MIQ and How to Avoid Losing Your Shipping Security

With tens of thousands of Kiwis currently stuck overseas, some families are being forced to send their household goods ahead while they wait for the MIQ lottery to come up with a room. We’ve heard of some families waiting up to 18 months.

This delay creates a problem. Because the longer their goods sit in New Zealand - awaiting their arrival, the time for a duty free concession begins to run out.

On the Grounded Kiwis Facebook page, Kiwis say they have little option. Karen Marshall from Alice Springs, has sold her house and has ship her furniture

 “This applies to us - but the thing is we HAVE to ship our goods earlier as we are coming from remote Australia, so that takes time to even reach an Australian port.” She posts.

So What are the Rules of Shipping Ahead?

If you ship the goods ahead of your arrival you are subject to what is called a SITE ENTRY or you can apply for DISPENSATION if you meet the requirements listed below.

To qualify for concessionary entry of household effects, the importer must satisfy Customs that they meet all of the following:

• They have arrived in New Zealand and, on the date the effects are imported, hold a document authorising residence in New Zealand, and
• For the whole of the period of 21 months preceding their arrival they have been domiciled outside New Zealand, and
• They have personally owned and used the effects outside New Zealand before the date of their departure for New Zealand.

Customs are required by law to comply with all three conditions of the above concession. This concession is called the Part 2 Reference 80(e) concession, set out in the Working Tariff Document of New Zealand, covered by the Tariff Act 1988.

Shipping Prior to Your Arrival is Not Advised.

With the uncertainty of travel and the restriction on entry to MIQ, Conroy recommends you hold household goods in storage until you’ve landed.

Raymond Lauren, Conroy Removals, Marketing Manager explains:

“If where you are not in New Zealand when your goods arrive, there may be provision for their customs broker to enter their goods on a 'Sight Entry'. This will require a security deposit to be made to cover the GST (and duty if required), which will be refunded if the importer arrives within 6 months of the arrival of their goods.

This security is based on an estimated value of the household goods in their current used state. If the importer does not arrive within 6 months of the arrival of the goods, then the security is paid to the Crown as duty and GST, and is not refundable.”

The NZ government has not introduced any new legislation during the Covid pandemic that will allow Customs the flexibility to allow entry of household goods exempt of Customs charges in instances where they do not meet all of the requirements of the concession.

In fact, according to Arnia Ross, another Grounded Kiwi in Australia, things seem to have got even stricter.

“Unfortunately come December we will lose our security deposit. They accepted exemptions last year, but this year quite firm with no exemptions…“

Raymond Laursen says Conroy Removals are working with clients who need to move from their residence prior to being able to leave for New Zealand and are offering storage solutions for example, at Huntingwood, New South Wales branch prior to shipping.

If you need guidance or further information, Contact Us or visit Trans-Tasman Removals to New Zealand.