EXPLANATORY STATEMENT
STATUTORY RULES 1982 NO 110
ISSUED BY THE AUTHORITY OF THE MINISTER FOR DEFENCE
DEFENCE ACT 1903 – ARMY AND AIR FORCE CANTEEN
SERVICE REGULATIONS (AMENDMENT)
Paragraph 124(1)(o) of the Defence Act 1903 authorizes regulations to prescribe matters providing for and in relation to the establishment, management, operation, control and taxation of canteens.
The Army and Air Force Canteen Service Regulations, made under the Defence Act, provide for the establishment and operation of the Army and Air Force Canteen Service (AAFCANS).
In July 1981, the Regulations to establish AAFCANS replaced the Australian Services Canteens Organization Regulations.
When AAFCANS was established, paragraph 124(1)(o) of the Defence Act did not authorise the making of regulations relating to taxation and it was recognised that such provision needed to be inserted.
Section 11 of the Defence Acts Amendment Act 1981 (No 178 of 1981) accordingly amended paragraph 124(1)(o) of the Defence Act. The amendment enabled regulations to be made subjecting to taxation (other than income tax) canteens or organisations established under the regulations to establish, manage, operate or control canteens.
This Statutory Rule amends the Army and Air Force Canteen Service Regulations by inserting a new regulation 26A.
Sub-regulation 26A(1) subjects the AAFCANS Board to taxation, other than income tax, under the laws of the Commonwealth, the States and the Territories.
Sub-regulation 26A(2) ensures that the new provision does not render the Board liable to liquor licensing fees.
The Statutory Rule has effect from the date of gazettal.