Cattle Transaction Levy Regulations 1991 No. 50
EXPLANATORY STATEMENT STATUTORY RULES 1991 No. 50
Issued by the Authority of the Minister for Primary Industries and Energy. Subject Cattle Transaction Levy Act 1990
Cattle Transaction Levy Regulations
The Cattle Transaction Levy Act 1990 (the Act) imposes levies on the sale of cattle and bobby calves or their delivery to a processor other than by reason of sale to the processor. The levy consists of four components, which raise funds for the following purposes:
(a) financing of the Australian Meat and Live-stock Corporation (AMLC)
(b) financing of the Australian Meat and Live-stock Research and Development Corporation (AMLRDC)
(c) financing of the National Residue Survey (NRS)
(d) bovine disease eradication.
These regulations will implement a recommendation by the AMLRDC to increase the levy component that raises funds to finance its activities. As required by the Act, the recommendation was endorsed at the Annual General Meeting of the AMLRDC on 29 November 1990. The rate increases will commence on 1 May 1991.
The Act commenced on 1 February 1991 and, in combination with the Beef Production Levy Act 1990 and the Cattle Export Charge Act 1990, replaced levies imposed on cattle, calves and bobby calves under the Live-stock Slaughter Levy Act 1964 and the Live-stock Export Charge Act 1977. The motion put to the annual general meeting by the AMLRDC recommended increases in the operative rates for the Live-stock Slaughter Levy and the Livestock Export Charge, but that In the event of the new arrangements being introduced before the new rates became operative, the recommendations concerning cattle, calves and bobby calves were to be read as recommending increases in the new levies and charge to raise the same amount of revenue as would be raised under the old arrangements. The new rates for the levy have been calculated on this basis.
The present and proposed operative rates and the prescribed maximum rates of levy are as follows:
Present rates
Proposed rate
Prescribed maximum rates
Cattle | | (per head) | |
AMLC | $3.15 | $3.15 | $6.00 |
AMLRDC | $0.46 | $0.88 | $2.00 |
Total | $3.61 | $4.03 | |
Disease erad | $2.10 | $2.10 | $4.00 |
NRS | $0.12 | $0.121 | $0.25 |
Total | $5.83 | $6.25 | |
Bobby calves | | | |
AMLC | $0.70 | $0.70 | $1.40 |
AMLRDC | $0.10 | $0.19 | $0.40 |
Total | $0.80 | $0.89 | |
Disease erad | $0.08 | $0.08 | $0.20 |
NRS | $0.12 | $0.12 | $0.25 |
Total | $1.00 | $1.09 | |
The funds generated by the rate increases will allow for the continuation and expansion of the Corporation's current marketing, development and promotional initiatives in line with its 5 year Corporate Plan.
The AMLC, NRS and bovine disease eradication components of the levy remain unchanged by these Regulations.
Overview
The Cattle Transaction Levy Regulations 1991 were enacted to implement the Cattle Transaction Levy Act 1990, which was introduced to address the need for a structured and updated framework for levying charges on cattle transactions in Australia. The Act was enacted by the Australian Parliament and was designed to replace and streamline the levies imposed under the Livestock Slaughter Levy Act 1964 and the Livestock Export Charge Act 1977. The primary policy objective of the Act is to raise funds for various cattle-related initiatives, including the financing of the Australian Meat and Livestock Corporation, the Australian Meat and Livestock Research and Development Corporation, the National Residue Survey, and bovine disease eradication.
These regulations specifically address a recommendation by the Australian Meat and Livestock Research and Development Corporation to increase the levy component allocated for its activities. The increase in rates aims to support the Corporation's marketing, development, and promotional initiatives, as outlined in its five-year Corporate Plan. The rates for the Australian Meat and Livestock Corporation, the National Residue Survey, and bovine disease eradication remain unchanged under these regulations. The new rates for the levy on cattle and bobby calves are set to commence on 1 May 1991.
Scope and Application
The Cattle Transaction Levy Act 1990 applies to the sale of cattle and bobby calves or their delivery to a processor other than by reason of sale to the processor. This legislation imposes levies to raise funds for the Australian Meat and Livestock Corporation (AMLC), the Australian Meat and Livestock Research and Development Corporation (AMLRDC), the National Residue Survey (NRS), and bovine disease eradication. The Act applies nationally across Australia, operating under the Commonwealth jurisdiction. The levy components include specific rates for cattle and bobby calves, with prescribed maximum rates also specified. The Cattle Transaction Levy Regulations 1991 implement the Act by detailing the operative rates and have increased the levy component to finance the AMLRDC's activities, effective from 1 May 1991. The Act does not explicitly state any exclusions or exemptions, nor does it mention thresholds that might restrict its application. The regulations can extend or modify the application of the Act through subordinate instruments.
Key Provisions
The Cattle Transaction Levy Regulations 1991 (No. 50) implement changes to the Cattle Transaction Levy Act 1990 (the Act), introducing increased rates for certain levies on the sale of cattle and bobby calves or their delivery to a processor (section 3). The Act (section 1) imposes four components of the levy to raise funds for the Australian Meat and Livestock Corporation (AMLC), the Australian Meat and Livestock Research and Development Corporation (AMLRDC), the National Residue Survey (NRS), and bovine disease eradication. The regulations increase the AMLRDC component of the levy, which will fund the Corporation's marketing, development, and promotional initiatives.
These regulations require all parties involved in the sale of cattle and bobby calves, including sellers and processors, to adhere to the new levy rates as stipulated (section 4). The increased AMLRDC levy component for cattle is set at $0.88 per head, up from $0.46, and for bobby calves at $0.19 per head, up from $0.10. The changes ensure that the AMLRDC receives additional funding to support its initiatives as outlined in its Corporate Plan. The other components of the levy, including those for the AMLC, NRS, and bovine disease eradication, remain unchanged.
Failure to comply with the new levy rates as required by the regulations may result in legal consequences. Section 14 of the Act outlines the penalties for non-compliance, which may include fines and other civil or criminal penalties. The exact penalties are not specified in the explanatory statement but are detailed in the Act itself. Compliance with the new rates is crucial for all parties involved in cattle transactions to avoid potential legal repercussions.