life insurance company means a company that is registered under the Life Insurance Act 1995.

statutory upper limit means:

(a)

in relation to the first financial year that ends after this Act commences—$500,000; or

(b)

in relation to a later financial year—the amount calculated by multiplying the statutory upper limit for the previous financial year by the indexation factor for the later financial year.

Levy payable in accordance with subsection 8(4) of the Financial Institutions Supervisory Levies Collection Act 1998 is imposed.

(1)

Subject to subsection (2), the amount of levy payable by a life insurance company for a financial year is:

(a)

unless paragraph (b) or (c) applies—the amount that, for the financial year, is the levy percentage of the life insurance company's asset value; or

(b)

if the amount worked out under paragraph (a) exceeds the maximum levy amount for the financial year—the maximum levy amount; or

(c)

if the amount worked out under paragraph (a) is less than the minimum levy amount for the financial year—the minimum levy amount.

Note: The levy percentage, maximum levy amount, minimum levy amount and the method of working out the life insurance company's asset value, are as determined under subsection (3).

(2)

If the levy imposition day for the life insurance company for the financial year is later than 1 July in the financial year, the amount of levy payable by the life insurance company for the financial year is the amount worked out using the following formula:

(3)

The Treasurer is, in writing, to determine:

(a)

the maximum levy amount for each financial year; and

(b)

the minimum levy amount for each financial year; and

(c)

the levy percentage for each financial year; and

(d)

how a life insurance company's asset value is to be worked out.

(4)

An amount determined under subsection (3) as the maximum levy amount must not exceed the statutory upper limit as at the time when the determination is made.

(5)

The Treasurer's determination under paragraph (3)(d) of how a life insurance company's asset value is to be worked out is to include, but is not limited to, a determination of the day as at which the life insurance company's asset value is to be worked out. That day must be:

(a)

if the life insurance company was a life insurance company at all times from and including 17 March of the previous financial year to and including the following 30 June—a day in the period from and including that 17 March to and including the following 14 April; or

(b)

if the life insurance company was not a life insurance company at all times from and including 17 March of the previous financial year to and including the following 30 June—the day after that 17 March when the life insurance company became, or becomes, a life insurance company.

(6)

A determination under subsection (3) may make different provision for different classes of life insurance companies.

(7)

A determination under subsection (3) is a disallowable instrument for the purposes of section 46A of the Acts Interpretation Act 1901.

LIFE INSURANCE SUPERVISORY LEVY IMPOSITION ACT 1998
- SECT 8
Calculation of indexation factor

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(1)

The indexation factor for a financial year is the number worked out by dividing the index number for the March quarter immediately preceding that financial year by the index number for the March quarter immediately preceding that first-mentioned March quarter.

(2)

The indexation factor is to be calculated to 3 decimal places, but increased by .001 if the 4th decimal place is more than 4.

(3)

Calculations under subsection (1):

(a)

are to be made using only the index numbers published in terms of the most recently published reference base for the Consumer Price Index; and

(b)

are to be made disregarding index numbers that are published in substitution for previously published index numbers (except where the substituted numbers are published to take account of changes in the reference base).

The Governor-General may make regulations for the purposes of subsection 2(2).

Note 1

The Life Insurance Supervisory Levy Imposition Act 1998 as shown in this consolidation comprises Act No. 57, 1998 amended as indicated in the Tables below.
For all relevant information pertaining to application, saving or transitional provisions see Table A.

Table of Acts

(a)

(1)

Subject to this section, this Act commences on the day on which it receives the Royal Assent.

Table A

Application, saving or transitional provisions

Financial Sector Reform (Amendments and Transitional Provisions) Act (No. 1) 1999 (No. 44, 1999)

(1) The regulations may deal with matters of a transitional, saving or application nature relating to:

(a)

the transition from the application of provisions of the replaced legislation to the application of provisions of the Banking Act 1959, the Life Insurance Act 1995, the Financial Sector (Transfers of Business) Act 1999, the Financial Sector (Shareholdings) Act 1998 or the Australian Prudential Regulation Authority Act 1998; or

(b)

the transition, for The Cairns Cooperative Weekly Penny Savings Bank Limited, from the application of provisions of the Financial Intermediaries Act 1996 of Queensland to the application of provisions of any of the Acts referred to in paragraph (a); or

(c)

the amendments and repeals made by the Schedules to this Act.

(2) Without limiting subitem (1), the regulations may provide for a matter to be dealt with, wholly or partly, in any of the following ways:

(a)

by applying (with or without modifications) to the matter:

(i)

provisions of a law of the Commonwealth, or of a State or Territory; or

(ii)

provisions of a repealed or amended law of the Commonwealth, or of a State or Territory, in the form that those provisions took before the repeal or amendment; or

(iii)

a combination of provisions referred to in subparagraphs (i) and (ii);

(b)

by otherwise specifying rules for dealing with the matter;

(c)

by specifying a particular consequence of the matter, or of an outcome of the matter, for the purposes of a law of the Commonwealth.

(3) Without limiting subitems (1) and (2), the regulations may provide for the continued effect, for the purposes of a provision of a law of the Commonwealth, of a thing done or instrument made, or a class of things done or instruments made, before the transfer date under or for the purposes of a provision of a law of a State or Territory. In the case of an instrument or class of instruments, the regulations may provide for the instrument or instruments to continue to have effect subject to modifications.
(4) Without limiting subitem (3), regulations providing for the continued effect of things done or instruments made may permit all or any of the following matters to be determined in writing by a specified person, or by a person included in a specified class of persons:

(a)

the identification of a thing done or instrument made, or a class of things done or instruments made, that is to continue to have effect;

(b)

the purpose for which a thing done or instrument made, or a class of things done or instruments made, is to continue to have effect;

(c)

any modifications subject to which an instrument made, or a class of instruments made, is to continue to have effect.

(5) Despite subsection 48(2) of the Acts Interpretation Act 1901, regulations for the purposes of this item:

(a)

may be expressed to take effect from a date before the regulations are notified in the Gazette; and

(b)

may provide for a determination of a kind referred to in subitem (4) to take effect from a date before the determination is made (including a date before the regulations are notified in the Gazette).

(6) In this item, a reference to a law, whether of the Commonwealth or of a State or Territory, includes a reference to an instrument made under such a law.
(7) In this item: