Process for claiming Wine Equalisation Tax

[shuuy]

Okay ... Getting super excited about a Chile/Argentina trip coming up.
But then had a bit of a downer after 30 minutes speaking to a Border Force "general information line" dude ... because they weren't able to say anything that wasn't on the website.

Situation: I buy 6 bottles of Malbec for A$60 and fly back with them. I tick "yes" I exceed my duty limits

What I believe happens next:

• I go see someone in secondary
• They calculate the "assessable value" (should be from invoices). This is for all 6 bottles, not just for my exemption
  • Multiply this by 29% (WET)
  • Add in freight/insurance cost (should be 0)
  • Multiply the total amount by 10% (GST)
• I then get issued an invoice to pay for the excess tax.

What I'm unsure about

• Is there a different way they calculate assessable value vs the purchase price on invoices that I provide (wine is super cheap in Argentina - will they mark it up?)
• Can I pay the invoice right away? (they weren't clear if there was a cashier, but that I would have to pay through an online portal)
• Will they hold the goods? (agent online said "maybe". when I pushed for the amount of handling charges it was "don't know, up to discretion of agent")
• Is there a duty cost applied?
• Is the cost of my flight charged as "freight"? Assume no but want to avoid surprises

 

[Steady]

I have seen posts with first hand experience on this in the last 12 months- maybe in the whiskey thread?

 

[ric_melb]

I don't have personal experience of this situation, however I would offer the following comments, based on anecdotes, and looking at various posts on Flyer Talk, Border Force info, and common sense.
Obviously if you wish to bring in 6 bottles of Malbec you declare them.
Whilst you maybe sent to secondary screening you may just be waived through to the green channel.
As I read it wine is not subject to excise, only WET, and only if you have more than 2.25 litres of alcoholic liquor.
WET is base on the wholesale cost of the wine, this would be below your retail cost. You could just agree on your retail cost, or assume a wholesale cost of say $40. No need to add freight and insurance costs, there were none. Then add GST. They should not mark up your price.

So let's work on your price of $60. Multiply by 29% then again by 10%. You come up with "tax" pf $25.14.
Frankly I don't believe they would go to the trouble of collecting such an insignificant amount from you.
But if they do, they may give you an invoice or similar, and from what I see you can pay there and then by cash or credit card.
I doubt they would hold the goods, unless you couldn't pay the assessment then and there.

You may have worked on a price of $60 as an example and I realise Argentine wine can be cheap, but wouldn't it be better to spend a bit more for better quality wines.

Hopefully other members will post their personal experiences.

 

[Deleted member]

I agree with Ric_melb, if you declare and play the game, they may feel worrying about you and $25.00 isn't worth the effort, brownie points for being honest will IMHO go a long way

 

[shuuy]

Used $10/btl for round numbers and simple math.

I think the mrs and I will bring back a 6 pack which makes everyone happy