Industrial Research and Development Grants Act 1967 (Cth)
INDUSTRIAL RESEARCH AND DEVELOPMENT GRANTS ACT 1967 [Note: This Act is "repealed" by Act No. 44 of 1981]
(#DATE 30:06:1980)
(#DATE 30:06:1980)
- Incorporating all amendments by legislation made to 30 June 1980
*1* The Industrial Research and Development Grants Act 1967 (a) as shown in this reprint comprises Act No. 51, 1967 as amended by the other Acts specified in the following table:
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Application,
saving
or
Number Date Date of transitional
Act and year of Assent commencement provisions
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Industrial Research
and Development
Grants Act 1967 51, 1967 26 May 1967 26 May 1967
Industrial Research
and Development
Grants Act 1972 59, 1972 22 Aug 1972 22 Aug 1972 S. 2 (2)
Industrial Research
and Development
Grants Act 1973 201, 1973 18 Dec 1973 18 Dec 1973 S. 2 (2)
Statute Law
Revision Act 1973 216, 1973
as amended
by 20, 1974 19 Dec 1973
25 July
1974 31 Dec 1973
31 Dec 1973 Ss. 9 (1) and 10
-
Industrial Research
and Development
Incentives Act 1976 85, 1976 15 June
1976 1 July 1976 S. 50 (2)
Administrative
Changes
(Consequential
Provisions) Act
1976 91, 1976 20 Sept
1976 20 Sept 1976 (b) S. 4
Administrative
Changes
(Consequential
Provisions) Act
1978 36, 1978 12 June
1978 12 June 1978 S. 8
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(a) This citation is provided for by the Amendments Incorporation Act 1905
and the Acts Citation Act 1976.
(b) By virtue of sub-section 2 (7) of the Administrative Changes
(Consequential Provisions) Act 1976 the amendments made by that Act to the
Industrial Research and Development Grants Act 1967 are deemed to have come into operation on 22 December 1975.
INDUSTRIAL RESEARCH AND DEVELOPMENT GRANTS ACT 1967 - TABLE OF PROVISIONS TABLE
TABLE OF PROVISIONS
PART I-PRELIMINARY
Section
1. Short title
2. Commencement
3. (Repealed)
4. Object of Act
5. Interpretation
6. Approval of research organizations and professional institutes
6A. Approved employees
PART II-ADMINISTRATION
7-14. (Repealed)
15. Rights of public servant appointed as Chairman
16. (Repealed)
17. Duties of Chairman
18, 19. (Repealed)
20. Policies and practices of Board
21. Advisory Committee
22. (Repealed)
23. Secrecy
PART III-GRANTS
24. Grants
24A. Company to undertake to exploit results of research and
development
25. Eligible expenditure
25A. Power of Board to treat certain expenditure as being reduced or
increased in certain circumstances
25B. Power of Board to treat eligible expenditure as being reduced or
increased in certain circumstances
26. General grants
27. Selective grants
28, 29. (Repealed)
30. Adjustment of contract expenditure by reason of Commonwealth
financial assistance
30A. Adjustment of grant by reason of Commonwealth financial
assistance
31. Abuse of Act
32. Applications
33. Advance approval of grants
34. Advances in respect of grants
PART IV-MISCELLANEOUS
35. Moneys to be appropriated
36. Offences
37. Recovery of over payments to a person
38. Reports
39. Regulations
INDUSTRIAL RESEARCH AND DEVELOPMENT GRANTS ACT 1967 - LONG TITLE SECT
An Act to provide for the Payment by the Commonwealth of Grants in respect of Industrial Research and Development
INDUSTRIAL RESEARCH AND DEVELOPMENT GRANTS ACT 1967 - SECT. 1.
Short titleSECT
1. This Act may be cited as the Industrial Research and Development Grants Act 1967.*1*
See notes to first article of this Chapter.
INDUSTRIAL RESEARCH AND DEVELOPMENT GRANTS ACT 1967 - SECT. 2.
CommencementSECT
2. This Act shall come into operation on the day on which it receives the Royal Assent.*1*
Section 3 repealed by No. 201, 1973, s. 3
* * * * * * * *
See notes to first article of this Chapter.
INDUSTRIAL RESEARCH AND DEVELOPMENT GRANTS ACT 1967 - SECT. 4.
Object of ActSubstituted by No. 59, 1972, s. 3
SECT
4. The object of this Act is to promote the development of Australian industry by encouraging increased industrial research and development in Australia.
INDUSTRIAL RESEARCH AND DEVELOPMENT GRANTS ACT 1967 - SECT. 5.
