Commonwealth of Australia Explanatory Memoranda Commonwealth of Australia Explanatory Memoranda[Index] [Search] [Download] [Bill] [Help]
1998-1999-2000
(Circulated by authority of
the Minister for Agriculture, Fisheries and Forestry,
the Hon Warren Truss
MP)
ISBN 0 642 42860 3
1. The Dairy Adjustment Levy (Excise) Bill 2000 provides for the
imposition of the Dairy Adjustment Levy to the extent that the levy is a duty of
excise.
2. This Bill is one of a package of three Bills that impose the
Dairy Adjustment Levy. The other Bills are the Dairy Adjustment Levy
(Customs) Bill 2000 and the Dairy Adjustment Levy (General) Bill 2000.
3. This Bill provides for:
• the imposition of the Dairy Adjustment Levy to the extent that the levy is a duty of excise; and
• the rate at which the Dairy Adjustment Levy will apply; and
• the Governor-General to be able to make
Regulations regarding the Dairy Adjustment Levy.
4. The Dairy Adjustment Levy will be established to raise sufficient
Commonwealth revenue to pay for the Dairy Industry Adjustment
Package.
5. The Dairy Adjustment Levy is expected to raise $1.74 billion
over a target period of eight years.
6. All money raised by the Dairy
Adjustment Levy will be used to fund the Dairy Industry Adjustment Package,
including the cost of collecting the levy. The imposition of the Dairy
Adjustment Levy will have no net impact on the Commonwealth
Budget.
7. The Dairy Industry Adjustment Bill 2000 provides for
the Dairy Adjustment Levy to be terminated by the Minister publishing a notice
in the Gazette once the Minister is satisfied that all costs associated
with the Dairy Industry Adjustment Package have been met. This includes the
cost to the Commonwealth of collecting the Levy.
8. This Bill imposes a levy to raise sufficient funds to pay for the
Dairy Industry Adjustment Package as established under the Dairy Industry
Adjustment Bill 2000.
9. The regulation impact of the Dairy
Adjustment Levy is discussed in the Explanatory Memorandum of the Dairy
Industry Adjustment Bill 2000.
10. The Act will be called the Dairy Adjustment Levy (Excise) Act
2000.
11. The Act will commence on 8 July 2000. This is the same day as
commencement of the Dairy Adjustment Levy (see clause 76BA of the Dairy
Industry Adjustment Bill 2000).
12. Clause 3 binds the Crown in right of each of the States and
Territories.
13. In the Act, a leviable milk product has the same meaning as Part 4 of
Schedule 2 of the Dairy Produce Act 1986. The expression leviable milk
product is used in clause 6.
14. This clause imposes the Dairy Adjustment Levy to the extent that the
levy is a duty of excise.
15. Subclause 6(1)(a) sets the maximum rate of levy at 0.011 cents per
millilitre (ie. 11 cents per litre). This will also be the initial operative
rate.
16. Subclause 6(1)(b) allows for a lower operative rate to be set
by regulation.
17. Subclause 6(2) refers to imposition of the levy on
those products, which are not a liquid at 20°C (for example powdered milk).
It is not intended that milk powder will initially be subject to the levy.
However, in the event that milk powder becomes subject to the levy in the
future, this subclause provides a mechanism to calculate the volume of the
product for the purpose of applying the levy. The formula for calculating the
volume of the product will be specified in the Regulations.
18. Subclause
6(3) refers to the imposition of the levy on milk concentrates. It is not
intended that milk concentrates will initially be subject to the levy. However,
in the event that milk concentrates become subject to the levy in the future,
this subclause provides a mechanism to calculate the volume of the product for
the purpose of applying the levy. The formula for calculating the volume of the
product will be specified in the Regulations.
19. Subclause 7(1) ensures this Bill complies with Section 114 of the
Constitution.
20. Subclause 7(2) specifies that property of any
kind belonging to a State has the same meaning as in section 114 of the
Constitution.
21. Subclause 7(3) extends this clause to include the
property of the Australian Capital Territory and the Northern Territory.
22. Subclause 8(1) provides for the Governor-General to make Regulations
for the purposes of clause 6.
23. Subclause 8(2) specifies that before
making a regulation specifying a lower operative rate of levy under subclause
6(1)(b) the Governor-General must consider any relevant recommendations made to
the Minister by the Dairy Adjustment Authority.