Excise Regulations (Amendment) 1992 No. 345
EXPLANATORY STATEMENT
STATUTORY RULES 1992 No. 345
Issued by the Authority of the Minister for Small Business, Construction and Customs
Excise Act 1901
Excise Regulations (Amendment)
Section 164 of the Excise Act 1901 (the Act) provides in part that "(1) The Governor-General may make regulations not inconsistent with this Act prescribing all matters which by this Act are required or permitted to be prescribed or as may be necessary or convenient to be prescribed for giving effect to this Act ..."
Section 78A of the Act outlines the legislative scheme for the Diesel Fuel Rebate Scheme (DFRS), which provides that a rebate of Excise duty is payable to the purchaser of diesel fuel provided the diesel fuel is used in a manner specified in subsection 78A(1) of the Act.
Regulation 57A of the Excise Regulations prescribes the documentary information that an applicant for a rebate of diesel fuel under the DERS must provide to Customs together with the application for such rebate. The documentary information previously prescribed was the invoices or certified copies of the invoices relating to the purchase of the diesel fuel.
The Customs and Excise Legislation Amendment Act 1992 amended the Diesel Fuel Rebate Scheme (DFRS) to improve the accountability and administration of the DFRS in response to the. audit report by the Australian National Audit Office, No. 27 of 1990/91, tabled in Parliament on 16 May 1991. One of the amendments to the DFRS was to remove from the Act the requirement to lodge purchase documents with each claim. The Second Reading Speech provided that "... during the course of 1992, the Government expects to present new regulations to enable invoices to be replaced by a schedule of fuel purchases prepared by the claimant. This is broadly in accordance with recommendation 32 of the ANAO report".
On 2 November 1992 Customs introduced a new computer system for processing diesel fuel rebates which enabled invoices to be replaced by a schedule of fuel purchases prepared by the claimant as outlined by the Minister in his Second Reading Speech.
The Regulations facilitated this reform as follows:
Regulation 1 provides that the Regulations commence on 2 November 1992.
Regulation 2 is a formal machinery provision which provides that the Excise Regulations are amended as set out in the Regulations.
Regulation 3 specifies the particulars which the applicant for a rebate of diesel fuel must include in the Schedule of Purchases. The Schedule of Purchases is provided to Customs in addition to the application for rebate, but the Schedule is the document which will contain the figures upon which a rebate will be calculated.
Regulation 4 provides a transitional arrangement whereby the former regulation 128D continues to apply for applications received by Customs prior to the commencement of the new system.
The Regulations commenced on 2 November 1992.
Overview
The Excise Regulations (Amendment) 1992 No. 345 was enacted to facilitate improvements in the accountability and administration of the Diesel Fuel Rebate Scheme (DFRS) as recommended by the Australian National Audit Office. This amendment was introduced in response to concerns identified in ANAO Report No. 27 of 1990/91, which was tabled in Parliament on 16 May 1991. The key objective of these regulations was to streamline the rebate process by allowing applicants to submit a schedule of fuel purchases instead of the previously required invoices. This change was designed to enhance the efficiency of the rebate application process and align it with the new computer system implemented by Customs on 2 November 1992. The Regulations were issued under the authority of the Minister for Small Business, Construction and Customs and commenced on the same day as the new system.
Scope and Application
The Excise Regulations (Amendment) 1992 No. 345 applies to the amendments of the Excise Act 1901, specifically relating to the Diesel Fuel Rebate Scheme (DFRS) under section 78A. The Act applies to entities and individuals who purchase diesel fuel and are eligible for a rebate of excise duty, provided that the diesel fuel is used in a specified manner. The Regulations amend the documentary requirements for rebate applications under the DFRS, altering the need for physical invoices to be lodged with each claim. Instead, applicants must provide a Schedule of Purchases detailing fuel purchases. These Regulations are applicable on a national level within Australia and are necessary to implement the legislative changes introduced by the Customs and Excise Legislation Amendment Act 1992. This amendment was in response to the audit report by the Australian National Audit Office and aimed to improve the accountability and administration of the DFRS. The Regulations are effective from 2 November 1992, with a transitional arrangement allowing for the continued use of former regulation 128D for applications received before this date.
Key Provisions
The Excise Regulations (Amendment) 1992 No. 345 primarily modifies the Excise Regulations to align with changes in the Diesel Fuel Rebate Scheme (DFRS) as recommended by the Australian National Audit Office (ANAO) and introduced by the Customs and Excise Legislation Amendment Act 1992. Section 164 of the Excise Act 1901 empowers the Governor-General to issue regulations that prescribe necessary matters for the Act’s operation. Section 78A of the Act provides for the DFRS, where a rebate of excise duty is payable to the purchaser of diesel fuel used in a specified manner. Regulation 57A originally required invoices or certified copies of invoices relating to the purchase of diesel fuel to be submitted with rebate applications.
Regulation 3 of the Excise Regulations (Amendment) 1992 specifies the particulars that an applicant for a diesel fuel rebate must include in a Schedule of Purchases. This schedule replaces the previous requirement to submit invoices. The Schedule of Purchases must be provided to Customs along with the rebate application, but it will be the document upon which the rebate calculation is based. Regulation 4 provides a transitional arrangement, allowing the previous regulation 128D to apply to applications received by Customs before the new system commenced on 2 November 1992.
Under the amended regulations, applicants for a diesel fuel rebate must now provide a detailed Schedule of Purchases to Customs, which includes specific information such as the date of purchase, the quantity of diesel fuel, and the price paid. This change is designed to improve the accountability and administration of the DFRS by ensuring that all relevant details are captured in a standardised format. The new computer system introduced by Customs on the same date as the regulations' commencement, 2 November 1992, supports this streamlined process.
The Excise Regulations (Amendment) 1992 imposes obligations on applicants for a diesel fuel rebate to accurately prepare and submit a Schedule of Purchases. This requirement ensures that all necessary information is available for Customs to process rebate applications effectively. Failure to comply with these regulations could result in the denial of a rebate or further investigation into the rebate claim.
Breaches of the Excise Act 1901 or the Excise Regulations can result in both civil and criminal penalties. Section 203 of the Act states that any person who makes a false statement in an application for a rebate is liable to a penalty of up to 10 penalty units for each false statement. In addition, section 204 imposes a fine of up to 100 penalty units for contravening any regulation. These penalties underscore the importance of compliance with the requirements for rebate applications and the need for accurate documentation.