InterpretationSub-section (1) amended by No. 59, 1972, s. 4; No. 201, 1973, ss. 4 and 8; No. 216, 1973 (as amended by No. 20, 1974), s. 3; No. 85, 1976, s. 44
SECT
5. (1) In this Act, unless the contrary intention appears-
"acting Chairman of the new Board" means an acting Chairman of the new Board appointed under section 15 of the Industrial Research and Development Incentives Act 1976;
"Australia" includes-
(a) in relation to mining operations-such areas of the sea bed adjacent to Australia as are prescribed; and
(b) in relation to the manufacture of goods-such areas of the sea adjacent to Australia as are prescribed;
"company" means a body or association of persons, whether corporate or unincorporate;
"concentration ", in relation to a metal, means the separation of the metal from its ore by any process;
"contract expenditure ", in relation to a company, means-
(a) in respect of the base period-payments made by the company to a research organization for the performance of industrial research and development in that period; and
(b) in respect of a grant year-payments made by the company to a research organization for the performance of industrial research and development in that year at a time in relation to which a declaration under paragraph (a) of section 6 is applicable to the research organization;
"corporate membership ", in relation to a body, means membership of the body that entitles the member concerned to full voting and other rights under the rules or other document governing the activities of the body;
"eligible company" means a company that-
(a) is incorporated under the law of a State or of an internal Territory or, in the case of an unincorporated body or association of persons, is prescribed by the regulations for the purposes of this paragraph; and
(b) carried on in Australia in the relevant grant year or in the next succeeding year the manufacture of goods or mining operations;
"grant" means a grant of financial assistance under this Act;
"grant year" means the year that commences on 1 July 1967 or any of the 8 next succeeding years;
"increased work expenditure ", in relation to a grant year, means an excess amount ascertained in respect of that year in accordance with paragraph (a) of sub-section (2) of section 25;
"industrial research and development" means systematic experimentation or analysis in the fields of science, engineering and technology carried out by the company concerned, or procured by it to be carried out, in Australia with the object of-
(a) acquiring knowledge that may be of use for the purpose of devising or developing new or improved material products or new or improved processes for or in connexion with the production or use of material products (including processes for disposing of, or rendering harmless, waste products or emissions resulting from the production or use of material products); or
(b) applying knowledge for the purpose referred to in the last preceding paragraph;
"metal" includes a compound of a metal;
"minerals" includes petroleum;
"mining operations" includes operations for the recovery of naturally occurring petroleum;
"net plant expenditure ", in relation to a grant year, means plant expenditure in respect of that year, less so much of any consideration received or receivable in respect of the disposal, loss or destruction of plant in that year or a previous grant year that has not been deducted in ascertaining the net plant expenditure in relation to a previous grant year as does not exceed the plant expenditure in relation to the first-mentioned grant year;
"net prescribed expenditure ", in relation to a company in respect of a year, means the prescribed expenditure of the company in respect of that year, less so much of any consideration received or receivable in respect of the disposal, loss or destruction of prescribed articles in that year or a previous year that has not been deducted in ascertaining the net prescribed expenditure of the company in respect of a previous year as does not exceed the prescribed expenditure of the company in respect of the first-mentioned year;
"new ", in relation to material products, means not previously produced by the company concerned and, in relation to processes, means not previously used by the company concerned;
"petroleum" includes natural gas;
"plant" means-
(a) in relation to purchase, hire, construction or installation-plant or equipment that is intended solely for use for the purpose of industrial research and development by or on behalf of the company concerned; or
(b) in relation to ownership, disposal, loss or destruction-plant or equipment that has been used by or on behalf of the company concerned solely or principally for that purpose;
"plant expenditure ", in relation to a company in respect of a grant year, means payments made by the company in that year in the purchase, hire, construction or installation of plant, less one-tenth of the depreciated value within the meaning of Division 3 of Part III of the Income Tax Assessment Act 1936-1972, at the commencement of that year, of the plant (other than plant being a prototype or pilot plant) owned by the company at the commencement of that year;
"prescribed articles" means articles acquired as a result of prescribed expenditure;
"prescribed class of expenditure" means a class of expenditure, being expenditure directly related to the performance of industrial research and development, that is prescribed for the purposes of paragraph (d) of sub-section (1) of section 25;
"prescribed expenditure ", in relation to a company in respect of a year, means payments made by the company in respect of that year in respect of prescribed classes of expenditure;
"professional qualification" means-
(a) the holding, in a branch of science or engineering, of a degree, diploma or similar qualification that was granted by a university or by a college or other institution of tertiary or technical education and is approved by the Board for the purposes of this Act; or
(b) corporate membership of a body in Australia in respect of which a declaration is in force under paragraph (b) of section 6 or the holding of educational qualifications that are sufficient for admission to corporate membership of such a body;
"professional or technical research and development work" means-
(a) work by way of industrial research and development performed by a full-time employee of the company concerned-
(i) who has a professional qualification; or
(ii) who is, under section 6A, an approved employee of the company for the purposes of this definition; or
(b) work by way of direct assistance in a technical capacity to the performance of work referred to in paragraph (a);
"research organization" means a person who, or a body or organization which, enters into contracts to perform industrial research and development otherwise than as an employee;
"salary expenditure ", in relation to a company in respect of a year, means the total of the following amounts expended by the company:
(a) the salaries or wages in respect of that year of full-time employees who, throughout their employment by the company in that year, were, during their ordinary hours of duty, engaged primarily and principally in professional or technical research and development work and not engaged to any substantial extent in any other duties; and
(b) so much of the salary or wages in respect of that year of any other full-time employee as was paid in respect of the whole or any part of a continuous period of not less than four weeks during which the employee was, during his ordinary hours of duty, engaged primarily and principally in professional or technical research and development work and not engaged to any substantial extent in any other duties,
less so much of any amount that became receivable by the company for the performance by the company of industrial research and development for another person in that year as is reasonably attributable to the professional or technical research and development work involved in the performance of that industrial research and development, being professional or technical research and development work engaged in by employees referred to in paragraph (a) or engaged in by an employee referred to in paragraph (b) during a period referred to in that paragraph;
"salary or wages" does not include salary or wages of an employee in respect of a period when the employee was absent from his employment on long-service leave;
"the base period" means the period of three years that ended twelve months before the commencement of the relevant grant year;
"the Board" means the Australian Industrial Research and Development Grants Board established by the Industrial Research and Development Grants Act 1967;
"the new Advisory Committee" means the Australian Industrial Research and Development Incentives Advisory Committee established by the Industrial Research and Development Incentives Act 1976;
"the new Board" means the Australian Industrial Research and Development Incentives Board established by the Industrial Research and Development Incentives Act 1976;
"year" means a period of twelve months commencing on 1 July.
