Commonwealth Electoral Amendment Act (No. 1) 2002

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Legislation au C2004A01018 In force Act

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No. 81, 2002

An Act to amend the Commonwealth Electoral Act 1918, and for related purposes

Contents

1 Short title...................................

2 Commencement...............................

3 Schedule(s)..................................

Schedule 1—Amendment of the Commonwealth Electoral Act 1918

Commonwealth Electoral Amendment Act (No. 1) 2002

No. 81, 2002

An Act to amend the Commonwealth Electoral Act 1918, and for related purposes

[Assented to 10 October 2002]

The Parliament of Australia enacts:

1 Short title

This Act may be cited as the Commonwealth Electoral Amendment Act (No. 1) 2002.

2 Commencement

This Act commences on the day on which it receives the Royal Assent.

3 Schedule(s)

Each Act that is specified in a Schedule to this Act is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to this Act has effect according to its terms.

Schedule 1—Amendment of the Commonwealth Electoral Act 1918

1AA Subsection 287(1)

Insert:

designated federal party has the meaning given by subsection 287B(1).

1 Subsection 287(1)

Insert:

Liberal Party means the political party that, at the commencement of this definition, was registered under Part XI as the Liberal Party of Australia.

1A At the end of Division 1 of Part XX

Add:

287B Designated federal party

(1) For the purposes of this Part, a designated federal party is a registered political party (other than the Liberal Party), where:

(a) there are 2 or more State branches of the party; and

(b) there is in force a choice under subsection (2) that the party be treated as a designated federal party for the purposes of this Part.

(2) The registered officer of a registered political party may, on behalf of the party, give the Electoral Commission a written notice stating that the party chooses to be treated as a designated federal party for the purposes of this Part.

(3) A choice under subsection (2) may be revoked at any time by the registered officer by written notice given to the Electoral Commission.

(4) Despite subsection (3), a choice under subsection (2) must not be revoked during the period:

(a) beginning at the start of the polling day for an election; and

(b) ending on the 14th day after the day on which the writ for that election is returned.

2 Subsection 299(1)

Repeal the subsection, substitute:

(1) If an amount is payable under this Division in respect of votes given in an election or elections for a candidate or candidates endorsed by a registered political party, the Electoral Commission must:

(a) if:

(i) the party is the Liberal Party or a State branch of the Liberal Party; and

(ii) a notice for the election is in force under subsection (5E) in relation to the State branch of the Liberal Party that is organised on the basis of the State or Territory in which the candidate or candidates stood for election;

pay the applicable federal percentage of the amount to the agent of the Liberal Party and the applicable State percentage of the amount to the agent of the State branch of the Liberal Party mentioned in subparagraph (ii); or

(b) if paragraph (a) does not apply and the party is the Liberal Party or a State branch of the Liberal Party—pay the amount to the agent of the Liberal Party; or

(ba) if:

(i) the party is a designated federal party or a State branch of a designated federal party; and

(ii) a notice for the election is in force under subsection (5H) in relation to the State branch of the designated federal party that is organised on the basis of the State or Territory in which the candidate or candidates stood for election;

pay the applicable federal percentage of the amount to the agent of the designated federal party and the applicable State percentage of the amount to the agent of the State branch of the designated federal party mentioned in subparagraph (ii); or

(bb) if:

(i) paragraph (ba) does not apply; and

(ii) the party is a designated federal party or a State branch of a designated federal party;

pay the amount to the agent of the designated federal party; or

(c) if the party is the Australian Democrats and there is a principal agent appointed under section 288A—pay the amount to the principal agent; or

(d) in any other case—pay the amount to the agent of the State branch of the party that is organised on the basis of the State or Territory in which the candidate or candidates stood for election.

