CUSTOMS (AMENDMENT) BILL

Order for Second Reading read.

3.05 p.m.

The Parliamentary Secretary to the Minister for Finance (Mr Tang See Chim) (for the Minister for Finance): Mr Speaker, Sir, I beg to move, "That the Bill be now read a Second time."

The Bill before Parliament seeks to amend the Customs Ordinance, 1960 (No. 44 of 1960) to streamline customs procedures with a view to improving the efficiency of the Customs Department and reducing inconvenience to traders.

I shall now deal with the important, amendments. Section 14 of the Ordinance is amended by the addition of a new section - section 14A - to allow for goods manufactured, assembled or produced in Singapore which are not subject to excise duties and which have been exported to be re-imported without payment of import duty. The importers will, however, have to satisfy the Comptroller of Customs that such goods have not undergone any processing or manipulation outside Singapore. At present, such exemptions are given on an ad hoc basis by the Minister. This causes some delay in clearance of goods and unnecessary correspondence.

Under the existing Ordinance, drawback of duty is allowed on goods, subject to import duty, but not on goods, subject to excise duty. Clause 18 of the Bill extends drawback facilities to locally-manufactured products which may be subject to excise duty.

At the moment, the power to levy or vary the special tax on diesel-engined vehicles lies with Parliament. Clause 6 is intended to transfer the power to the Minister. This will enable any changes to be made speedily by a Ministerial order.

Clause 9 of the Bill simplifies the procedure for the duty-free importation of bona fide trade samples.

Clause 11 of the Bill dispenses with the need for customs permits for dutiable imports except intoxicating liquors or tobacco where the duty is less than $100. This will expedite clearance of passengers.

The other amendments are to raise the minimum amount from $10 to $100 for drawback claims and to reduce the period during which claims can be made from 12 months to six months, to give discretionary power to the Comptroller, to waive collection of duty of less than $5, and to increase the maximum composition fee from $600 to $1,000 which is the level prevailing in Malaysia.

Sir, I beg to move.

Question put, and agreed to.

Bill accordingly read a Second time and committed to a Committee of the whole House.

The House immediately resolved itself into a Committee on the Bill.- [Mr Tang See Chim].

Bill considered in Committee; reported without amendment; read a Third Time and passed.