Explanatory Statement
Issued by the Authority of the Minister for Communications
Commercial Broadcasting (Tax) Act 2017
Commercial Broadcasting (Tax) Amendment (Transmitter Licence Tax Rebate) Rules 2026
Purpose
The purpose of the Commercial Broadcasting (Tax) Amendment (Transmitter Licence Tax Rebate) Rules 2026 (Amendment Rules) is to implement the Government’s decision to suspend the Commercial Broadcasting Tax (CBT) for a further two years. The Amendment Rules will amend the Commercial Broadcasting (Tax) (Transmitter Licence Tax Rebate) Rules 2024 (CBT Rebate Rules 2024) to provide for a further two-year, 100 per cent rebate of CBT for all commercial television and radio broadcasters following the end of the current 100 per cent rebate for all broadcasters on 8 June 2026. The further 100 per cent rebate will be applied as an offset against CBT imposed in each of the periods 9 June 2026 to 8 June 2027, and 9 June 2027 to 8 June 2028. The effect of the 100 per cent rebate will be to reduce the CBT liabilities for all commercial television and radio broadcasters to $0 in each of those two periods. This method of implementing the suspension is identical to the method used to implement the current one-year suspension of the CBT, which ends on 8 June 2026. The Australian Communications and Media Authority (ACMA) will administer the rebate.
The further two-year suspension means that the partial CBT rebates for eligible broadcasters provided for by section 6 of the CBT Rebate Rules 2024, which were scheduled to continue following the end of the current one-year suspension, will no longer be available. Instead, these broadcasters will benefit from the two-year, 100 per cent rebate, which will reduce their CBT liabilities to $0 during the period of the suspension.
Background
The Government announced in the 2026-27 Budget that it would suspend the CBT for all commercial television and radio broadcasters for a further two years, from 9 June 2026 to
8 June 2028, following the end of the current one-year suspension which will end on
8 June 2026.
Free-to-air commercial television and radio broadcasters play a vital role in keeping Australians informed and entertained, and provide a platform for local voices and stories. Commercial broadcasters rely on advertising revenue to deliver such services, however, this revenue has been declining, caused by audiences and advertisers moving online and by increased online competition for those audiences and advertisers. As a result, broadcasters have been facing financial pressures, which have led to service reductions and closures. The further two-year suspension of the CBT will help to reduce these financial pressures and support the ongoing provision of free-to-air commercial broadcasting services. In addition, the further two-year suspension will enable the Government to continue to work with
free-to-air television broadcasters and other stakeholders to explore future technology options for the provision of free-to-air television services.
Authority
The instrument is made under section 14 of the Commercial Broadcasting (Tax) Act 2017 (CBT Act), and also on reliance on subsection 33(3) of the Acts Interpretation Act 1901 (AIA). Section 14 of the CBT Act provides that the Minister may, by legislative instrument, make rules that make provision for rebates of the whole or a part of an amount of tax payable by a person. Subsection 33(3) of the AIA relevantly provides that where an Act confers a power to make any instrument of a legislative character (including rules), the power shall be construed as including a power exercisable in the like manner and subject to the like conditions (if any) to amend the instrument.
Summary of the Amendment Rules
Schedule 1 to the Amendment Rules contains amendments to the CBT Rebate Rules 2024. The amendments
- extend the current 100 per cent rebate of transmitter licence tax, to each of rebate period 3 and rebate period 4 (Items 1 and 2, Schedule 1), and
- as a result of that extension, remove the availability, in rebate period 3 and rebate period 4, to eligible companies (listed in column 2 in the table in section 7) of the rebate amounts specified in column 3 in the table in section 7, and remove redundant examples (Items 3 to 10, Schedule 1).
The Amendment Rules are a legislative instrument for the purposes of the Legislation Act 2003 and are subject to the default sunsetting requirements and disallowance and commence the day after the instrument is registered on the Federal Register of Legislation.
Details of the Amendment Rules are set out in Attachment A.
Consultation
It was not considered necessary to consult commercial broadcasters in the development of the Amendment Rules. This is because the Amendment Rules are implementing a Budget decision, implementation is through the familiar method of a rebate applied as an offset to CBT liabilities, and commercial broadcasters will not need to take any action to receive the benefit of the rebate.
The ACMA, which administers the CBT and CBT rebates, was consulted in developing the Amendment Rules.