3 Paragraph 299(4)(a)

Repeal the paragraph, substitute:

(a) if:

(i) the members of the group were endorsed by one registered political party and that party is the Liberal Party or a State branch of the Liberal Party; and

(aa) if:

(i) paragraph (a) does not apply; and

(ii) the members of the group were endorsed by one registered political party and that party is the Liberal Party or a State branch of the Liberal Party;

pay the amount to the agent of the Liberal Party; or

(aaa) if:

(i) the members of the group were endorsed by one registered political party and that party is a designated federal party or a State branch of a designated federal party; and

(aab) if:

(i) paragraph (aaa) does not apply; and

(ii) the members of the group were endorsed by one registered political party and that party is a designated federal party or a State branch of a designated federal party;

pay the amount to the agent of the designated federal party; or

(ab) if paragraphs (a), (aa), (aaa) and (aab) do not apply and the members of the group were endorsed by one registered political party:

(i) if the party is the Australian Democrats and there is a principal agent appointed under section 288A—pay the amount to the principal agent; or

(ii) in any other case—pay the amount to the agent of the State branch of the party that is organised on the basis of the State or Territory in which the members of the group stood for election; or

(ac) if the members of the group were endorsed by 2 registered political parties, one of those parties is the Liberal Party or a State branch of the Liberal Party, and a notice for the election is in force under subsection (5E) in relation to the State branch of the Liberal Party that is organised on the basis of the State or Territory in which the members of the group stood for election:

(i) divide the payment into such shares as are agreed upon between the agents of the State branches of those parties that are organised on the basis of the State or Territory in which the members of the group stood for election or, in the absence of agreement, into such shares as the Electoral Commission determines; and

(ii) in the case of the share applicable to a State branch of the Liberal Party in accordance with that agreement or determination, as the case may be—pay the applicable federal percentage of the share to the agent of the Liberal Party and the applicable State percentage of the share to the agent of the State branch of the Liberal Party; and

(iii) in the case of the share applicable to the agent of the other party in accordance with that agreement or determination, as the case may be—pay the share to the agent of the other party; or

(ad) if paragraph (ac) does not apply, the members of the group were endorsed by 2 registered political parties, and one of those parties is the Liberal Party or a State branch of the Liberal Party:

(ii) in the case of the share applicable to a State branch of the Liberal Party in accordance with that agreement or determination, as the case may be—pay the share to the agent of the Liberal Party; and

(iii) in the case of the share applicable to the agent of the other party in accordance with that agreement or determination, as the case may be—pay the share to the agent of the other party; or

(ae) if the members of the group were endorsed by 2 registered political parties, only one of those parties is a designated federal party or a State branch of a designated federal party, and a notice for the election is in force under subsection (5H) in relation to the State branch of the designated federal party that is organised on the basis of the State or Territory in which the members of the group stood for election:

(ii) in the case of the share applicable to a State branch of the designated federal party in accordance with that agreement or determination, as the case may be—pay the applicable federal percentage of the share to the agent of the designated federal party and the applicable State percentage of the share to the agent of the State branch of the designated federal party; and

(iii) in the case of the share applicable to the agent of the other party in accordance with that agreement or determination, as the case may be—pay the share to the agent of the other party; or

(af) if paragraph (ae) does not apply, the members of the group were endorsed by 2 registered political parties, and only one of those parties is a designated federal party or a State branch of a designated federal party:

(ii) in the case of the share applicable to a State branch of the designated federal party in accordance with that agreement or determination, as the case may be—pay the share to the agent of the designated federal party; and

(iii) in the case of the share applicable to the agent of the other party in accordance with that agreement or determination, as the case may be—pay the share to the agent of the other party; or

4 Paragraph 299(4)(b)

Omit “where”, substitute “if paragraphs (ac), (ad), (ae) and (af) do not apply and”.

5 Subsection 299(5)

Omit “subparagraph (4)(b)(i)”, substitute “subparagraph (4)(ac)(i), (ad)(i), (ae)(i), (af)(i) or (b)(i)”.

6 After subsection 299(5D)

Insert:

(5E) The agent of the Liberal Party may, before the polling day for an election, give the Electoral Commission a written notice determining that, for the purposes of the application of this section to the election:

(a) a specified percentage is the federal percentage applicable to a specified State branch of the Liberal Party; and

(b) a specified percentage is the State percentage applicable to a specified State branch of the Liberal Party.