Inserted by No. 85, 1976, s. 44SECT
(1A) On and after 1 July 1976 any reference in this Act to the Board or the Chairman shall, unless the context otherwise requires, be read as including a reference to the new Board or the Chairman of the new Board (including an acting Chairman of the new Board), respectively.
(2) Without either extending or restricting, by implication, the scope of the definition of "industrial research and development" in the last preceding sub-section, it is declared that the following do not constitute industrial research and development for the purposes of this Act:
(a) methods engineering;
(b) operational research;
(c) routine quality control;
(d) routine materials testing;
(e) exploration or prospecting for minerals;
(f) design work that-
(i) arises from a need to meet the special requirements of a customer; or
(ii) is primarily directed to style, as distinct from the functional characteristics of a product or matters affecting the cost of production of a product; and
(g) such other operations as are prescribed, whether generally or in relation to a particular class of material products or processes.
Amended by No. 59, 1972, s. 4SECT
(3) Regulations for the purposes of paragraph (g) of the last preceding sub-section-
(a) do not apply in relation to a grant year before the grant year next commencing after the notification of the regulations in the Gazette; and
(b) apply in relation to the base period for the purposes only of applications under this Act in respect of a grant year in relation to which they apply.
Substituted by No. 59, 1972, s. 4SECT
(4) A reference in this Act to industrial research and development, in relation to an eligible company, shall be read as a reference to such industrial research and development only as is-
(a) performed by or for the company directly in relation to-
(i) the manufacture, or proposed manufacture, in Australia of goods by the company or by another company that is related to the company;
(ii) the manufacture, or proposed manufacture, in Australia of goods by another person, being goods that are directly related to the sale or manufacture of goods manufactured, or proposed to be manufactured, in Australia by the company or by another company that is related to the company; or
(iii) mining operations, or proposed mining operations, in Australia of the company or of another company that is related to the company; or
(b) performed by the company, acting as a research organization, directly in relation to the manufacture, or proposed manufacture, in Australia of goods by another person, or to mining operations, or proposed mining operations, in Australia of another person.
Substituted by No. 59, 1972, s. 4SECT
(5) In this section, a reference to consideration received or receivable in respect of the disposal, loss or destruction of plant or of prescribed articles shall be read as a reference-
(a) in the case of a sale of plant or articles-to the sale price less the expenses of the sale;
(b) in the case of loss or destruction of plant or articles-to the amount or value received or receivable under a policy of insurance or otherwise in respect of the loss or destruction;
(c) in the case of a sale of plant or articles with other assets where no separate value is allocated to the plant or articles-to the amount determined by the Board; and
(d) in the case of a disposal of plant or articles otherwise than by sale-to the value, if any, of the plant or articles at the date of disposal.
(6) Without limiting the generality of the references in this Act to the manufacture of goods, those references shall be deemed to include a reference to the refining of petroleum and to the concentration of a metal or the treatment or processing of a metal after its concentration, or, in the case of a metal not requiring concentration, the application to the metal of a treatment or process which, if the metal had required concentration, would not have been applied until after the concentration.
Added by No. 59, 1972, s. 4SECT
(7) A company shall be deemed for the purposes of this Act to have carried on the manufacture of goods in a year if, under a contract entered into between the company and another person, that other person manufactured goods for the company in that year.
Added by No. 59, 1972, s. 4SECT
(8) A payment or payments made by a company to a research organization for the performance of industrial research and development shall, if the Board is satisfied that the organization was, during the whole, or a substantial part, of the period when the research and development was performed, associated with the company, be taken into account for the purposes of this Act in ascertaining contract expenditure of the company only to the extent to which that payment or the sum of those payments, as the case may be, does not exceed the cost to the research organization of the performance of that research and development.
Added by No. 59, 1972, s. 4SECT
(9) For the purposes of this Act-
(a) a research organization shall be taken to be associated with a company if-
(i) in the case of a research organization that is not a body corporate-the company, or another company that is related to the company, is in a position to exercise control of the operations of the research organization; or
(ii) in the case of a research organization that is a body corporate-the research organization is a subsidiary of the company or of another company that is related to the company; and
(b) the question whether a company is a subsidiary of another company or whether a company is related to another company shall be determined in the same manner as the question whether a corporation is a subsidiary of another corporation or whether two corporations are related to each other, as the case may be, is determined under the Companies Ordinance 1962-1971 of the Australian Capital Territory, but, in determining such a question, paragraph (b) of sub-section (1) of section 6 of that Ordinance shall be disregarded.
Added by No. 59, 1972, s. 4SECT
(10) For the purpose of ascertaining the prescribed expenditure of a company in respect of a year, where the Board is satisfied that an amount (not being an amount expended by the company) would, in accordance with the accounting principles generally applied in commercial practice, be taken into account as part of the cost of the performance by the company of any industrial research and development in that year, the Board may, in its discretion, treat the company as having expended that amount in that year in the performance of that industrial research and development.
