Fact Sheet 17 - Questions 5 to 7

How do I use the scheme?
Can Customs refuse deferment of charges?
How do I apply for admission to the scheme?

How do I use the scheme?

• You can use your account at any Customs Port in New Zealand. Deferred payment can be requested by recording your Deferred Payment Client Account Number (client code) on your Customs import entry at the time of lodgement.
• The debt will be raised and posted to your account at the time the entry is passed. Entries are passed automatically by Customs following satisfactory completion of entry processing checks.

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Can Customs refuse deferment of charges?

Deferment of charges may not be granted in some instances. This may occur if:

• You are required to provide a guarantee.
• You have exceeded your credit limit.
• The total amount payable on an entry is more than your remaining credit.
• Access to the deferred payment facility has been closed due to late or non-payment.
• Any other reason that Customs sees fit.

Generally, the amount of any guarantee will equal the credit limit required. It is therefore important to ensure that the credit limit is correctly assessed; otherwise entries that exceed this limit will be processed on a cash basis before delivery of the goods is authorised. As such entries will not be recorded on the deferred account, it is important that you or your customs broker regularly monitor the account to ensure that an adequate credit limit is maintained.

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How do I apply for admission to the scheme?

Send the following to New Zealand Customs Service, National Credit Control Unit, PO Box 29, Auckland:

• Completed Application for Deferred Payment Registration form (NZCS 614).
• Completed Authority to Accept Direct Debits form (NZCS 615).
• Credit check application fee of $112.50 (GST inclusive) payable by cheque to Customs. (This enables Customs to obtain a credit review on your company from an approved credit agency. If your credit check is unsatisfactory you will need to provide a bank or equivalent guarantee to obtain approval to be admitted to the DPS. However we will discuss with you the reasons why a security is required. A person dissatisfied with the decision to require a guarantee may appeal against that decision to a Customs Appeal Authority. Details of this process will be provided upon request.)

   

Note:
The credit check application fee may not be required where:
 
– A company is registered overseas.
– All of the directors of a company reside outside New Zealand.
– A company is controlled by a Trust.
– A company is insolvent.
– A company has been trading for less than nine months.

In these situations a bank or equivalent guarantee would usually be required (please contact the National Credit Control Unit (NCCU) to confirm this).

• A copy of the Certificate of Incorporation for a registered company.
• Personal identification of the person signing the application i.e. a copy of the applicant’s birth certificate, New Zealand passport, driver’s licence or recent utility statement recording the applicant’s name and current address.
• The applicant will be required to provide evidence of the registration of any security in terms of the Personal Property Securities Act 1999.

If admission to the DPS is granted, you will receive written confirmation showing your client code, IRD number, bank account number, postal address and credit limit. Please check all details and advise the NCCU of any errors. You must quote your client code on each import entry form when clearing your importations and on any correspondence with Customs relating to the account. Your account and corresponding file will be administered by the NCCU in Auckland.

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Back to Fact Sheet 17