EXPORT MARKET DEVELOPMENT GRANTS ACT 1997
Export Market Development Grants (Change in Ownership of Business) Guidelines 2006
Explanatory Statement
Guidelines to be complied with by Austrade in determining, for the purposes of subparagraph 94(1)(b)(ii) of the Export Market Development Grants Act 1997, whether a business or a part of a business that was carried on by a person is similar to a business being carried on by another person to such an extent that the new business should be treated as a continuation of the old business.
The Export Market Development Grants Act 1997 (EMDG Act) provides for grants to specified Australian businesses which have incurred specified expenses promoting the export of their Australian goods, services, intellectual property rights and know-how. The grant is a partial reimbursement of the expenses incurred.
Section 94 of the EMDG Act allows Austrade to ensure that a business does not become eligible for more than the limit of seven grants simply because the business changes ownership. The section provides that if the business of the new owner is sufficiently similar to the business of the previous owner, then Austrade may attach the grants history of the previous owner (including grants already paid) to the new owner.
Among other amendments, the Export Market Development Grants Amendment Act 2006 simplified section 94 but did not change its policy intent or scope. Paragraph 101(1)(d) of the EMDG Act requires Austrade to comply with ministerial guidelines when making section 94 decisions.
These ministerial guidelines set out the factors that Austrade must have regard to when determining whether one business is similar to another.
Austrade’s decisions under section 94 of the EMDG Act are subject to review in the Administrative Appeals Tribunal.
This determination is a disallowable instrument for the purposes of section 46A of the Acts Interpretation Act 1901.