Added by No. 59, 1972, s. 4; amended by No. 201, 1973, s. 8SECT
(11) The regulations may prescribe as a class of expenditure for the purposes of paragraph (d) of sub-section (1) of section 25 the making of provision in the accounts of a company to meet contingent or future liabilities of a kind specified in the regulations, and, in that case, so much of any amount provided in the accounts of a company to meet liabilities of that kind as the Board is satisfied is reasonably required to be provided by the company to meet such liabilities shall be deemed, for the purposes of this Act, to have been expended by the company in respect of that class of expenditure.
Added by No. 59, 1972, s. 4; amended by No. 201, 1973, s. 8SECT
(12) Where two periods of employment of an employee were separated by a period during which the employee was absent from his employment with the consent of his employer, the Board may, in its discretion, for the purpose of the definition of "salary expenditure" in sub-section (1), treat those two periods of employment as having been continuous.
INDUSTRIAL RESEARCH AND DEVELOPMENT GRANTS ACT 1967 - SECT. 6.
Approval of research organizations and professional institutesAmended by No. 59, 1972, s. 5
SECT
6. The Board may, by notice published in the Gazette-
(a) declare that a specified research organization is, or shall be deemed to have been at or from any time, an approved research organization for the purposes of this Act;
(b) declare that a specified body in Australia is, or shall be deemed to have been at or from any time, a recognized professional institute for the purposes of this Act; and
(c) revoke a declaration made under either of the last two preceding paragraphs with effect from the date of publication of the notice of revocation in the Gazette.
INDUSTRIAL RESEARCH AND DEVELOPMENT GRANTS ACT 1967 - SECT. 6A.
Approved employeesInserted by No. 201, 1973, s. 5
SECT
6A. (1) Where the Australian Industrial Research and Development Grants Advisory Committee is satisfied that an employee of a company who does not have a professional qualification has skills, ability and experience that fit him to carry out work by way of industrial research and development for the company, the Committee may recommend to the Minister that the employee be approved as an approved employee of the company for the purpose of the definition of "professional or technical research and development work" in sub-section (1) of section 5, and the Minister may then approve the employee as such an approved employee.
(2) If the Australian Industrial Research and Development Grants Advisory Committee recommends to the Minister that the approval of an employee of a company as an approved employee of the company for the purpose of the definition of "professional or technical research and development work" in sub-section (1) of section 5 be revoked, the Minister may revoke the approval of the employee as such an approved employee.
(3) An approval of an employee of a company under sub-section (1) may be expressed to have taken effect from a specified day, being 1 July 1972 or a subsequent day, and, if it is so expressed, the employee shall be deemed to have become an approved employee of the company for the purpose of the definition of "professional or technical research and development work" in sub-section (1) of section 5 on the day so specified.
(4) A revocation of an approval of an employee of a company does not apply in relation to a grant year before the grant year next commencing after the revocation of the approval.
Added by No. 85, 1976, s. 45SECT
(5) On and after 1 July 1976 any reference in this section to the Australian Industrial Research and Development Grants Advisory Committee shall be read as including a reference to the new Advisory Committee.
Sections 7-14 repealed by No. 85, 1976, s. 46
* * * * * * * *
INDUSTRIAL RESEARCH AND DEVELOPMENT GRANTS ACT 1967 - SECT. 15.
Rights of public servant appointed as ChairmanSECT
PART II-ADMINISTRATION
Amended by No. 201, 1973, s. 8; No. 216, 1973 (as amended by No. 20, 1974), s. 3
SECT
15. If a person appointed as Chairman under section 7 was, immediately before his appointment, an officer of the Public Service of the Commonwealth-
(a) he retains his existing and accruing rights; and
(b) for the purpose of determining those rights, his service as Chairman of the Board shall be taken into account as if it were service in the Public Service of the Commonwealth.
Section 16 repealed by No. 85, 1976, s. 47
* * * * * * * *
INDUSTRIAL RESEARCH AND DEVELOPMENT GRANTS ACT 1967 - SECT. 17.
Duties of ChairmanAmended by No. 85, 1976, s. 48
SECT
17. It is the duty of the Chairman to ensure the efficient and orderly conduct of the business of the Board under this Act, and for that purpose the Chairman-
(a) shall make, or cause to be made, such inquiries into applications under this Act or into any other matter relevant to the operation of this Act as he thinks necessary; and
(b) may make, or cause to be made, to the Board such reports in relation to applications under this Act as he thinks fit.
Sections 18 and 19 repealed by No. 85, 1976, s. 49
* * * * * * * *
INDUSTRIAL RESEARCH AND DEVELOPMENT GRANTS ACT 1967 - SECT. 20.
Policies and practices of BoardSub-section (1) amended by No. 85, 1976, s. 50
SECT
20. (1) Subject to this section, the Minister may, from time to time, by notice in writing delivered to the Chairman and expressed to be given under this section, give directions to the Board with respect to the policies and practices to be followed by the Board in the performance of its functions, and the exercise of its powers, under this Act, and the Board shall comply with any such direction that is in force.
(2) The Minister shall forthwith cause to be published in the Gazette particulars of any direction given under the last preceding sub-section, and of any revocation of such a direction.*2*
Amended by No. 201, 1973, s. 8SECT
(3) A direction of the Minister under this section shall not operate so as to affect prejudicially-
(a) any application for a grant in relation to a grant year that commenced before the date of publication in the Gazette of particulars of the direction; or
(b) the making of a grant in pursuance of an approval given by the Board under section 33 before that date.
