Data-matching Program (Assistance and Tax) Amendment Act 1992
No. 205 of 1992
An Act to amend the Data-matching Program (Assistance and Tax) Act 1990
[Assented to 21 December 1992]
The Parliament of Australia enacts:
Short title
1.(1) This Act may be cited as the Data-matching Program (Assistance and Tax) Amendment Act 1992.
(2) In this Act, “Principal Act” means the Data-matching Program (Assistance and Tax) Act 19901.
Commencement
2.(1) Apart from section 7, this Act commences on the day on which it receives the Royal Assent.
(2) Section 7 commences, or is taken to have commenced, as the case may be, on 22 January 1993.
Steps in data matching cycle
3. Section 7 of the Principal Act is amended by inserting the following paragraph after paragraph 14 in Step 5:
“14A. If the source agency and the matching agency have agreed that this paragraph applies, the following subparagraphs apply:
(a) if the matching agency thinks that any results of a payment or income matching appear to be results to which paragraph 15 applies, the matching agency gives a sample to the source agency;
(b) the source agency tests the sample;
(c) if the source agency thinks the sample may be wrong, and that the error may be corrected by adjusting an algorithm used by the matching agency, the source agency suggests the adjustment;
(d) the matching agency makes the adjustment and repeats the relevant parts of the matching;
(e) subject to section 9, these subparagraphs apply as often as necessary until the matching is complete;
(f) if the source agency is an assistance agency, information exchanged under this paragraph must not include the return of TFN data from the matching agency to the source agency;
(g) the source agency must destroy the sample as soon as practicable after the matching is complete.”.
Length of data matching cycle
4. Section 9 of the Principal Act is amended by omitting subsection (2) and substituting the following subsections:
“(2) Step 5 in a data matching cycle is to be completed no later than 7 days after it began.
“(2A) The following times do not count for the purposes of subsection (2):
(a) any time during which the cycle is interrupted by a computer malfunction;
(b) any time during which the cycle is interrupted by industrial action.”.
Notice of proposed action
5. Section 11 of the Principal Act is amended:
(a) by omitting from subsection (1) “subsection (4)” and substituting “subsections (1A), (1B) and (4)”;
(b) by inserting after subsection (1) the following subsections:
“(1A) Subsection (1) does not apply to action that is necessary to correct or avoid a result solely caused by an administrative error on the part of the assistance agency.
“(1B) If the assistance agency takes action referred to in subsection (1A), it must give the person written notice, with particulars of the information and the action:
(a) if practicable—before the action is taken; or
(b) if not—as soon as practicable after the action has been taken.”.
Guidelines relating to privacy
6. Section 12 of the Principal Act is amended by inserting after subsection (2) the following subsection:
“(2A) In addition to the requirement that the matching agency and each source agency table a comprehensive report in both Houses of Parliament eighteen months after the commencement of the first data matching cycle (as required by Guideline 12 of the Guidelines issued by the Privacy Commissioner on 27 September 1991), the matching agency and each source agency must prepare and present for tabling in each House of the Parliament by the end of October 1993 a further comprehensive report including references to all of the matters identified in Guideline 12 of the Privacy Commissioner’s Guidelines of 27 September 1991.”.
Cessation of operation of Act
7. Section 21 of the Principal Act is amended by omitting “at the expiration of 2 years after the date of commencement of this Act” and substituting “on and from 22 January 1994”.
NOTE
1. No. 20, 1991, as amended. For previous amendments see Nos. 115, 175 and 194, 1991
[Minister’s second reading speech made in—
House of Representatives on 3 November 1992
Senate on 12 November 1992]
Overview
The Data-matching Program (Assistance and Tax) Amendment Act 1992 was enacted by the Parliament of Australia to address identified issues and gaps in the original Data-matching Program (Assistance and Tax) Act 1990. This amendment was necessitated by the need for more precise and timely data matching processes, along with a stronger emphasis on administrative accuracy and privacy considerations. The policy objective of this Act is to refine the steps in the data matching cycle, ensuring it is completed within a specified timeframe while accommodating potential interruptions. Furthermore, it seeks to enhance the communication and transparency between agencies and individuals by mandating written notice for corrective actions due to administrative errors, thereby protecting individual rights and privacy. The Act also seeks to bolster privacy protections by requiring additional comprehensive reports to Parliament, thereby ensuring adherence to privacy guidelines and maintaining public trust in the data matching program.
Scope and Application
The Data-matching Program (Assistance and Tax) Amendment Act 1992 applies to entities involved in the data matching cycle, specifically the source agencies and matching agencies, and the persons responsible for these entities. The Act pertains to the procedures and standards for matching payment and income data to prevent errors and ensure accurate reporting of taxable income for assistance purposes. The Act operates on a national level across Australia, as it amends the Data-matching Program (Assistance and Tax) Act 1990, which has a broad jurisdictional reach. The amendment primarily focuses on enhancing the efficiency and accuracy of the data matching process by introducing procedural changes and extending reporting obligations. The Act does not specify exclusions or exemptions but implies that its provisions apply to all relevant data matching activities unless otherwise specified in subordinate instruments. The Act may be further interpreted or extended through regulations or guidelines issued under its authority.
Key Provisions
The Data-matching Program (Assistance and Tax) Amendment Act 1992 (C2004A04496) introduces several key provisions to the Data-matching Program (Assistance and Tax) Act 1990. First, section 3 amends the steps in the data matching cycle. Specifically, if the source agency and the matching agency agree that paragraph 14A applies, they must follow a new process. This includes the matching agency providing a sample to the source agency if it suspects results from a payment or income matching may be erroneous. The source agency can then test the sample, suggest algorithm adjustments if necessary, and the matching agency must implement these adjustments and rerun the relevant matching processes. This iterative process continues until the matching is complete, with a prohibition on the return of TFN data from the matching agency to the source agency if the source agency is an assistance agency. Additionally, the source agency must destroy the sample once the matching is finished (section 3(14A)).
The Act imposes obligations on both the source and matching agencies to ensure the accuracy and efficiency of the data matching cycle. For example, section 3(14A) requires the source agency to promptly test samples provided by the matching agency and to suggest necessary adjustments to algorithms if errors are detected. Similarly, section 3(14A) mandates the matching agency to implement these adjustments and rerun the relevant parts of the matching cycle as often as necessary. Furthermore, section 4 modifies the time constraints for completing Step 5 of the data matching cycle, allowing for interruptions due to computer malfunctions or industrial action.
In terms of penalties and consequences for breaches, the Act does not explicitly detail offences, penalties, or consequences for non-compliance in the provided text. However, the comprehensive reporting requirements outlined in section 6 suggest a focus on transparency and accountability. The matching agency and each source agency must prepare and present comprehensive reports to both Houses of Parliament by the end of October 1993, detailing all matters identified in the Privacy Commissioner’s Guidelines of 27 September 1991. Failure to comply with these reporting obligations may result in scrutiny and potential consequences as deemed appropriate by the Parliament.
Additionally, section 7 of the Act changes the cessation date for the operation of the Act, setting it to 22 January 1994 instead of two years after the commencement date. This alteration ensures that the Act remains in effect for a specific period, allowing for the continued oversight and operation of the data matching program until the designated termination date.