A Bill for an Act to deal with matters related to the indexation of fuel excise and customs duty, and for related purposes
The Parliament of Australia enacts:
1 Short title
This Act may be cited as the Fuel Indexation (Road Funding) Act 2014.
2 Commencement
(1) Each provision of this Act specified in column 1 of the table commences, or is taken to have commenced, in accordance with column 2 of the table. Any other statement in column 2 has effect according to its terms.
| Commencement information |
| Column 1 | Column 2 | Column 3 |
| Provision(s) | Commencement | Date/Details |
| 1. Sections 1 to 3 and anything in this Act not elsewhere covered by this table | The day this Act receives the Royal Assent. | |
| 2. Schedule 1 | The later of: (a) immediately after the commencement of the Fuel Indexation (Road Funding) Special Account Act 2014; and (b) the commencement of section 6 of the Public Governance, Performance and Accountability Act 2013. | |
| 3. Schedule 2 | 1 July 2015. | 1 July 2015 |
| 4. Schedules 3 to 5 | 31 July 2014. | 31 July 2014 |
Note: This table relates only to the provisions of this Act as originally enacted. It will not be amended to deal with any later amendments of this Act.
(2) Any information in column 3 of the table is not part of this Act. Information may be inserted in this column, or information in it may be edited, in any published version of this Act.
3 Schedule(s)
(1) Each Act, and each regulation, that is specified in a Schedule to this Act is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to this Act has effect according to its terms.
(2) The amendment of any regulation under subsection (1) does not prevent the regulation, as so amended, from being amended or repealed by the Governor‑General.
Schedule 1—Amendments consequential on the enactment of the Public Governance, Performance and Accountability Act 2013
Fuel Indexation (Road Funding) Special Account Act 2014
1 Title
Omit “Fuel Indexation (Road Funding) Special Account”, substitute “Fuel Indexation (Road Funding) special account”.
2 Section 3
Omit “Fuel Indexation (Road Funding) Special Account” (wherever occurring), substitute “Fuel Indexation (Road Funding) special account”.
3 Section 4 (definition of Fuel Indexation (Road Funding) Special Account)
Repeal the definition, substitute:
Fuel Indexation (Road Funding) special account means the Fuel Indexation (Road Funding) special account established by section 7.
4 Part 2 (heading)
Repeal the heading, substitute:
Part 2—Fuel Indexation (Road Funding) special account
5 Division 1 of Part 2 (heading)
Repeal the heading, substitute:
Division 1—Establishment of the Fuel Indexation (Road Funding) special account
6 Section 7 (heading)
Repeal the heading, substitute:
7 Establishment of the Fuel Indexation (Road Funding) special account
7 Section 7
Omit “Fuel Indexation (Road Funding) Special Account” (wherever occurring), substitute “Fuel Indexation (Road Funding) special account”.
8 Subsection 7(2)
Omit “Financial Management and Accountability Act 1997”, substitute “Public Governance, Performance and Accountability Act 2013”.
9 Division 2 of Part 2 (heading)
Repeal the heading, substitute:
Division 2—Credits of amounts to the Fuel Indexation (Road Funding) special account
10 Section 8 (heading)
Repeal the heading, substitute:
8 Credits to special account—determinations by the Treasurer
11 Section 8
Omit “Fuel Indexation (Road Funding) Special Account” (wherever occurring), substitute “Fuel Indexation (Road Funding) special account”.
12 Division 3 of Part 2 (heading)
Repeal the heading, substitute:
Division 3—Debits of amounts from the Fuel Indexation (Road Funding) special account
13 Section 9 (heading)
Repeal the heading, substitute:
9 Purpose of the Fuel Indexation (Road Funding) special account
14 Subsection 9(1)
Omit “Fuel Indexation (Road Funding) Special Account”, substitute “Fuel Indexation (Road Funding) special account”.
15 Section 10
Omit “Fuel Indexation (Road Funding) Special Account” (wherever occurring), substitute “Fuel Indexation (Road Funding) special account”.
Schedule 2—Consequential amendments for establishment of Fuel Indexation (Road Funding) Special Account
COAG Reform Fund Act 2008
1 At the end of subsection 5(2)
Add:
Note 7: An amount may be credited to the COAG Reform Fund under section 10 of the Fuel Indexation (Road Funding) Special Account Act 2014.
Schedule 3—Consequential amendments for indexation
Excise Act 1901
1 After subsection 77H(2)
Insert:
Disregard indexation in determining whether same rate
(2AA) For the purposes of paragraph (1)(a), in determining whether excise duty or a duty of Customs has been paid at the same rate on all the eligible goods and the other substances (if any), disregard:
(a) any indexation of rates under section 6A of the Excise Tariff Act 1921; and
(b) any indexation of rates under section 19 of the Customs Tariff Act 1995.
Schedule 4—Fuel tax
Fuel Tax Act 2006
1 Subsection 43‑5(2A)
Repeal the subsection, substitute:
Day for rate of fuel tax, grant or subsidy
(2A) Work out the day using the table:
| Day for rate of fuel tax, grant or subsidy |
| | If: | The day is: |
| 1 | You acquired or imported the fuel | The day you acquired or imported the fuel |
| 2 | You: (a) manufactured the fuel; and (b) entered the fuel for home consumption (within the meaning of the Excise Act 1901) | The day you entered the fuel for home consumption (within the meaning of the Excise Act 1901) |
Note: Division 65 sets out which tax period a credit is attributable to.
2 Subsection 43‑10(6)
Repeal the subsection, substitute:
Working out the amount of the reduction
(6) The *amount by which a fuel tax credit for taxable fuel is reduced under subsection (1) or (3) is worked out by reference to the rate of fuel tax or road user charge in force on the day worked out using the table in subsection 43‑5(2A).
3 Application
The amendments made by items 1 and 2 of this Schedule applies in relation to:
(a) a tax period that starts on or after 1 July 2014; or
(b) a fuel tax return period, if the return for that period is lodged on or after 1 July 2014.
4 After subsection 43‑10(11)
Insert:
(11A) In determining the road user charge, the *Transport Minister must determine the rate to one decimal place of a cent for each litre of fuel.
5 Application
The amendment made by item 4 of this Schedule applies in relation to determinations under subsection 43‑10(8) of the Fuel Tax Act 2006 (rate of road user charge) made on or after the commencement of this item.
6 Transitional—rate of road user charge
(1) This item applies if there is a legislative instrument in force immediately before 1 August 2014 under subsection 43‑10(8) of the Fuel Tax Act 2006 (rate of road user charge).
(2) If that legislative instrument sets out a rate of road user charge to more than one decimal place of a cent for each litre of fuel, treat that legislative instrument on and after 1 August 2014 as setting out that rate to one decimal place of a cent for each litre of fuel (rounding down from the second decimal place).
(3) To avoid doubt, this item:
(a) does not prevent the amendment of that legislative instrument; and
(b) does not prevent the making of a new legislative instrument under subsection 43‑10(8) of that Act.
Schedule 5—Energy Grants (Cleaner Fuels) Scheme
Energy Grants (Cleaner Fuels) Scheme Regulations 2004
1 Regulation 6 (formula)
Repeal the formula, substitute:
2 Regulation 6 (after the definition of V)
Insert:
relevant duty rate means the duty rate at the time when the biodiesel is entered.
3 Regulation 7C (formula)
Repeal the formula, substitute:
4 Regulation 7C (after the definition of renewable diesel amount)
Insert:
relevant duty rate means the duty rate at the time when the renewable diesel is entered.