(4) Nothing in this section authorizes the Minister to give a direction to the Board in relation to a particular company or a particular application.
(5) A decision of the Board is not invalidated, and shall not be called in question, on the ground that the Board has limited the exercise of its discretion in particular cases by reference to any general policy or practice adopted or announced by the Board.
*2* S. 20 (2)-For the only direction in force at 30 June 1980, see Gazette 1975, No. G24, p. 17.
INDUSTRIAL RESEARCH AND DEVELOPMENT GRANTS ACT 1967 - SECT. 21. Advisory Committee Sub-sections (1) and (2) omitted by No. 85, 1976, s. 51
SECT
21. * * * * * * *
Amended by No. 85, 1976, s. 51SECT
(3) The Board may, if it thinks fit, and shall, if required by the Minister, refer to the new Advisory Committee for advice a matter relating to an application under this Act or otherwise relating to the operation of this Act.
Inserted by No. 201, 1973, s. 6; amended by No. 85, 1976, s. 51SECT
(3A) The Board may refer to the new Advisory Committee, for report to the Minister, the question whether a specified employee of an eligible company should be approved under section 6A, and shall do so upon receipt of a request in writing from the company.
Sub-section (4) omitted by No. 85, 1976, s. 51
* * * * * * * *
Section 22 repealed by No. 85, 1976, s. 52
* * * * * * * *
INDUSTRIAL RESEARCH AND DEVELOPMENT GRANTS ACT 1967 - SECT. 23.
SecrecySub-section (1) substituted by No. 85, 1976, s. 53
SECT
23. (1) This section applies to every person who has been a member of the Australian Industrial Research and Development Grants Board established by the Industrial Research and Development Grants Act 1967 (including the Chairman and an acting member of that Board) or a member of the Australian Industrial Research and Development Grants Advisory Committee established by that Act.
(2) Subject to this section, a person to whom this section applies shall not, either directly or indirectly, except for the purposes of this Act-
(a) make a record of, or divulge or communicate to any person, any information concerning industrial research and development undertaken by or for a company or otherwise concerning the affairs of a company acquired by him by reason of his office under this Act; or
(b) produce to any person an application or other document furnished by a company for the purpose of obtaining a grant under this Act.
Penalty: One thousand dollars or imprisonment for six months.
Amended by No. 85, 1976, s. 53; No. 91, 1976, s. 3SECT
(3) The last preceding sub-section does not apply to the disclosure of information, or the production of a document, to the Minister, or to the Secretary to the Department that deals with matters arising under this Act or an officer of that Department designated by the Secretary.
Sub-section (3A) omitted by No. 85, 1976, s. 53
* * * * * * * *
Amended by No. 201, 1973, s. 8SECT
(4) A person to whom this section applies shall not be required to divulge or communicate to a court any information referred to in sub-section (2), or to produce in a court any document referred to in that sub-section, except when it is necessary to do so for the purposes of, or of a prosecution under or arising out of, this Act.
(5) In this section-
"court" includes any tribunal, authority or person having power to require the production of documents or the answering of questions; and
"produce" includes permit access to, and "production" has a corresponding meaning.
INDUSTRIAL RESEARCH AND DEVELOPMENT GRANTS ACT 1967 - SECT. 24.
GrantsSECT
PART III-GRANTS
24. (1) Grants of financial assistance to eligible companies in respect of expenditure on industrial research and development shall be made as authorized by the Board in accordance with this Act.
(2) Notwithstanding anything contained in this Act, the Board is not required or empowered to authorize a grant unless the Board is satisfied as to all matters relevant to the eligibility of the company for, and the amount of, the grant.
INDUSTRIAL RESEARCH AND DEVELOPMENT GRANTS ACT 1967 - SECT. 24A.
Company to undertake to exploit results of research and developmentInserted by No. 59, 1972, s. 11
SECT
24A. A company is not eligible for a grant in respect of a grant year unless the company has given an undertaking in writing to the Board that the company will exploit, on normal commercial terms, and otherwise in a manner that will be for the benefit of the Australian economy, the results of the industrial research and development in relation to which the eligible expenditure of the company in respect of that grant year was incurred.
INDUSTRIAL RESEARCH AND DEVELOPMENT GRANTS ACT 1967 - SECT. 25.
Eligible expenditureSubstituted by No. 59, 1972, s. 11
SECT
25. (1) For the purpose of calculating the eligible expenditure of a company in respect of a grant year, the following classes of expenditure of the company in respect of that year and in respect of the base period shall be taken into account in accordance with this section, namely:
(a) salary expenditure;
(b) contract expenditure;
(c) plant expenditure; and
(d) such other classes of expenditure as are prescribed.
(2) Subject to this Part, the eligible expenditure of a company for a grant year is the sum of-
(a) the amount, if any, by which the total of any salary expenditure and contract expenditure of the company in respect of that grant year exceeds one-third of the total of the salary expenditures and contract expenditures of the company in respect of the years comprised in the base period;
(b) the amount of any net plant expenditure of the company in respect of that grant year; and
(c) the amount, if any, by which the net prescribed expenditure of the company in respect of that grant year exceeds one-third of the total of the net prescribed expenditures of the company in respect of the years comprised in the base period.
Amended by No. 201, 1973, s. 8SECT
(3) Expenditure included in a prescribed class of expenditure shall only be taken into account for the purpose referred to in sub-section (1) subject to such conditions, if any, as are prescribed.