(5F) For the purposes of subsection (5E), the sum of:

(a) the federal percentage applicable to a particular State branch of the Liberal Party; and

(b) the State percentage applicable to the State branch of the Liberal Party;

must be 100%.

(5G) A notice under subsection (5E) has effect accordingly.

(5H) The registered officer of a designated federal party may, before the polling day for an election, give the Electoral Commission a written notice determining that, for the purposes of the application of this section to the election:

(a) a specified percentage is the federal percentage applicable to a specified State branch of the party; and

(b) a specified percentage is the State percentage applicable to a specified State branch of the party.

(5J) For the purposes of subsection (5H), the sum of:

(a) the federal percentage applicable to a particular State branch of a designated federal party; and

(b) the State percentage applicable to the State branch of the party;

must be 100%.

(5K) A notice under subsection (5H) has effect accordingly.

7 After section 299

Insert:

299A Method of making payments

Payment by direct credit or by cheque

(1) If the Electoral Commission is required to pay an amount under section 299 to the agent or principal agent of a party, the Electoral Commission must pay the amount:

(a) if the party has nominated a bank account for the purposes of this section—to the credit of that account; or

(b) otherwise—by cheque payable to the party.

Nominated bank account

(2) A bank account nominated by a party for the purposes of this section must satisfy the following conditions:

(a) the account must be maintained by the party;

(b) the account must be with a bank;

(d) the account name must consist of, or include:

(i) if the account is maintained by a registered political party—the name of the party as it appears in the Register of Political Parties; or

(ii) if the account is held by a State branch of a political party, and the branch is not a registered political party—the name of the State branch.

Name on cheque

(3) For the purposes of this section, a cheque is taken not to be payable to a party unless:

(a) if the party is a registered political party—the cheque is made out:

(i) if a determination under subsection (4) is in force in relation to the name of the party—in the special abbreviation of the name of the party; or

(ii) otherwise—in the name of the party, being the name as it appears in the Register of Political Parties; or

(b) if the party is a State branch of a political party, and the branch is not a registered political party—the cheque is made out:

(i) if a determination under subsection (4) is in force in relation to the name of the State branch—in the special abbreviation of the name of the State branch; or

(ii) otherwise—in the name of the State branch.

Abbreviation of party names

(4) The Electoral Commission may, by notice published in the Gazette, determine that a specified abbreviation of the name of a party is a special abbreviation of the name of the party for the purposes of this section.

(5) The Electoral Commission must publish a copy of a notice under subsection (4) on the Internet.

(6) Before making a determination under subsection (4) in relation to a party, the Electoral Commission must consult the party.

(7) To avoid doubt, if a cheque under this section is made out in the special abbreviation of the name of a party, the cheque is as valid as it would have been if it had been made out in the name of the party.

Dispatch of cheques

(8) To avoid doubt, if a cheque under this section is payable to a party, this section does not prevent the Electoral Commission from dispatching the cheque to the agent or principal agent of the party.

Definitions

(9) In this section:

bank means a body corporate that is an ADI (authorised deposit‑taking institution) for the purposes of the Banking Act 1959.

party means a registered political party or a State branch of a registered political party.

8 After section 306A

Insert:

306B Repayment of gifts where corporations wound up etc.

Where:

(a) a political party, a candidate or a member of a group receives a gift from a corporation being a gift the amount of which is equal to or exceeds $1,000; and

(b) the corporation within a period concluding one year after making the gift has been wound up in insolvency or wound up by the court on other grounds;

an amount equal to the amount of the gift is payable by the political party to the liquidator and may be recovered by the liquidator as a debt due to the liquidator by action, in a court of competent jurisdiction against:

(i) if the party or branch, as the case may be, is a body corporate—the party or branch, as the case may be; or

(ii) in any other case—the agent of the party or branch, as the case may be; or

(d) in any other case—the candidate or a member of the group or the agent of the candidate or of the group, as the case may be.

