Federal Register of Legislation - Australian Government

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A Bill for an Act to amend the COAG Reform Fund Act 2008, and for related purposes
For authoritative information on the progress of bills and on amendments proposed to them, please see the House of Representatives Votes and Proceedings, and the Journals of the Senate as available on the Parliament House website.
Registered 11 Dec 2020
Introduced Senate 10 Dec 2020
Table of contents.

2019‑2020

 

The Parliament of the

Commonwealth of Australia

 

THE SENATE

 

 

 

 

Presented and read a first time

 

 

 

 

COAG Reform Fund Amendment (No Electric Vehicle Taxes) Bill 2020

 

No.      , 2020

 

(Senator Rice)

 

 

 

A Bill for an Act to amend the COAG Reform Fund Act 2008, and for related purposes

  

  


Contents

1............ Short title............................................................................................. 1

2............ Commencement................................................................................... 1

3............ Schedules............................................................................................ 2

Schedule 1—Amendments                                                                                                3

COAG Reform Fund Act 2008                                                                                   3

Fuel Indexation (Road Funding) Special Account Act 2015                              6

 

 


A Bill for an Act to amend the COAG Reform Fund Act 2008, and for related purposes

The Parliament of Australia enacts:

1  Short title

                   This Act is the COAG Reform Fund Amendment (No Electric Vehicle Taxes) Act 2020.

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

Provisions

Commencement

Date/Details

1.  The whole of this Act

The day after this Act receives the Royal Assent.

 

Note:          This table relates only to the provisions of this Act as originally enacted.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  Schedules

                   Legislation 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.

Schedule 1Amendments

  

COAG Reform Fund Act 2008

1  At the end of section 3

Add:

•      This Act also sets out conditions that apply to certain grants relating to not imposing taxes on electric vehicles.

2  After subsection 7(2)

Insert:

          (2A)  The grant of financial assistance is also subject to the conditions in section 7A.

3  After section 7

Insert:

7A  Conditions of grants—no electric vehicle taxes

Condition—no electric vehicle tax

             (1)  For the purposes of subsection 7(2A), a grant of financial assistance to a State or Territory is subject to a condition that the State or Territory must not impose an electric vehicle tax in respect of a financial year commencing on or after 1 July 2021.

Meaning of electric vehicle tax and electric vehicle

             (2)  A State or Territory imposes an electric vehicle tax if the State or Territory imposes a tax, charge or levy (whether described as a road user charge or otherwise) that:

                     (a)  is imposed only in relation to electric vehicles, or is imposed in such a way that in practice the tax, charge or levy would only be payable in relation to electric vehicles; and

                     (b)  is not imposed in relation to motor vehicles powered by an internal combustion engine.

             (3)  A State or Territory also imposes an electric vehicle tax if:

                     (a)  the State or Territory imposes a tax, charge or levy (whether described as a road user charge or otherwise) (the vehicle‑related charge) in relation to motor vehicles in the State or Territory; and

                     (b)  there is a difference between:

                              (i)  the amount of the vehicle‑related charge, or the rate for working out the amount of vehicle‑related charge, imposed in relation to an electric vehicle; and

                             (ii)  the amount of the vehicle‑related charge, or the rate for working out the amount of the vehicle‑related charge, imposed in relation to a motor vehicle that is powered by an internal combustion engine and in an equivalent class of motor vehicle to the electric vehicle;

                            that results in a higher amount or rate of vehicle‑related charge being imposed in relation to the electric vehicle.

             (4)  In this section:

electric vehicle means a motor vehicle that:

                     (a)  is powered by one or more electric motors and does not rely on an internal combustion engine as a source of power; and

                     (b)  is designed solely or principally for use in transport on public roads.

Breach of condition

             (5)  If a State or Territory:

                     (a)  breaches the condition in subsection (1) in relation to a grant of financial assistance in respect of a financial year by imposing an electric vehicle tax; and

                     (b)  collects an amount under the electric vehicle tax in relation to the financial year;

the Minister must:

                     (c)  determine that the State or Territory must repay to the Commonwealth an amount of the grant that is equal to the relevant amount for the financial year; or

                     (d)  deduct an amount equal to the relevant amount from a grant of financial assistance covered by subsection 7(1) that the State or Territory is entitled to receive in respect of a subsequent financial year.

             (6)  For the purposes of paragraphs (5)(c) and (d), the relevant amount for a financial year for a State or Territory is the sum of:

                     (a)  the amount the State or Territory collected under the electric vehicle tax referred to in subsection (2) during the financial year; and

                     (b)  the amount that is the difference between:

                              (i)  the amount collected by the State or Territory under the electric vehicle tax referred to in subection (3) in relation to electric vehicles during the financial year; and

                             (ii)  the amount of the vehicle‑related charge that would have been collected by the State or Territory in relation to electric vehicles during the financial year if the lower amount or rate of vehicle‑related charge referred to in subparagraph (3)(b)(ii) had applied to those vehicles.

             (7)  A determination made under paragraph (5)(c) is not a legislative instrument.

Condition—repayment if condition not met

             (8)  For the purposes of subsection 7(2A), a grant of financial assistance to a State or Territory is subject to a condition that, if the State or Territory fails to comply with the condition in subsection (1) of this section, the State or Territory will repay to the Commonwealth the amount stated in the Minister’s determination under paragraph (5)(c).

             (9)  An amount payable by a State or Territory to the Commonwealth under this section is a debt due by the State or Territory to the Commonwealth.

           (10)  An amount repaid to the Commonwealth under this section is to be credited to the COAG Reform Fund.

Redistribution

           (11)  If the Minister, under subsection (5), determines that an amount is to be repaid or deducts an amount in respect of a financial year, the Minister may determine that an equivalent amount is to be distributed to the States and Territories that complied with the condition in subsection (1) during the financial year, on an equal per capita basis.

           (12)  A determination made under subsection (11) is not a legislative instrument.

Fuel Indexation (Road Funding) Special Account Act 2015

4  At the end of subsection 12(2)

Add:

Note:          The grant of financial assistance is also subject to the conditions set out in section 7A of the COAG Reform Fund Act 2008.