INDUSTRIAL RESEARCH AND DEVELOPMENT GRANTS ACT 1967 - SECT. 25A.
Power of Board to treat certain expenditure as being reduced or increased in
certain circumstancesInserted by No. 59, 1972, s. 11
SECT
25A. (1) In this section, "relevant expenditure" means expenditure comprising any one or more of the following classes of expenditure, namely, salary expenditure, contract expenditure and prescribed expenditure.
(2) This section applies in relation to a company in respect of a grant year if-
(a) the relevant expenditure of the company in respect of that grant year includes a class of expenditure referred to in the last preceding sub-section but the relevant expenditure of the company in respect of the base period does not include that class of expenditure;
(b) the relevant expenditure of the company in respect of the base period includes a class of expenditure referred to in the last preceding sub-section but the relevant expenditure of the company in respect of that grant year does not include that class of expenditure; or
(c) a class of expenditure referred to in the last preceding sub-section is included in the relevant expenditure of the company in respect of that grant year and in the relevant expenditure of the company in respect of the base period but the proportion that the amount of that class of expenditure included in the first-mentioned relevant expenditure bears to that first-mention ed relevant expenditure is different from the proportion that the amount of that class of expenditure included in the second-mentioned relevant expenditure bears to that second-mentioned relevant expenditure.
(3) Where this section applies in relation to a company in respect of a grant year, the Board may treat the amount of the class of expenditure concerned that was included in the relevant expenditure of the company in respect of that year as being reduced or increased to such extent as the Board considers appropriate in the circumstances, and the reduced or increased amount shall be deemed, for the purposes of the last preceding section, to be the expenditure by the company of that class of expenditure in respect of that year, whether that year is being taken into account as a grant year or as a year included in the period that is the base period in relation to a later grant year.
INDUSTRIAL RESEARCH AND DEVELOPMENT GRANTS ACT 1967 - SECT. 25B.
Power of Board to treat eligible expenditure as being reduced or increased in
certain circumstancesInserted by No. 59, 1972, s. 11; amended by No. 201, 1973, s. 8
SECT
25B. Where the Board is satisfied that the amount of the eligible expenditure of a company for a grant year is greater or less than it would otherwise be by reason of the take-over by the company of another company or of the take-over by another company of the company, or the acquisition by the company of the whole or any part of a business or undertaking carried on by another person or the disposal by the company of the whole or any part of its business or undertaking, the Board may treat that amount of eligible expenditure as being reduced or increased by such amount as the Board considers appropriate in the circumstances, and the reduced or increased amount shall be deemed, for the purposes of section 25, to be the eligible expenditure of the company for that year, whether that year is being taken into account as a grant year or as a year included in the period that is the base period in relation to a later grant year.
INDUSTRIAL RESEARCH AND DEVELOPMENT GRANTS ACT 1967 - SECT. 26.
General grantsSECT
26. (1) This section applies in relation to so much of the eligible expenditure of a company in respect of a grant year as does not exceed Fifty thousand dollars.
Amended by No. 201, 1973, s. 8SECT
(2) Where-
(a) an eligible company has duly applied for a grant in respect of a grant year; and
(b) there is an amount of eligible expenditure of the company in respect of that grant year,
the Board shall, subject to this Act and to any relevant directions of the Minister under section 20, authorize payment of a grant to the company in respect of so much of that amount as is eligible expenditure in relation to which this section applies.
(3) The amount of a grant authorized under this section shall be one-half of the amount of eligible expenditure in respect of which it is made, or such lesser fraction of that amount as the Minister fixes, by a direction under section 20 of this Act, for the purposes of grants under this section in respect of the grant year concerned.
Added by No. 59, 1972, s. 12; amended by No. 201, 1973, s. 8SECT
(4) A direction of the Minister under section 20 fixing a fraction for the purposes of the last preceding sub-section-
(a) shall relate only to one grant year, being a grant year specified in the direction; and
(b) shall be given only after the Minister has consulted the Treasurer.
Added by No. 59, 1972, s. 12SECT
(5) The Minister shall seek to ensure that any direction referred to in the last preceding sub-section is given earlier than six months before the commencement of the grant year to which the direction relates.
INDUSTRIAL RESEARCH AND DEVELOPMENT GRANTS ACT 1967 - SECT. 27.
Selective grantsSECT
27. (1) This section applies in relation to so much of the eligible expenditure of a company in respect of a grant year as exceeds Fifty thousand dollars.
Amended by No. 201, 1973, s. 8SECT
(2) Where-
(a) an eligible company has duly applied for a grant in respect of a grant year; and
(b) there is an amount of eligible expenditure of the company in respect of that grant year that is eligible expenditure in relation to which this section applies,
the Board may, in its discretion but subject to this Act and to any relevant directions of the Minister under section 20, authorize payment of a grant to the company in respect of the whole or a part of that amount of eligible expenditure.
Amended by No. 201, 1973, ss. 7 and 8SECT
(3) The amount of a grant authorized under this section shall be such amount, not exceeding one-half of the amount of eligible expenditure in respect of which it is made, as the Board, in its discretion but subject to sub-section (3A) and to any relevant directions of the Minister under section 20, determines.