Statement of Compatibility with Human Rights
A statement of compatibility with human rights, for the purposes of Part 3 of the Human Rights (Parliamentary Scrutiny) Act 2011, is set out at Attachment B.
Attachment A
Details of the Commercial Broadcasting (Tax) Amendment (Transmitter Licence Tax Rebate) Rules 2026
Section 1 – Name
This section provides that the name of the instrument is the Commercial Broadcasting (Tax) Amendment (Transmitter Licence Tax Rebate) Rules 2026 (Amendment Rules).
Section 2 – Commencement
This section provides for the instrument to commence on the day after it is registered on the Federal Register of Legislation.
Section 3 – Authority
This section provides for the authority of the instrument. It is made under section 14 of the Commercial Broadcasting (Tax) Act 2017 and in reliance on subsection 33(3) of the Acts Interpretation Act 1901.
Section 4 – Schedules
This section has the effect that the Commercial Broadcasting (Tax) (Transmitter Licence Tax Rebate) Rules 2024 (CBT Rebate Rules 2024) are amended by the terms specified in Schedule 1 to the Amendment Rules. There is only one Schedule.
Schedule 1 – Amendments
Schedule 1 makes amendments to the CBT Rebate Rules 2024. The purpose of the amendments is to extend the current 100 per cent rebate of transmitter licence tax, which currently only applies to rebate period 2 (9 June 2025 date to 8 June 2026), to each of rebate period 3 and rebate period 4 (9 June 2026 to 8 June 2027, and 9 June 2027 to 8 June 2028, respectively). The extended 100 per cent rebate will apply to all persons on whom transmitter licence tax is imposed during rebate period 3 and rebate period 4, including the companies listed in an item in column 2 in the table in section 7. As a result of the 100 per cent rebate applying to rebate period 3 and rebate period 4, the rebates for eligible companies listed in column 3 in the table in section 7, which were to apply in rebate period 3 and rebate period 4, are no longer required. Schedule 1 achieves this result by amending various parts of section 6, which provides for the rebate of transmitter licence tax. Schedule 1 also makes several consequential changes, including to remove the examples in section 6, which are no longer relevant, and to the table at Section 7.
Item 1 – Section 6A (heading)
This item amends the heading to section 6A to also refer to rebate periods 3 and 4.
Item 2 – Subsection 6A(1)
This item amends subsection 6A(1) to extend availability of the 100 per cent rebate of transmitter licence tax, currently only available in rebate period 2, to rebate period 3 and 4.
Item 3 – Section 6 (heading)
This item amends the heading to section 6 so that it refers only to rebate period 1.
Item 4 – Subsection 6(1)
This item amends subsection 6(1) to limit its application to rebate period 1.
Item 5 – Paragraph 6(3)(a)
This item amends paragraph 6(3)(a) to limit its application to rebate period 1.
Item 6 – Subparagraph 6(3)(b)(i)
This item amends subparagraph 6(3)(b)(i) to limit its application to rebate period 1.
Item 7 – Subparagraph 6(3)(b)(iii)
This item amends subparagraph 6(3)(b)(iii) to limit its application to rebate period 1.
Item 8 – Example 1, accompanying Section 6.
This item omits Example 1 accompanying section 6. Example 1 was intended to provide an example of how section 6 would apply over rebate period 1, rebate period 3 and rebate period 4. Given that section 6 is being amended to limit its application to rebate period 1 (as per item 2), Example 1 is no longer required.
Item 9 – Example 2, accompanying Section 6
This item omits Example 2 accompanying section 6. Example 2 was intended to provide an example of how section 6 would apply over rebate period 1, rebate period 3 and rebate period 4. Given that section 6 is being amended to limit its application to rebate period 1, Example 2 is no longer required.
Item 10 – Section 7 (table, heading to column 3)
This item substitutes a new heading for column 3 in the table in section 7 to indicate that the rebate amount specified in column 3 of the table is only for rebate period 1.
Attachment B
Statement of Compatibility with Human Rights
Prepared in accordance with Part 3 of the Human Rights (Parliamentary Scrutiny) Act 2011
Commercial Broadcasting (Tax) Amendment (Transmitter Licence Tax Rebate) Rules 2026
The Commercial Broadcasting (Tax) Amendment (Transmitter Licence Tax Rebate) Rules 2026 (Amendment Rules) are compatible with the human rights and freedoms recognised in the international instruments listed in section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011.
