EXPLANATORY STATEMENT

Migration Regulations 1994

CIRCUMSTANCES IN WHICH A CREDIT CARD SURCHARGE IS WAIVED OR REFUNDED

(Paragraphs 5.43(4)(a) and 5.43(4)(c))

1. This Instrument is made under paragraphs 5.43(4)(a) and 5.43(4)(c) of the Migration Regulations 1994 (‘the Regulations’).

2.                  Subregulation 5.43(4) of the Regulations provides that the Minister may specify, in a legislative instrument, circumstances in which a credit card surcharge is waived or refunded. Paragraph 5.43(4)(a) specifies that the Minister must waive a credit card surcharge and paragraph 5.43(4)(c) specifies that the Minister must refund a credit card surcharge.

3.                  The purpose of the Instrument is to specify that clients paying in local currency using a credit card in Singapore and New Zealand must have any credit card surcharge waived or refunded.

4.                  The instrument operates to specify that clients paying in local currency using a credit card in Singapore or New Zealand must have any credit card surcharge waived or refunded. Local financial laws do not allow for the application of a credit card surcharge for payments of this type.

5. Under subsection 18(1) of the Legislative Instruments Act 2003 consultation was not necessary.  The Instrument is of a minor or machinery nature and does not substantially alter existing arrangements.

6. The Office of Best Practice Regulation has advised that a Regulatory Impact Statement is not required (OBPR Reference 16812).

7. Under section 44 of the Legislative Instruments Act 2003 the Instrument is exempt from disallowance and therefore a Human Rights Statement of Compatibility is not required.

8. The instrument commences on 19 April 2014, immediately after the commencement of Migration Amendment (Credit Card Surcharge) Regulation 2014.