentially not pay any tax on it?

I didn’t declare anything on my return to Australia and was waved through. Had ABF challenged me on my declaration, then I was prepared to argue my case as I was confident of avoiding any false declaration fine and figured that at worst, I would just need to pay back the GST on those items.

As for what constitutes clothing? My understanding is that it is basically any article of clothing or footwear. However, I suspect that ABF take a reasonableness approach to policing what can or can’t be brought back into the country duty-free. Ideally these rules would be black and white, however I think the reality is that it’s very much a grey area.

 

[Jennifer999]

Out of curiosity, does anyone know how customs know who to search at the gates? Is there something printed on the Smartgate ticket? (I’m under the $900 limit for my next trip but have always wondered)

 

[kpro]

Out of curiosity, does anyone know how customs know who to search at the gates? Is there something printed on the Smartgate ticket? (I’m under the $900 limit for my next trip but have always wondered)

TRS are able to place what's called a "PACE alert" which triggers on the persons return. How it triggers when you use a SmartGate, I'm not too sure. The alert also expires automatically after 3 months.

Where a Home Affairs officer suspects that a departing Australian citizen or resident may
not comply with the requirements to declare goods for which they have received a TRS refund, he
or she is able to request that a Passenger Analysis Clearance Evaluation (PACE) alert47 be placed on
the passenger.

47 PACE is Home Affairs’ Passenger Analysis Clearance Evaluation system. Alerts will trigger when the nominated person next returns to Australia. Alerts are placed for a wide variety of reasons, which generally relate to law enforcement. Each alert will specify the action to be taken when it is triggered which may include a search or simply advising a law enforcement agency that the person has arrived in Australia

Source - section 3.55, page 49 Management of the Tourist Refund Scheme (2019). A very interesting read overall.

 

[ChrisFlyer]

Out of curiosity, does anyone know how customs know who to search at the gates? Is there something printed on the Smartgate ticket? (I’m under the $900 limit for my next trip but have always wondered)

The machines print a letter of the alphabet on your SmartGate ticket every time you pass through. The officers check which letter you have at the exit, and if you have one with a meaning other than 'go straight out', they can point you in the right direction for the relevant check. The letters seem to change regularly and between airports. But basically, don't do the wrong thing and it won't matter what latter you get, haha.

 

[OZDUCK]

The machines print a letter of the alphabet your SmartGate ticket every time you pass through. The officers check which letter you have at the exit, and if you have one with a meaning other than 'go straight out', they can point you in the right direction for the relevant check. The letters seem to change regularly and between airports. But basically, don't do the wrong thing and it won't matter what latter you get, haha.

They are still using that! That is what we used back in the 1970's - of course in those days the Primary Officer wrote it on the card. To my memory it was based on a randomly chosen four letter code that changed every shift.

 

[Jennifer999]

Thanks, that’s so interesting! I claimed a lot last time but left it all overseas (as gifts). I remember checking my SmartGate ticket and not seeing any codes printed (I was expecting something like the SSSS code in the US)

 

[ChrisFlyer]

Thanks, that’s so interesting! I claimed a lot last time but left it all overseas (as gifts). I remember checking my SmartGate ticket and not seeing any codes printed (I was expecting something like the SSSS code in the US)

There's always something printed. On the older style SmartGates though, the magic letter doesn't appear until after you've inserted and retrieved the ticket from the physical border gate. On newer systems (like in BNE where you just get a photo receipt and only need to walk up and look at the barrier), the letter is already on your printout from the kiosk.

 

[RealtimeY]

I'm planning to claim 2.25L of wine and bring it back with me and nothing else, travelling solo.

If I am reading the rules correctly, I still would need to declare yes to question 3 but should not be liable for further tax on return.

Also, the value of the wine is over $900 but that should not matter.

Is this understanding correct?

 

[k_sheep]

Just to clarify, I have a $2500 laptop I am taking overseas and claiming TRS. Coming back (in a party of 3), can I combine our limits being $2700 and not declare it? Or do I have to declare it then explain we are pooling our limits?

We won't have anything else being brought in.

 

[MattA]

Just to clarify, I have a $2500 laptop I am taking overseas and claiming TRS. Coming back (in a party of 3), can I combine our limits being $2700 and not declare it? Or do I have to declare it then explain we are pooling our limits?

I don't think anyone really knows for certain. The ABF page -- Australian Border Force Website -- says:

If you bring goods back into Australia for which a GST refund via the TRS has been claimed, the goods must be declared, and if the value of those goods (combined with any other overseas/duty free purchases) exceeds the passenger concession allowance, any applicable GST and/or duty may need to be paid unless another concession (example, all personal clothing – except furs) is available.

But Q3 on the incoming passenger card says:

Are you bringing into Australia:
3. Goods obtained overseas or purchased duty and/or tax free in Australia with a combined total price of more than AUD$900, including gifts? Yes / No

So if you were bringing < $900 of TRS-claimed goods then surely the answer to question 3 is still "No", despite what the ABF advice says ("the goods must be declared"). It's a little less clear in your case as the incoming passenger card doesn't mention the pooled family allowance at all.

But if you're worried just tick yes -- there won't be any duty to pay if you are under the allowance. My experience of ticking yes to various things on the card over the years is that it typically leads to a short conversation with an ABF official and then I'm waved on my way. YMMV of course.

Only other thing is to check your party of 3 meets the definition of "family" (noting that children under 18 only get $450 allowance):

Families coming back to Australia on the same flight or voyage may combine (pool) their individual duty free concession limits. To do this, families must stay together when going through Customs clearance.

A family includes a person and his or her de facto partner (including same-sex couples) and any of their children under 18 years of age; or a husband and wife, and any of their children.

(Edit: Actually, weird thing there is that unless you are married children over 18 don't count as part of the family group. I wonder how that is defined in the legislation or if it's just sloppy wording on the part of the ABF...)

 

[BJReplay]

Just to clarify, I have a $2500 laptop I am taking overseas and claiming TRS. Coming back (in a party of 3), can I combine our limits being $2700 and not declare it? Or do I have to declare it then explain we are pooling our limits?

We won't have anything else being brought in.

Declare. Pool. You'll be asked. Explain. Walk through.

If you're claiming, your passport is flagged. If you don't declare, you risk getting asked. If you do declare, you are all good.