This unit applies to individuals with a broad knowledge of taxes and duties who contribute well developed skills and knowledge to preparing business advice for a client. This unit addresses the application of relevant legislation, determinations, decisions and guidelines pertaining to the Australian Taxation System and Australian Customs regulations to assess the applicability of the GST, Australian Harmonized Export Commodity Codes for tax and duty related to export transactions, and to accurately calculate relevant taxes and duty and to prepare appropriate business advice for a client.

ELEMENT

PERFORMANCE CRITERIA

1. Assess applicability of relevant taxes and duties to international trade transactions

1.1. Research applicability of relevant taxes and duty to international trade transactions

1.2. Research allowable exemptions and specialised schemes relating to international taxes or applicability to enterprise operations and specific international trade transactions

1.3. Apply allowable exemptions to trade transactions

1.4. Check accuracy of assessments

2. Calculate taxes and duty

2.1. Identify components of international trade transactions to be included in calculations

2.2. Calculate taxes and duty on international trade transactions

2.3. Check accuracy of calculations

3. Prepare business advice on applicable taxes and duty

3.1. Prepare results of calculations and business advice in the required format

3.2. Check calculations for accuracy, and seek and obtain verification from relevant personnel as required

3.3. Pass completed business advice on to client and other relevant personnel as required

Required skills

numeracy skills to perform calculations

learning skills to maintain relevant knowledge of client products and services to be exported.

Required knowledge

identification and overview knowledge of key provisions of relevant legislation from all levels of government that affects business operations, codes of practice and national standards, such as:

Customs Act

Goods and Services legislation

other taxation legislation and relevant determinations, decisions and guidelines

trade modernisation legislation: Customs Legislation Amendment and Repeal Act, Import Processing Charges Act, Customs Depot Licensing Charges Amendment Act

other applicable legislation

allowable exemptions and specialised schemes affecting taxes/duty payable on imports/exports.

exclusions allowable for GST, related taxes and duty

organisation's policies and procedures relating to import, export and customs brokerage/freight forwarding activity

penalties for incorrect calculation of taxes/duty payable

The Evidence Guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, range statement and the Assessment Guidelines for the Training Package.

Overview of assessment

Critical aspects for assessment and evidence required to demonstrate competency in this unit

Evidence of the following is essential:

at least two examples of accurate calculation of GST, other taxes and duty payable across a range of international trade transactions

at least two examples of situations where an assessment of allowable exemptions and/or incentives has been made

records of relevant documentation used in the workplace including examples of completed business advice

knowledge of legislation, codes of practice and national standards relevant to the work role.

Context of and specific resources for assessment

Assessment must ensure:

access to workplace documentation

access to information about applicable taxes and exemptions

access to an actual workplace or simulated environment

access to office equipment and resources.

Method of assessment

A range of assessment methods should be used to assess practical skills and knowledge. The following examples are appropriate for this unit:

direct questioning combined with review of portfolios of evidence and third party workplace reports of on-the-job performance by the candidate

oral or written questioning to assess knowledge of allowable exemptions and specialised schemes affecting taxes/duty payable on imports/exports

assessment of research into applicability of GST and related taxes and duty to trade transactions

assessment of accuracy of calculations

review of results of calculations and business advice prepared in the required format.

Guidance information for assessment

Holistic assessment with other units relevant to the industry sector, workplace and job role is recommended, for example:

BSBINT407B Prepare business advice on export Free on Board Value.

The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording, if used in the performance criteria, is detailed below. Essential operating conditions that may be present with training and assessment (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) may also be included.

Relevant taxes may include:

goods and services tax (GST)

luxury car tax (LCT)

wine equalisation tax (WET)

other taxes, duties and tariffs on supplies and importations

Allowable exemptions and specialised schemes may include:

government initiatives and schemes to promote exports of Australian goods and commodities

Tradex Scheme and other duty drawback schemes which provide for an upfront exemption from customs duty and taxes on imported goods intended for re-export or to be used as inputs to exports

Relevant personnel may include:

colleagues, for further processing

customs broker

manager, for checking and verification

Unit sector

Business Development - International Business

This unit contains employability skills.