Late Payment of Government Debts (Interest) (Automatic Payment of Interest) Amendment Act 2018 (SA)

South Australia

Late Payment of Government Debts (Interest) (Automatic Payment of Interest) Amendment Act 2018

An Act to amend the Late Payment of Government Debts (Interest) Act 2013.

The Parliament of South Australia enacts as follows:

Part 1Preliminary1Short title

This Act may be cited as the Late Payment of Government Debts (Interest) (Automatic Payment of Interest) Amendment Act 2018.

2Commencement

This Act will come into operation on a day to be fixed by proclamation.

3Amendment provisions

In this Act, a provision under a heading referring to the amendment of a specified Act amends the Act so specified.

Part 2Amendment of Late Payment of Government Debts (Interest) Act 20134Amendment of long title

Long title—delete "small"

5Amendment of section 3 – Preliminary

1. (1)

   Section 3(1), definitions of annual turnover and business—delete the definitions

2. (2)

   Section 3(1), definition of qualifying body—delete the definition and substitute:

   qualifying body means a corporation incorporated under the Corporations Act 2001 of the Commonwealth;

3. (3)

   Section 3(1), definition of small business—delete the definition

4. (4)

   Section 3(2)—delete subsection (2)

6Amendment of section 5 – Occurrence of default event

Section 5(1)—after paragraph (b) insert:

1. (ba)

   the amount specified as being payable in the invoice or claim does not exceed $1 million (exclusive of GST); and

7Amendment of section 6 – Interest payable if default event occurs

1. (1)

   Section 6(1)—delete all words preceding the formula and substitute:

   The supplier under the qualifying contract in relation to which a default event occurs is (subject to this section) entitled to interest calculated in accordance with the following formula:

2. (2)

   Section 6(1), definition of PIR—delete "designated payment period" and substitute:

   default period

3. (3)

   Section 6(4)—delete "$20" and substitute:

   $10

4. (4)

   Section 6(6)—delete subsection (6) and substitute:

   1. (6)

      Interest payable under this Act must be paid by the public authority within 48 hours of the authority making the payment for the goods or services supplied under the qualifying contract.

5. (5)

   Section 6(9)—delete subsection (9)

8Amendment of section 7 – Disputes

Section 7(1)—delete subsection (1) and substitute:

1. (1)

   If a dispute arises between a public authority and a supplier about whether interest or an amount of interest is payable under this Act on account of a prescribed matter, the matter may be referred to the Small Business Commissioner (who is conferred with the function of resolving the dispute).

9Repeal of section 10

Section 10—delete the section

Schedule 1—Transitional provision

1—Transitional provision

An amendment made to the Late Payment of Government Debts (Interest) Act 2013 by this Act applies only in relation to an invoice or claim rendered by a supplier (within the meaning of that Act) after the commencement of the amendment.