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Customs and Excise Act 2018

Customs powers - Powers in relation to goods

240: Security for payment of duty

You could also call this:

"The government can ask you to promise to pay any taxes you owe before they let you do something."

Illustration for Customs and Excise Act 2018

The chief executive can ask you for security to make sure you pay any duty you owe. You might be asked for security for a specific transaction, for all transactions, or for a certain type of transaction. The chief executive decides what type of security you need to give and for how long.

The security must be in a form that the chief executive approves. If you do not give the security, the chief executive can refuse to do anything related to the matter until you do.

The chief executive must let you out of the security conditions as soon as they are satisfied that you have done what you were supposed to do. However, this is subject to sections 127(3)(b) and 136(2), which say when you can be released from security conditions in certain situations.

If you disagree with the chief executive's decision, you can appeal to a Customs Appeal Authority within 20 working days of being told about the decision.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM7039532.

Topics:
Money and consumer rights > Taxes
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239: Cancellation and amendment of entries, or

"The boss of Customs can cancel or change incorrect entries to fix mistakes or stop duplicates."

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241: New security may be required, or

"The boss can ask for more security if they're not happy with what you have."

Part 4Customs powers
Powers in relation to goods

240Security for payment of duty

  1. The chief executive may require and take security for payment of any duty.

  2. The chief executive may require security—

  3. of a prescribed type:
    1. in relation to a particular transaction, transactions generally, or a class of transactions:
      1. for any period and amount:
        1. on any conditions as to penalty or otherwise that the chief executive considers appropriate.

          1. The security must be given in the form that the chief executive approves.

          2. The chief executive may refuse to pass an entry or to do any other act in relation to any matter in respect of which the security is required until the security is given.

          3. The chief executive must release the person who gave the security from the conditions of the security as soon as possible after the chief executive is satisfied that the obligations for which the security was given have been fulfilled.

          4. Subsection (5) is subject to sections 127(3)(b) and 136(2) (which provide for a person to be released from the conditions of security in certain circumstances).

          5. A person who is dissatisfied with a decision of the chief executive under this section may, within 20 working days after the date on which notice of the decision is given, appeal to a Customs Appeal Authority against that decision.

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