Section 2 - A New Tax System (Goods and Services Tax) Regulations 1999 - Sealed bag arrangements for liquids, aerosols, gels, creams and pastes

2 Sealed bag arrangements for liquids, aerosols, gels, creams and pastes

(1) This clause applies if: (a) a person purchases a liquid, aerosol, gel, cream or paste (a LAG product) as a GST‑free item; and (b) in relation to dealing with the LAG product, the person is required to comply with the requirements of any of the following rules of Table 1 in this Schedule: (i) SB Rule 2; (ii) SB Rules 7 to 10; and (c) the person deals with the LAG product in accordance with an arrangement (known as a “sealed bag arrangement”) that: (i) is administered by the Australian Taxation Office and the Department administered by the Minister administering the Migration Act 1958; and (ii) is consistent with the requirements of Subdivision 4.1.1A of the Aviation Transport Security Regulations 2005. (2) The supply of the LAG product to the person is taken to have complied with the rules in Table 1 in this Schedule.

Table 1—Sealed Bag Rules

Goods taken possession of on the indirect tax zone side of the customs barrier and accompanying the traveller

[1]Rule number	[2]Summary of rule	[3]Details of rule	[4]What the Commissioner may approve	[5]Time when the requirements of the rule must be satisfied
SBRule 1	Seller to sight travel documents	The seller of the goods must sight:(a) the purchaser’s ticket for travel from the indirect tax zone to a foreign country; or(b) if appropriate, a document relating to the purchaser that is an approved document	A document of a kind that provides evidence that a purchaser is to travel from the indirect tax zone to a foreign country	Before the purchaser takes possession of the goods
SBRule 2	Purchaser to sign an SB declaration	The purchaser must sign, and retain a copy of, a declaration (SB declaration) setting out, in the approved form:(a) details of the purchaser, the goods purchased and the proposed journey; and(b) if the following matters are true, a statement that the purchaser:	The form of the SB declaration, including additional information and statements to be included in the SB declaration	Before the purchaser takes possession of the goods
		(i) intends departing the indirect tax zone with the goods within 60 days of taking possession;(ii) will not interfere with the goods, the sealed package containing the goods or the copies of the invoice relating to the goods before submitting the sealed package to the seller in accordance with SB rule 7 or 8;(iii) will, in accordance with SB rule 7 or 8, submit the sealed package to the seller for removal of the barrier copy of the invoice;

[1]Rule number	[2]Summary of rule	[3]Details of rule	[4]What the Commissioner may approve	[5]Time when the requirements of the rule must be satisfied
CBRule 1	Seller to sight travel documents	The seller of the goods must sight:(a) the purchaser’s boarding pass or ticket for travel from the indirect tax zone to a foreign country; or(b) if appropriate, a document relating to the purchaser that is an approved document	(a) a document of a kind that provides evidence that the purchaser is to travel from the indirect tax zone to a foreign country; and(b) a document of a kind that provides evidence that the purchaser was beyond the customs barrier when taking possession of the goods	Before the purchaser takes possession of the goods
CBRule 2	Purchaser may have to sign a CB declaration	If the purchaser pays for the goods on the indirect tax zone side of the customs barrier and will not take possession of the goods until he or she has passed through the customs barrier, he or she must sign, and retain a copy of, a declaration (CB declaration) setting out, in the approved form:(a) details of the purchaser, the goods purchased and the proposed journey; and(b) a declaration that he or she is aware of the penalty for making a false or misleading statement; and(c) any other information or statement required by the approved form	The form of the CB declaration and additional information and statements to be included in the CB declaration	Before the purchaser takes possession of the goods
CBRule 3	Seller to make an invoice	The seller must make an invoice or receipt:(a) at the time of the sale; and(b) in an approved form; and(c) in duplicate; and(d) containing a full description of the goods	(a) forms of invoice that render obvious an alteration to, or deletion from, the contents of the invoice; and(b) the information to be included in an invoice	Before the purchaser takes possession of the goods
CBRule 4	Seller to retain copies of certain documents	The seller must retain:(a) a copy of the invoice; and(b) the signed CB declaration (if any); and(c) if the goods are paid for on the indirect tax zone side of the customs barrier and pass into the possession of the purchaser only after the purchaser has passed through the customs barrier, an approved document giving evidence of that fact	A document of a kind that provides evidence that the goods have been passed into the possession of the purchaser after he or she has passed through the customs barrier	Before the purchaser takes possession of the goods

2Sealed bag arrangements for liquids, aerosols, gels, creams and pastes

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2 Sealed bag arrangements for liquids, aerosols, gels, creams and pastes