Inserted by No. 201, 1973, s. 7SECT
(3A) Unless the Minister otherwise directs under sub-section (3B)-
(a) the amount authorized to be paid under sub-section (2) in respect of a grant year to a company; or
(b) the sum of the amounts authorized to be so paid to two or more companies that are, for the purpose of this section, to be taken to be related to each other,
shall not exceed $200,000 or such amount as is prescribed in respect of that grant year.
Inserted by No. 201, 1973, s. 7SECT
(3B) Where the Minister is satisfied that it would be in the national interest for a grant or grants exceeding the amount applicable under sub-section (3A) to be made under this section to a company, or to any of two or more companies that are, for the purpose of this section, to be taken to be related to each other, in relation to expenditure on industrial research and development during a grant year, the Minister may, by notice in writing delivered to the Chairman and expressed to be given under this sub-section, direct that sub-section (3A) is not to apply to the company, or to any of those companies, as the case requires, in respect of that grant year.
Inserted by No. 201, 1973, s. 7SECT
(3C) For the purposes of sub-sections (3A) and (3B)-
(a) where a company is a subsidiary of another company, the first-mentioned company and that other company shall, for the purpose of this section, be taken to be related to each other;
(b) where two or more companies are each subsidiaries of another company, those companies and that other company shall, for the purpose of this section, be taken to be related to each other; and
(c) "company" does not include an unincorporated body or association of persons.
Inserted by No. 201, 1973, s. 7SECT
(3D) For the purposes of sub-section (3C), a company shall be deemed to be a subsidiary of another company if-
(a) that other company holds all the issued share capital of the first-mentioned company; or
(b) the first-mentioned company is a subsidiary of a company that is that other company's subsidiary.
Inserted by No. 201, 1973, s. 7SECT
(3E) In determining whether one company is a subsidiary of another company for the purpose of sub-section (3D)-
(a) paragraph 5 (9) (b) does not apply; and
(b) any share held-
(i) by a person as a nominee of that other company; or (ii) by, or by a nominee for, a subsidiary of that other company,
shall be treated as held by that other company.
Amended by No. 201, 1973, s. 7SECT
(4) The Minister shall exercise his powers of direction in relation to the operation of sub-sections (2) and (3), and the Board shall exercise its discretion under this section with a view to the allocation of the moneys available for grants in accordance with this section in such manner as appears most likely to contribute, in the national interest, to the attainment of the following objectives:
(a) the development and use of Australian physical resources;
(b) the expansion of exports;
(c) import saving and improvement of the ability of Australian products to compete with imported products;
(d) the improvement of productivity and reduction of costs in Australian industry; and
(e) the development of the Australian economy in a manner conducive to the defence of the Commonwealth.
Sections 28 and 29 repealed by No. 59, 1972, s. 13
* * * * * * * *
INDUSTRIAL RESEARCH AND DEVELOPMENT GRANTS ACT 1967 - SECT. 30.
Adjustment of contract expenditure by reason of Commonwealth financial
assistanceSECT
30. Where an approved research organization has received financial assistance from the Commonwealth, or out of moneys provided by the Commonwealth, and it appears to the Board that a company that has incurred contract expenditure in respect of industrial research and development performed, in a grant year, by that approved research organization has received an indirect benefit from that financial assistance by way of lower charges for that industrial research and development, the Board may, for the purposes of this Act, reduce the amount of that contract expenditure to such extent as it thinks appropriate by reason of that indirect benefit.
INDUSTRIAL RESEARCH AND DEVELOPMENT GRANTS ACT 1967 - SECT. 30A.
Adjustment of grant by reason of Commonwealth financial assistanceInserted by No. 59, 1972, s. 14
SECT
30A. Where an eligible company has received (otherwise than under this Act) financial assistance from the Commonwealth, or out of moneys provided by the Commonwealth, and it appears to the Board that that financial assistance has aided the company to perform industrial research and development in a grant year, the Board may reduce the amount of the grant to the company in respect of that grant year to such extent as it thinks appropriate by reason of that financial assistance.
INDUSTRIAL RESEARCH AND DEVELOPMENT GRANTS ACT 1967 - SECT. 31.
Abuse of ActSECT
31. Where the Board is satisfied that-
(a) an act or thing (including the making of an agreement, arrangement or payment, the incorporation of a company or the allocation of expenditure as between different years) has been done with a view to the obtaining of, or to affecting the amount of, a grant to a company under this Act; and
(b) the act or thing is of such a nature that, having regard to the object of this Act, it constitutes an attempt to abuse this Act,
the Board may, for the purposes of this Act, disregard any expenditure in or in relation to the doing of that act or thing or make such adjustment to the amount of the eligible expenditure of the company as it thinks necessary to prevent the abuse.
INDUSTRIAL RESEARCH AND DEVELOPMENT GRANTS ACT 1967 - SECT. 32.
ApplicationsSECT
32. (1) A company desiring to obtain a grant or an approval under the next succeeding section shall make an application in writing to the Board for the grant or approval.
(2) Subject to the regulations, an application shall be in accordance with a form approved by the Board.
Inserted by No. 59, 1972, s. 15SECT
(2A) An application to the Board under this Act shall be deemed not to have been made until it has been received by the Board or has been received on behalf of the Board by a member of the staff assisting the Board or by a person appointed by the Board to receive applications under this Act.
Amended by No. 201, 1973, s. 8SECT
(3) The Board may refuse to consider an application unless the applicant furnishes such further information, or makes available to the Board such books or records, as the Board specifies, being information, books or records that the Board requires for the performance of its functions under this Act, including the preparation of a report of the Board under section 38.
