International Shipping (Australian-resident Seafarers) Grants Regulations
1996 No. 112
EXPLANATORY STATEMENT
Statutory Rules 1996 No. 112
Issued by the Authority of the Minister for Transport and Regional Development
International Shipping (Australian-resident Seafarers) Grants Act 1995
International Shipping (Australian-resident Seafarers) Grants Regulations
Section 27 of the International Shipping (Australian-resident Seafarers) Grants Act 1995 (the Act) provides that the Governor-General may make regulations for the purposes of the Act.
The Act, which commenced on 16 December 1995, provides for the payment of grants to employers of Australian-resident seafarers on certain Australian operated ships. The Regulations prescribe:
* certain details necessary for the calculation of amounts payable under the Act;
* the time for the submission of applications for grants; and
* a form for use in certain circumstances by a court where the court has ordered the refund of a grant.
Details of the Regulations follow:
Regulation 1 - Citation
Regulation 1 provides that the Regulations may be cited as the International Shipping (Australian-resident Seafarers) Grants Regulations.
Regulation 2 - Interpretation
Subregulation 2(1) defines the term "Act" for purposes of the Regulations.
Subregulation 2(1) provides that references in the Regulations to the Maritime Industry (Seagoing) Award 1963 and to the Maritime Industry Modem Ships Award 1989 mean those awards as in force at the commencement of the Regulations.
Regulation 3 - Payments that are not taken to be salary
Section 7 of the Act defines the term "salary" to include wages but to exclude any payment that, under the Regulations, is not to be taken as salary for the purposes of the Act.
Regulation 3 lists a number of payments that are not to be taken as salary for the purposes of the Act.
Regulation 4 - Voyage leave multiplier
The amount of grant payable in respect of a particular ship depends in part on the calculation of the term "notional tax liability". Notional tax liability is determined by multiplying "basic tax amount' by "voyage leave multiplier". Voyage leave multiplier is defined in subsection 12(2) of the Act as the multiplier that, under the Regulations, is the voyage leave multiplier applicable to the seafarer berth for the year.
Regulation 4 provides that the voyage leave multiplier applicable to a seafarer berth for a year is 1.926.
Regulation 5 - Prescribed time for application
Paragraph 13(d) of the Act provides that an application for a grant must be given to the Secretary within the prescribed time after the end of the relevant year or within such further time as Secretary allows.
Regulation 5 prescribes a time of 3 months for purposes of paragraph 13(d) of the Act.
Regulation 6 - Certificate of order to repay grant
Section 20 provides that a court may order persons convicted of certain offences to refund the amount of any grant wrongfully obtained. Subsection 20(3) provides that, if the court which orders the refund does not have civil jurisdiction or does not have civil jurisdiction to the extent of the amount to be refunded, an officer of the Court must issue to the Secretary a certificate in the prescribed form containing the prescribed particulars.
Regulation 6 provides that the prescribed form of the certificate is the Form in the Schedule to the Regulations and the prescribed particulars are those specified in that Form.
The Regulations commenced on the date of their notification in the Gazette.
Overview
The International Shipping (Australian-resident Seafarers) Grants Regulations 1996 were enacted to provide detailed implementation of the International Shipping (Australian-resident Seafarers) Grants Act 1995. This legislation was introduced to address the need for a structured system to support employers of Australian-resident seafarers working on certain Australian operated ships, ensuring they receive appropriate grants. The Regulations were issued by the authority of the Minister for Transport and Regional Development, with the overarching policy objective of supporting the maritime industry by providing financial assistance to employers of Australian-resident seafarers. The explanatory statement outlines how the Regulations prescribe various details necessary for the calculation of grant amounts, set specific timelines for application submissions, and provide a standardised form for courts to use when ordering the refund of grants. These measures ensure a consistent and efficient process for the administration of grants under the Act.
Scope and Application
The International Shipping (Australian-resident Seafarers) Grants Act 1995 provides for the payment of grants to employers of Australian-resident seafarers who are employed on certain Australian-operated ships. The Act applies to employers of Australian-resident seafarers in the maritime industry, specifically those who are engaged in international shipping. The Act aims to support the employment of Australian seafarers by providing financial assistance to employers in the form of grants. The Act's application is complemented by the International Shipping (Australian-resident Seafarers) Grants Regulations 1996, which detail the calculation of amounts payable under the Act, the time for the submission of applications for grants, and a form for use in certain circumstances by a court where the court has ordered the refund of a grant. The Regulations also define certain terms and prescribe the voyage leave multiplier applicable to a seafarer berth for a year. The Act applies on a national level, providing support to the maritime industry throughout Australia. The Act does not explicitly state any exclusions, exemptions, or thresholds, but the scope of its application is defined by the specific eligibility criteria outlined in the Act and its Regulations. The application of the Act may be further extended or restricted through subordinate instruments, such as the Regulations, which provide additional details and operational guidelines for the implementation of the Act.
Key Provisions
The International Shipping (Australian-resident Seafarers) Grants Regulations 1996 (Regulations) outline the specifics for administering the grants provided under the International Shipping (Australian-resident Seafarers) Grants Act 1995 (Act). They cover various details necessary for the calculation of amounts payable under the Act, the submission timelines for grant applications, and the form to be used by courts when ordering refunds of grants. The Regulations are divided into several sections, each addressing a specific aspect of the grant process.
Under the Regulations, certain payments are defined as not being considered salary for the purposes of the Act (Regulation 3). This distinction is crucial for calculating the notional tax liability, which in turn affects the amount of the grant payable. The Regulations specify a voyage leave multiplier of 1.926 (Regulation 4) to determine the notional tax liability, a key component in the grant calculation process. Employers must submit their grant applications within three months after the end of the relevant year, or within any further time allowed by the Secretary (Regulation 5). If a court orders a refund of a grant due to wrongful receipt, it must issue a certificate in the prescribed form to the Secretary, detailing the particulars of the order (Regulation 6).
The Regulations impose several obligations on the parties involved. Employers of Australian-resident seafarers must ensure that their applications for grants are submitted within the prescribed timeframe (Regulation 5). They must also accurately calculate the notional tax liability using the specified voyage leave multiplier and exclude any payments that are not considered salary (Regulations 3 and 4). Courts that order a refund of a grant must issue a certificate in the prescribed form to the Secretary, detailing the specifics of the refund order (Regulation 6).
Failure to comply with the provisions of the Regulations can lead to significant consequences. While the explanatory statement does not specify detailed penalties, it is reasonable to infer that non-compliance could result in financial penalties, legal action, or other administrative consequences. For example, incorrect calculations or late submissions might lead to penalties or the denial of grants. Courts ordering refunds must adhere to the prescribed form and particulars, and any failure to comply with these requirements could result in the invalidity of the refund order.