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1999-2000
THE PARLIAMENT OF THE COMMONWEALTH OF
AUSTRALIA
HOUSE OF REPRESENTATIVES
SUPPLEMENTARY EXPLANATORY
MEMORANDUM
Amendment to be Moved on Behalf of the
Government
(Circulated by the
authority of the Minister for Health and Aged Care,
the Hon Dr Wooldridge
MP)
ISBN: 0642 430780
AMENDMENTS TO THE HEALTH INSURANCE (APPROVED PATHOLOGY
SPECIMEN COLLECTION CENTRES) TAX BILL 1999
OUTLINE
This amendment will amend the Health Insurance (Approved Pathology
Specimen Collection Centres) Tax Bill 1999 (the Bill).
The Bill
imposes a tax on the grant of an approval for an approved collection centre
under new arrangements for pathology specimen collection centres under the
Health Insurance Act 1973 (the Act) as it would be amended by the
Health Insurance Legislation Amendment Bill (No.4) 1999. The Bill
replicates the annual tax of $1000 payable under the to be repealed Health
Insurance (Pathology) (Licence Fee) Act 1991 in respect of the grant of
licences for licensed collection centres under the present provisions of the
Act.
The effect of the amendment is to exclude grants of approval for
approved collection centres located on the same premises as a category GX or GY
accredited pathology laboratory from the tax.
This measure will promote
equity between specimen collection arrangements in the public and private
sectors. Category GX and GY laboratories are principal laboratories under the
full-time supervision of an expert pathologist or senior scientist. Most public
sector category GX and GY laboratories are on recognised hospital premises where
pathology specimen collections are permitted for Medicare purposes under the Act
without separate approval as an approved collection centre. Most private sector
category GX and GY laboratories are not on recognised hospital premises and
require an approval for collection centres on those premises. The exclusion of
these collection centres from the requirement to pay the annual tax is
considered to be a fairer and more uniform approach between the public and
private sectors.
FINANCIAL IMPACT STATEMENT
The Tax Bill replaces equivalent measures under the Health Insurance
(Pathology)(Licence Fee) Act 1991, with no significant financial impact.
NOTES ON CLAUSES
Amendment (1)
The amendment substitutes a new definition of
"approval" in the Bill. The existing definition refers only to an approval for
a specimen collection centre under new section 23DNBA of the Act. The new
definition excludes approvals for specimen collection centres which are on the
same premises as a Category GX or GY pathology laboratory. Tax consequently
will not be payable in respect of approvals for such centres as approved
collection centres. Categories of accreditation of accredited pathology
laboratories are provided for in principles under section 23DNA of the Act.
Categories GX and GY are the categories relating to major laboratories. New
section 23DBA of the Act, as mentioned in the note to the new definition, will
permit the determination of categories of accredited pathology laboratories for
the purposes of the new definition of "eligible pathology laboratory" in
subsection 23DA(1) of the Act. It is intended that this determination will by
reference incorporate categories GX and GY.