Overview
The purpose of the Commercial Broadcasting (Tax) Amendment (Transmitter Licence Tax Rebate) Rules 2026 (Amendment Rules) is to implement the Government’s decision to suspend the Commercial Broadcasting Tax (CBT) for a further two years. The Amendment Rules will amend the Commercial Broadcasting (Tax) (Transmitter Licence Tax Rebate) Rules 2024 (CBT Rebate Rules 2024) to provide for a further two-year, 100 per cent rebate of CBT for all commercial television and radio broadcasters following the end of the current 100 per cent rebate for all broadcasters on 8 June 2026. The further 100 per cent rebate will be applied as an offset against CBT imposed in each of the periods 9 June 2026 to 8 June 2027, and 9 June 2027 to 8 June 2028. The effect of the 100 per cent rebate will be to reduce the CBT liabilities for all commercial television and radio broadcasters to $0 in each of those two periods. This method of implementing the suspension is identical to the method used to implement the current one-year suspension of the CBT, which ends on 8 June 2026. The Australian Communications and Media Authority (ACMA) will administer the rebate.
The further two-year suspension means that the partial CBT rebates for eligible broadcasters provided for by section 6 of the CBT Rebate Rules 2024, which were scheduled to continue following the end of the current one-year suspension, will no longer be available. Instead, these broadcasters will benefit from the two-year, 100 per cent rebate, which will reduce their CBT liabilities to $0 during the period of the suspension.
Free-to-air commercial television and radio broadcasters play a vital role in keeping Australians informed and entertained, and provide a platform for local voices and stories. Commercial broadcasters rely on advertising revenue to deliver such services, however, this revenue has been declining, caused by audiences and advertisers moving online and by increased online competition for those audiences and advertisers. As a result, broadcasters have been facing financial pressures, which have led to service reductions and closures. The further two-year suspension of the CBT will help to reduce these financial pressures and support the ongoing provision of free-to-air commercial broadcasting services. In addition, the further two-year suspension will enable the Government to continue to work with
free-to-air television broadcasters and other stakeholders to explore future technology options for the provision of free-to-air television services.
Human rights implications
The Amendment Rules engage the following rights and freedoms:
Freedom of opinion and expression (article 19 of the International Covenant on Civil and Political Rights).
Right to enjoy and benefit from culture (article 15 of the International Covenant on Economic, Social and Cultural Rights).
The right to freedom of opinion includes the right to hold opinions without interference,[1] and the right to freedom of expression includes the right to seek, receive and impart information and ideas of all kinds, and may include commercial advertising.[2] The concept of ‘culture’, for the purposes of the right to enjoy and benefit from culture, is a broad, inclusive concept encompassing all manifestations of human existence.[3]
Commercial television and radio broadcasting provides a range of services including news, entertainment, education, and emergency communications, and develops and reflects a sense of Australian identity, character and cultural diversity. The Amendment Rules will support commercial television and radio broadcasters to provide commercial television and radio broadcasting services by reducing the amount of CBT they are liable to pay to $0 for two years beginning on 9 June 2026 and ending on 8 June 2028. By supporting the continued provision of commercial television and radio broadcasting services, the Amendment Rules will promote the right to freedom of opinion and expression, and the right to enjoy and benefit from culture.
The Amendment Rules will not limit what broadcasting services may be provided, and therefore will not limit the rights to freedom of opinion and expression, or the right to enjoy and benefit from culture.
Conclusion
The Amendment Rules are compatible with human rights because they promote the rights to freedom of opinion and expression and the right to enjoy and benefit from culture without limitation, and they do not limit any other human rights.
[1] Human Rights Committee, General Comment No 34: Freedoms of opinion and expression, 102nd session, UN Doc CCPR/C/GC/34 (12 September 2011), paragraph 9.
[2] Human Rights Committee, General comment No 34: Freedoms of opinion and expression, 102nd session, UN Doc CCPR/C/GC/34 (12 September 2011), paragraph 11.
[3] Committee on Economic, Social and Cultural Rights, General comment No 21: Right of everyone to take part in cultural life (art. 15, para. 1(a), of the International Covenant on Economic, Social and Cultural Rights, Forty-third session, UN Doc E/C.12/GC/21 (21 December 2009), paragraph 11.