Thursday, 20 September 2018
Excise Tariff Amendment (Collecting Tobacco Duties at Manufacture) Bill 2018; Second Reading
That this bill be now read a second time.
This bill and schedule 3 of the Treasury Laws Amendment (Black Economy Taskforce Measures No. 2) Bill 2018 are part of a package of measures announced in the 2018-19 budget implementing recommendations of the Black Economy Taskforce to disrupt and deter the illicit tobacco market.
This bill alters the Excise Tariff Act 1921 to enable the calculation of duty payable once the taxing point is moved under the Treasury Laws Amendment (Black Economy Taskforce Measures No. 2) Bill 2018.
While there is currently no domestic tobacco manufacturing, this bill complements legislation introduced by the Assistant Minister for Home Affairs, which is designed to combat the evasion of duty in respect of illegally imported tobacco.
As well as continuing to reduce the prevalence of smoking and ensuring tobacco products are taxed correctly, it is also important to stop the illicit tobacco trade. This bill, in conjunction with the black economy package and the bill introduced by the Assistant Minister for Home Affairs, creates a comprehensive approach to stop tobacco leakage from warehouses, which is the primary cause of the illicit tobacco trade.
The full details of the measures are contained in the explanatory memorandum.
I commend the bill to the House.