Australian Federal Police Amendment Regulations 2000 (No. 1) 2000 No. 137
EXPLANATORY STATEMENT
STATUTORY RULES 2000 No. 137
issued by the Authority of the Minister for Justice and Customs
Australian Federal Police Act 1979
Australian Federal Police Amendment Regulations 2000 (No. 1)
Section 70 of the Australian Federal Police Act 1979 (the Act) provides that the Governor-General may make Regulations for the purposes of the Act. In particular, paragraphs 70(c) and (d) of the Act provide that the Governor-General may make regulations in relation to police services that may be rendered by the Australian Federal Police (the AFP) at the request of, inter alia, a member of the public or a prescribed authority of the Commonwealth, and the payment and recovery of fees for those police services.
Regulation 46 of the Australian Federal Police Regulations (the Principal Regulations) made under the Act prescribes:
* the services that might be rendered by the AFP for a fee (column 2 of an item in Schedule 6 of the Principal Regulations); and
* the fee that applies for each prescribed service (column 3 of an item in Schedule 6 of the Principal Regulations).
The fees are prescribed in column 3 of Schedule 6 as either: a specified dollar amount or by reference to the "cost to AFP for use of member's time". As far as is relevant, the Q6cost to AFP for use of member's time" is defined in subregulation 2(1) of the Principal Regulations as the sum of the remuneration payable to the member for the period during which he or she renders the service, plus a percentage of his or her base salary for the period.
Following the commencement of the A New Tax System (Goods and Services Tax) Act 1999 (the GST Act), the AFP will have to remit a percentage of the fees received to the Australian Taxation Office, thereby eroding its revenue base. To offset this loss, these Regulations increase the fees payable by increasing the amounts set out in column 3 of Schedule 6 to the Principal Regulations and the percentage included in the definition of 44cost to AFP for use of member's time". These Regulations also insert a new subregulation 46(2) to provide that the fee set out in column 3 is the price of the taxable supply within the meaning of the GST Act, that is, it is an amount inclusive of a goods and services tax component. Consequential on the insertion of subregulation 46(2), is the renumbering of regulation 46 as subregulation 46(1).
The increase has taken into account any savings from the abolition of the Wholesale Sales Tax and other indirect taxes, and has been determined in accordance with the guidelines prescribed under the Financial Management and Accountability Act 1997, and those provided by the Australian Competition and Consumer Commission.
The Regulations commence on 1 July 2000.
Overview
The Australian Federal Police Amendment Regulations 2000 (No. 1) were enacted to address the issue of revenue erosion faced by the Australian Federal Police (AFP) due to the introduction of the Goods and Services Tax (GST) under the A New Tax System (Goods and Services Tax) Act 1999. These regulations were issued by the Authority of the Minister for Justice and Customs and are pursuant to the powers granted under section 70 of the Australian Federal Police Act 1979. The policy objective of these amendments is to ensure that the AFP can maintain its financial stability by increasing the fees for services rendered to account for the GST and any other tax implications. The regulations achieve this by adjusting the fees specified in the Australian Federal Police Regulations 2000, ensuring that the fees now include a GST component and are sufficient to cover the costs incurred by the AFP, including remuneration and other associated expenses. These amendments also involved the renumbering of certain regulations to align with the new structure, ensuring clarity and consistency in the application of fees and services rendered by the AFP.
Scope and Application
The Australian Federal Police Amendment Regulations 2000 (No. 1) pertain to the Australian Federal Police Act 1979, specifically addressing the fees associated with the police services rendered by the Australian Federal Police (AFP) at the request of the public or prescribed authorities of the Commonwealth. These regulations are designed to accommodate the impact of the introduction of the Goods and Services Tax (GST) under the A New Tax System (Goods and Services Tax) Act 1999, by increasing the prescribed fees to ensure that the AFP can maintain its revenue base despite the additional tax obligations. The amendments adjust the fees outlined in the Australian Federal Police Regulations, incorporating the GST into the fee structure, and increase the percentages used to calculate the "cost to AFP for use of member's time." These changes reflect the need to balance the financial impact of the GST with the operational needs of the AFP, and are made in accordance with relevant financial management guidelines and the Australian Competition and Consumer Commission's recommendations. The Regulations commenced on 1 July 2000, applying to all persons and entities that engage the services of the AFP and are subject to the amended fee structure.
Key Provisions
The Australian Federal Police Amendment Regulations 2000 (No. 1) primarily modify the fees associated with certain police services provided by the Australian Federal Police (AFP) under the Australian Federal Police Act 1979. Specifically, these amendments address the impact of the introduction of the Goods and Services Tax (GST) under the A New Tax System (Goods and Services Tax) Act 1999. Regulation 46, as amended, adjusts the fees payable by members of the public or prescribed authorities for police services rendered by the AFP. This adjustment includes increasing both the specified dollar amounts and the percentage of base salary included in the cost calculation for AFP members' time. Additionally, subregulation 46(2) has been inserted to clarify that the fees include a GST component, with the fee set out in column 3 of Schedule 6 to the Principal Regulations being the price of the taxable supply under the GST Act.
These Regulations impose specific obligations on the AFP and the entities or individuals using their services. The AFP is required to update their fee schedule in accordance with the new provisions, ensuring that the fees charged to users reflect the increased amounts and the inclusion of GST. Users of AFP services, such as members of the public or prescribed authorities, must pay the updated fees as specified in the amended Regulations. This includes acknowledging the GST component in the fee structure and ensuring that their payments are made in compliance with both the Australian Federal Police Act 1979 and the GST Act.
Failure to comply with the requirements of these Regulations may result in civil or criminal consequences. For example, the AFP may face legal action if it fails to properly adjust its fee structure in accordance with the new Regulations. Users of AFP services who do not pay the updated fees may also face legal repercussions, including potential fines or other penalties. The specific penalties for non-compliance are not detailed in the Explanatory Statement but would typically be outlined in the relevant acts and regulations. The maximum penalties for such breaches could include fines, which would be determined by the relevant authorities in accordance with the applicable laws.