Coarse Grains Levy Regulations

Overview

The Coarse Grains Levy Regulations, Statutory Rules 1992 No. 299 as amended, were enacted under the Coarse Grains Levy Act 1992, aiming to address the need for a systematic approach to levying a tax on certain coarse grains in Australia. These regulations were introduced by the Australian Parliament to provide a detailed framework for the collection of levies on specific types of coarse grains, ensuring that the levy rates and definitions are clearly established and consistently applied. The policy objective of these regulations is to facilitate the collection of levies on grain sorghum, canary seed, maize, and millet in a manner that supports the administration of the levy as stipulated in the Act. This legislative instrument was prepared by the Office of Legislative Drafting, Attorney-General’s Department, Canberra, to ensure compliance with the legislative requirements and to maintain the integrity of the levy system.

Scope and Application

The Coarse Grains Levy Regulations, enacted under the Coarse Grains Levy Act 1992, apply to specific types of grains within Australia, including grain sorghum, canary seed, maize, and millet, which are all classified as leviable coarse grains. These regulations detail the levy rates imposed on the value of these grains, with grain sorghum, canary seed, and millet all subject to a 1% levy, and maize subject to a 0.2% levy. Notably, the regulations also include exemptions, such as popping corn being exempt from levy under specific conditions. The regulations came into effect on 1 October 1992, and have since been amended to adjust the levy rates and definitions over the years. These amendments are reflected in subsequent statutory rules, which outline the specific changes made. The regulations operate at a Commonwealth level, governing the entire nation, and their application is not restricted by state or territory boundaries.

Key Provisions

The Coarse Grains Levy Regulations 1992, as amended, establish the parameters for levying taxes on specific types of coarse grains under the Coarse Grains Levy Act 1992. These regulations specify the types of grains subject to the levy, namely grain sorghum, canary seed, maize, and millet (Regulations 3A-3D). Each type of grain is defined and prescribed under the Act to be leviable coarse grain (Regulation 3). The levy rates for each grain type are also set out in the regulations, with a 1% levy for grain sorghum, canary seed, and millet, and a 0.2% levy for maize (Regulations 6-9). The regulations impose obligations on parties involved in the trade or handling of these grains, requiring them to pay the specified levy on the grains' value (subsection 11(2) of the Act). This includes producers, exporters, and other entities that may handle the grains during the production and export process. The levy is to be collected in accordance with the rates set out in the regulations. These obligations extend to ensuring that all parties involved in the grain trade are aware of and comply with the levy requirements, including keeping accurate records and declarations as necessary. Failure to comply with the levy requirements set out in the regulations may result in penalties. While the regulations themselves do not specify penalties, the Coarse Grains Levy Act 1992 provides for civil and criminal penalties for non-compliance with levy requirements. Under the Act, a person who fails to comply with a levy requirement may be liable for a civil penalty of up to $11,000 per contravention (section 16). In addition, under section 18 of the Act, a person who knowingly contravenes a provision of the Act that relates to the levy may be guilty of a criminal offence and may face a fine of up to $55,000 or imprisonment for up to two years, or both. These penalties underscore the importance of compliance with the levy requirements under the regulations.