Goat Fibre Levy Act 1989

Overview

The Goat Fibre Levy Act 1989 was enacted by the Commonwealth Parliament to impose a levy on goat fibre produced in Australia. This legislation was introduced to address the need for generating revenue from goat fibre production, while also providing a mechanism for regulating the industry. The levy is imposed on leviable fibre, which is defined as goat fibre obtained by shearing or in a prescribed way, and that has not been processed. The rate of levy is set at 1.5% of the sale value of the fibre, though this can be varied up to a maximum of 5%. Exemptions from the levy are provided for fibre belonging to a State and for fibre that is processed or sold by the grower themselves or to craft shops, among other circumstances. The levy is not inconsistent with regulations made by the Governor-General, and must take into consideration recommendations made by growers organisations. The policy objective is to provide a sustainable source of income for the goat fibre industry while ensuring that the industry remains viable and competitive.

Scope and Application

The Goat Fibre Levy Act 1989 applies to goat fibre that has been obtained by shearing a live goat or in a prescribed way and has not been processed. The levy is imposed on the producer of this leviable fibre, with a rate set at 1.5% of the fibre's sale value or another percentage not exceeding 5%, as may be prescribed. The act applies nationally across Australia and was designed to commence on the date of Royal Assent. Notably, the levy does not apply to fibre that belongs to a state or to fibre used by the grower or sold to a craft shop if the levy amount would be below a specified threshold for the levy year. Additionally, the Governor-General has the authority to make regulations concerning the definition of leviable fibre and sale value, as well as the rates of the levy, taking into account recommendations from growers' organisations. The act is complemented by the Goat Fibre Levy Collection Act 1989, which is incorporated and read as one with this act.

Key Provisions

The Goat Fibre Levy Act 1989 imposes a levy on goat’s fibre produced in Australia (section 5). The levy is calculated at a rate of 1.5% of the sale value of the fibre, or another percentage prescribed under the Act, which cannot exceed 5% (section 6). The levy is payable by the grower of the fibre (section 7). However, the Act provides certain exemptions: if the grower uses the fibre themselves or sells it to a craft shop, and the amount of the levy would otherwise be less than the leviable amount in a levy year, then the levy is not imposed on that fibre (sections 8 and 9). Under the Act, the Governor-General has the authority to make regulations concerning the definition of "leviable fibre" and "sale value," and to prescribe percentages for the levy rate (section 11). These regulations must not conflict with the Act and should consider any recommendations made by a growers organisation to the Minister. Entities and individuals governed by the Goat Fibre Levy Act 1989 are required to understand the definition of "leviable fibre," which is goat’s fibre obtained by shearing a live goat or in a prescribed manner, and which has not been processed (section 4(a)). They must also be aware of the concept of "sale value," which is determined by various methods depending on the circumstances of the sale (section 4(b)). The Act further requires growers to calculate the levy based on the sale value of their fibre and to be mindful of the exemptions provided if the amount of the levy would be less than the leviable amount (section 10). Breaches of the Goat Fibre Levy Act 1989 can result in various consequences. While the Act does not explicitly detail specific offences or penalties, failure to comply with the requirements for levy payment could potentially lead to enforcement actions by the relevant authorities. This may include demands for payment of the outstanding levy, interest, and potentially penalties for non-compliance, although the exact nature and severity of these penalties are not defined within the Act itself.