Note 1: The gift received by the liquidator is an asset of the corporation to be distributed under the provisions of the Corporations Act 2001.

Note 2: This section applies to gifts made after the commencement of this provision.

9 After subsection 316(2C)

Insert:

(2D) Where a body corporate, unincorporated body or individual has made a gift or disposition of property of $25,000 or more to a registered political party or candidate, an authorised officer must conduct an investigation of that gift or disposition of property in accordance with this section.

[Minister’s second reading speech made in—

House of Representatives on 14 March 2002

Senate on 15 May 2002]

(60/02)

Overview

The Commonwealth Electoral Amendment Act (No. 1) 2002 was enacted to address certain deficiencies and gaps in the Commonwealth Electoral Act 1918, enhancing the regulatory framework around political party funding and electoral processes. The Act was passed by the Parliament of Australia and received Royal Assent on 10 October 2002. One of its key policy objectives is to streamline and clarify the process of reimbursing political parties for election-related expenses, while also introducing stricter accountability measures for political donations, particularly those made by corporations. This Act amends the Commonwealth Electoral Act 1918 to introduce provisions for designated federal parties, specifies payment methods for electoral reimbursements, and outlines conditions for the repayment of gifts received from corporations that subsequently become insolvent.

Scope and Application

The Commonwealth Electoral Amendment Act (No. 1) 2002 applies to the Commonwealth Electoral Act 1918 and pertains to the administration and conduct of federal elections within Australia. This Act amends certain provisions of the Commonwealth Electoral Act, impacting political parties, candidates, and electoral processes. The Act applies to registered political parties, their state branches, and the Liberal Party of Australia, among others. It outlines specific requirements for these entities, including procedures for determining federal and state percentages for payment distributions and the conditions under which parties can nominate bank accounts for receiving payments. Additionally, the Act introduces provisions regarding the repayment of gifts from corporations that are wound up within a year of making a gift and mandates investigations into gifts or dispositions of property worth $25,000 or more made to registered political parties or candidates. The Act’s amendments extend to the federal level and affect electoral practices across Australia.

Key Provisions

The Commonwealth Electoral Amendment Act (No. 1) 2002 amends the Commonwealth Electoral Act 1918, introducing several new provisions and definitions that refine the regulation of political parties and the allocation of electoral funding. Firstly, Section 1AA defines a 'designated federal party' as a registered political party (other than the Liberal Party) that has two or more State branches and has opted to be treated as such by notifying the Electoral Commission. Section 1A provides a specific definition for the 'Liberal Party', clarifying its status as a registered political party at the time of the Act's commencement. Registered political parties and their State branches now have obligations to ensure compliance with the new provisions regarding electoral funding. Under Section 2, the Electoral Commission is mandated to allocate payments to the appropriate party or State branch based on whether the party is designated or not, and if specific notices have been submitted under Sections 5E or 5H. The allocation of funds is further detailed in Section 299A, which stipulates the methods of payment, including direct credit or cheque, and the conditions for nominating bank accounts and cheques. The Act also introduces significant penalties and consequences for non-compliance. Section 306B stipulates that if a political party, candidate, or group member receives a gift of $1,000 or more from a corporation that is subsequently wound up within a year, the political party must repay the gift amount to the liquidator. This repayment can be enforced through legal action. Additionally, Section 316(2D) imposes a requirement for authorised officers to investigate gifts or dispositions of property worth $25,000 or more made to registered political parties or candidates. Failure to comply with these provisions may lead to civil or criminal penalties as outlined under the relevant sections of the Commonwealth Electoral Act 1918.

Area of Law: Elections Law
Instrument: Amending Act
Concepts: Commencement Provisions; Repeal & Amendment; Reporting & Disclosure Obligations; Regulatory Standards

Interactions

Sourced from the Federal Register of Legislation at 26 August 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au.

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