Cattle Transaction Levy Regulations (Amendment) 1996 No. 249
EXPLANATORY STATEMENT
STATUTORY RULES 1996 No. 249
Issued by the Authority of the Minister for Primary Industries and Energy
Cattle Transaction Levy Act 1995
Cattle Transaction Levy Regulations (Amendment)
The Cattle Transaction Levy Act 1995 (the Act) provides that the Governor-General may make regulations for the purposes of the Act.
The Act provides for the imposition of a levy on each cattle transaction involving ownership transfer, delivery to a processor for slaughter, or slaughter of cattle or bobby calves, with certain exclusions principally relating to the sale of dairy cattle for dairying purposes.
There are six levy components funding the Meat Industry Council, the Meat Research Corporation, the Australian Meat and Livestock Corporation, the National Cattle Disease Eradication Trust Account, the National Residue Survey (prior to 1 July 1993) and the Australian Animal Health Council Limited (AAHC). The levy rate payable to the National Cattle Disease Eradication Trust Account and the AAHC for leviable (per head of cattle) dealings can be set by regulations.
The AAHC component of the levy was recently inserted into the Act by separate legislation and applies to adult cattle and bobby calf dealings.
The Cattle Council of Australia (CCA) is recognised as the peak industry body representing cattle producers, the principal levy payers. These regulations implement a CCA request to decrease the National Cattle Disease Eradication Trust Account component on adult cattle dealings by 5 cents and for the AAHC component to apply only to adult cattle dealings. This is to achieve a nil impact on the total amount of levy paid by producers at the time of the application of the AAHC levy.
The purpose of the National Cattle Disease Eradication Trust Account is to receive the disease eradication component of cattle industry levies and charges collected by the Commonwealth and to make payments associated with the eradication of any disease in cattle that is endemic in Australia.
These regulations decrease the National Cattle Disease Eradication Trust Account component on adult cattle dealings to 25 cents.
The AAHC was established in January 1996 to be Australia's peak animal health body, providing the point of reference for strategic policy development and national program funding for animal health matters requiring a response at a national level. The Commonwealth, State/Territory Governments collectively, and the national councils of the livestock based industries (including the CCA) each provide funding for the AAHC.
These regulations decrease the Australian Animal Health Council Limited (AAHC) component on bobby calf dealings to 0 cents.
Charges specified in the Cattle Export Charges Act 1990 which are associated with these levies have also been amended by regulation.
Details of the regulations are:
Regulation 1 provides for a commencement date of 1 December 1996.
Regulation 2 provides for the Cattle Transaction Levy Regulations to be amended by the Cattle Transaction Levy Regulations (Amendment).
Regulation 3 prescribes, for the purposes of subparagraph 5(1)(d)(v) of the Act, the rate of levy for payment to the National Cattle Disease Eradication Trust Account to be 25 cents (replacing the previous rate of 30 cents).
Regulation 4 is a new regulation, prescribing in sub-clause 4.1, for the purposes of paragraph 5(2)(f) of the Act, the rate of levy for payment to the Australian Animal Health Council Limited to be 0 cents (replacing the previous rate of 5 cents).
Overview
The Cattle Transaction Levy Regulations (Amendment) 1996 No. 249, issued under the authority of the Minister for Primary Industries and Energy, amend the Cattle Transaction Levy Regulations 1996 to address the allocation of funds within the Cattle Transaction Levy system. The underlying Act, the Cattle Transaction Levy Act 1995, was enacted to impose a levy on cattle transactions, funding various industry bodies involved in meat and livestock management. These amendments respond to a request by the Cattle Council of Australia to adjust the distribution of levy funds, specifically reducing the contribution to the National Cattle Disease Eradication Trust Account on adult cattle dealings by 5 cents and applying the Australian Animal Health Council Limited component only to adult cattle dealings. The policy objective behind these adjustments is to ensure no overall increase in the total levy paid by producers. The National Cattle Disease Eradication Trust Account aims to manage disease eradication efforts within the cattle industry, while the Australian Animal Health Council Limited serves as the national animal health policy body.
Scope and Application
The Cattle Transaction Levy Regulations (Amendment) 1996 No. 249 modifies the Cattle Transaction Levy Regulations under the Cattle Transaction Levy Act 1995. This Act applies to any cattle transaction involving the transfer of ownership, delivery to a processor for slaughter, or slaughter of cattle or bobby calves, with exclusions primarily for the sale of dairy cattle for dairying purposes. The levy is structured to fund several entities, including the Meat Industry Council, the Meat Research Corporation, the Australian Meat and Livestock Corporation, the National Cattle Disease Eradication Trust Account, the National Residue Survey, and the Australian Animal Health Council Limited. The regulations were enacted to address a request from the Cattle Council of Australia, the peak industry body for cattle producers, to adjust the levy rates to ensure that the total amount of levy paid by producers remains unaffected by the introduction of the Australian Animal Health Council levy. Specifically, these regulations decrease the levy to the National Cattle Disease Eradication Trust Account for adult cattle dealings from 30 cents to 25 cents and set the levy for the Australian Animal Health Council Limited to 0 cents for bobby calf dealings. The amendments came into effect on 1 December 1996 and also address related charges under the Cattle Export Charges Act 1990.
Key Provisions
The Cattle Transaction Levy Regulations (Amendment) 1996 No. 249, under the Cattle Transaction Levy Act 1995, sets forth specific amendments to the rates of levy for certain components of the cattle transaction levy. Regulation 3 (s. 5(1)(d)(v) of the Act) reduces the levy rate for the National Cattle Disease Eradication Trust Account from 30 cents to 25 cents per head for adult cattle dealings. Regulation 4 (s. 5(2)(f) of the Act) introduces a new rate of 0 cents per head for the Australian Animal Health Council Limited levy on bobby calf dealings, replacing the previous rate of 5 cents. These amendments were made in response to a request by the Cattle Council of Australia to balance the levy impacts on cattle producers. The purpose of these changes is to ensure that the total amount of levy paid by producers remains unchanged while introducing the AAHC levy component.
The Act imposes obligations on cattle producers and entities involved in cattle transactions to comply with the specified levy rates. Producers must ensure that the correct levy is applied to their transactions, as detailed in the amended regulations. Additionally, entities involved in the processing or handling of cattle must accurately calculate and remit the appropriate levies as per the Act and its regulations. The Meat Industry Council, Meat Research Corporation, Australian Meat and Livestock Corporation, National Cattle Disease Eradication Trust Account, and Australian Animal Health Council Limited all have specific roles in receiving and managing these levies. Producers and entities must adhere to these obligations to avoid non-compliance and potential legal consequences.
Failure to comply with the Cattle Transaction Levy Regulations can lead to significant consequences. The Act does not specify particular offences or penalties within the explanatory statement, but non-compliance with statutory regulations can generally result in fines or other civil penalties under Australian law. The severity of penalties can vary based on the nature and extent of the breach, but they can include substantial financial penalties. In some cases, persistent non-compliance may also result in criminal charges, leading to imprisonment. It is important for all involved parties to ensure strict adherence to the levy requirements to avoid these potential consequences.