Commonwealth of Australia Explanatory Memoranda

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MIGRATION (VISA APPLICATION) CHARGE AMENDMENT BILL 2000










1998 – 1999 – 2000

THE PARLIAMENT OF THE COMMONWEALTH OF AUSTRALIA

HOUSE OF REPRESENTATIVES





MIGRATION (VISA APPLICATION) CHARGE AMENDMENT BILL 2000

EXPLANATORY MEMORANDUM









(Circulated by authority of the
Minister for Immigration and Multicultural Affairs,
The Hon. Philip Ruddock MP)



ISBN: 0642 437009

MIGRATION (VISA APPLICATION) CHARGE AMENDMENT BILL 2000


OUTLINE

Overview

1 The Migration (Visa Application) Charge Amendment Bill 2000 (“the Bill”) amends the Migration (Visa Application) Charge Act 1997 (“the VAC Act”) to provide:

• that the visa application charge limit in relation to a visa application made during the financial year beginning on 1 July 2000 is $30,000; and
• a mechanism for indexing the new visa application charge limit in accordance with annual movements in the Consumer Price Index (“CPI”).

2 These amendments will only apply to visa applications made on or after 1 November 2000.

3 This Bill complements the Migration Legislation Amendment (Parents and Other Measures) Bill 2000 which introduces two new visa classes for supported aged parents.

4 The amendments in the Bill will ensure that the visa application charge for the proposed new visa classes does not go beyond the visa application charge limit specified in the VAC Act.


FINANCIAL IMPACT STATEMENT

5 The amendments contained in the Bill will have no direct financial impact.

6 This Bill merely amends the formula for calculating the maximum amount of visa application charge, the actual amounts of which are set out in the Migration Regulations 1994 (“the Regulations”). The explanatory memorandum to the Migration Legislation Amendment (Parents and Other Measures) Bill 2000 addresses the financial impact of the actual proposed increases in the amount of charge.

MIGRATION (VISA APPLICATION) CHARGE AMENDMENT BILL 2000


NOTES ON INDIVIDUAL CLAUSES

Clause 1 Short title

1 The short title by which this Act may be cited is the Migration (Visa Application) Charge Amendment Act 2000.

Clause 2 Commencement

2 This clause provides that this Act commences on the day after the day on which it receives the Royal Assent.

Clause 3 Schedule(s)

3 This clause provides that each Act specified in a Schedule to this Act is amended or repealed as set out in the applicable items in the Schedule concerned. In addition, any other item in a Schedule to this Act has effect according to its terms.

SCHEDULE 1 – Migration (Visa Application) Charge Act 1997


Item 1 Before subsection 5(1)


1 This item inserts new subsection 5(1A) into the VAC Act as a consequence of the amendments made by item 2 of this Schedule.

2 New subsection 5(1A) provides that the visa application charge limit specified in section 5 of the VAC Act only applies to visa applications made before 1 November 2000.

Item 2 At the end of the Act


3 This item inserts new section 6 at the end of the VAC Act to establish a maximum for the amount of visa application charge that may be prescribed under the Migration Regulations 1994 (“the Regulations”).

4 New subsection 6(2) fixes the visa application charge limit for visa applications made during the financial year beginning on 1 July 2000 at $30,000. However, new subsection 6(1) provides that new section 6 only applies to visa applications made on or after 1 November 2000.

5 A visa application charge limit of $30,000 is necessary because of the amount of visa application charge prescribed in the Regulations in relation to applications for the proposed new supported aged parent visa classes. The Migration Legislation Amendment (Parents and Other Measures) Bill 2000 inserts provisions relating to these two new visa classes into the Regulations.

6 In certain circumstances, the visa application charge in relation to an application for such a visa will be over $25,000 if the applicant does not have satisfactory private health insurance for a minimum period of 10 years.

7 New subsections 6(3) to 6(6) reproduce existing subsections 5(2) to 5(5) of the VAC Act.

8 New subsection 6(3) provides a mechanism for indexing the visa application charge limit in new subsection 6(2) in accordance with annual movements in the Consumer Price Index (“CPI”).

9 New subsection 6(4) controls the rounding of the indexation factor to 3 decimal places.

10 New subsection 6(5) ensures that consistent CPI figures are used to index the visa application charge limit from one year to the next.

11 New subsection 6(6) provides that the visa application charge limit is to be rounded to the nearest $5 when it is indexed each financial year.

 


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