INDUSTRIAL RESEARCH AND DEVELOPMENT GRANTS ACT 1967 - SECT. 33.
Advance approval of grantsSub-section (1) amended by No. 201, 1973, s. 8
SECT
33. (1) The Board may, before or during a grant year, on the application of a company, approve conditions (being conditions consistent with this Act) subject to compliance with which the Board will authorize a grant to the company under section 27 in respect of that grant year and approve the amount of the grant or any matter affecting the amount of the grant.
(2) Where the conditions specified in an approval under the last preceding sub-section have been complied with, the Board shall authorize a grant in accordance with the approval.
INDUSTRIAL RESEARCH AND DEVELOPMENT GRANTS ACT 1967 - SECT. 34.
Advances in respect of grantsSECT
34. (1) The Board may, in its discretion, authorize the payment to a company of an advance in respect of a grant that may become payable to the company (whether in pursuance of an approval under the last preceding section or otherwise).
Amended by No. 36, 1978, s. 3SECT
(2) Where an advance has been made to a company in pursuance of this section in respect of a grant, the company is liable, upon demand made by the Minister for Finance at any time after the end of the grant year concerned, to repay to the Commonwealth so much of the advance as exceeds the amount of any grant to the company in respect of that grant year that has been authorized by the Board before the time of the demand or, if no such grant has been so authorized, the whole of the advance.
(3) An amount repayable under the last preceding sub-section is recoverable by the Commonwealth in a court of competent jurisdiction from the company as a debt due to the Commonwealth.
INDUSTRIAL RESEARCH AND DEVELOPMENT GRANTS ACT 1967 - SECT. 35.
Moneys to be appropriatedSECT
PART IV-MISCELLANEOUS
35. Payments of grants under this Act, and of advances in respect of such grants, shall be made out of moneys appropriated by the Parliament for the purposes of this Act.
INDUSTRIAL RESEARCH AND DEVELOPMENT GRANTS ACT 1967 - SECT. 36.
OffencesSECT
36. (1) A person shall not, in or in connexion with an application under this Act, knowingly make to the Board, or to a person having duties or functions under this Act, a statement, whether oral or in writing, or present to the Board or to such a person a book, record or document, that is false or misleading.
Penalty: One thousand dollars or imprisonment for six months.
(2) For the purposes of the application of this section in relation to a company, but without prejudice to the liability of any person other than the company-
(a) a statement made, or a book or document presented, by a person acting on behalf of the company shall be deemed to be made or presented by the company; and
(b) the knowledge of any person employed by, or concerned in the management of, the company shall be deemed to be knowledge of the company.
(3) An offence against this section shall not be prosecuted without the written consent of the Minister or a person authorized in writing by the Minister to consent to prosecutions for such offences.
INDUSTRIAL RESEARCH AND DEVELOPMENT GRANTS ACT 1967 - SECT. 37.
Recovery of overpayments to a personSECT
37. (1) Where any amount of grant to a company has been authorized in consequence of the making of a statement, or the presentation of a book, record or document, by or on behalf of the company that was, whether or not to the knowledge of the company or the person making the statement or presenting the book, record or document, false or misleading and that amount has been paid to the company, an amount equal to the amount so paid is recoverable by the Commonwealth in a court of competent jurisdiction from the company as a debt due to the Commonwealth.
(2) For the purposes of this section, a certificate under the hand of the Chairman that an amount of grant has been authorized in consequence of the making of a statement, or the presentation of a book, record or document, is evidence of the matters stated in the certificate.
INDUSTRIAL RESEARCH AND DEVELOPMENT GRANTS ACT 1967 - SECT. 38.
ReportsSub-section (1) substituted by No. 59, 1972, s. 16; amended by No. 201, 1973, s. 8
SECT
38. (1) The Board shall, as soon as practicable after each 30 June, furnish to the Minister a report on the operation of this Act, with particular reference to its operation during the year that ended on that date.
Amended by No. 201, 1973, s. 8SECT
(2) Reports under this section-
(a) may include information or comments concerning the effect of this Act, including the extent to which the objectives referred to in sub-section (4) of section 27 have been, or are likely to be, achieved;
(b) shall include statements of the names of companies to which the Board has authorized the payments of grants and the respective amounts of the grants; and
(c) shall include such information concerning the classes of manufacturing or mining in relation to which grants have been authorized as the Board is satisfied can be included in those reports without disclosing matters relating to the operations or affairs of particular companies the disclosure of which would be likely to prejudice the business interests of those companies.
Inserted by No. 85, 1976, s. 54SECT
(2A) The person who, immediately before 1 July 1976, was the Chairman of the Board shall on, or as soon as practicable after, that date, furnish to the new Board such information as is necessary to enable the new Board to comply with this section.
(3) The Minister shall cause a copy of each report under this section to be laid before each House of Parliament within fifteen sitting days of that House after receipt of the report by the Minister.
INDUSTRIAL RESEARCH AND DEVELOPMENT GRANTS ACT 1967 - SECT. 39.
RegulationsSECT
39. The Governor-General may make regulations, not inconsistent with this Act, prescribing all matters required or permitted by this Act to be prescribed, or necessary or convenient to be prescribed for carrying out or giving effect to this Act and, in particular-
(a) for prescribing matters relating to the time, manner and form of making applications under this Act; and
(b) requiring an application under, or a document, book or record furnished for the purposes of, this Act to be verified by statutory declaration. --------------------------------------------------------------------------------
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