Overview

The explanatory statement pertains to an Instrument made under the Migration Regulations 1994, specifically addressing the waiver or refund of credit card surcharges in particular circumstances. Enacted to comply with paragraphs 5.43(4)(a) and 5.43(4)(c) of the Regulations, the Instrument aims to ensure that credit card surcharges are waived or refunded for clients paying in local currency using a credit card in Singapore and New Zealand, where local financial laws do not permit the application of such surcharges. This was introduced by the Minister under the authority granted by the Migration Act 1958, and the policy objective is to align with international financial regulations and provide fairness to clients. The Instrument, which operates to specify the waiver or refund of credit card surcharges for local currency credit card payments in Singapore and New Zealand, was exempt from disallowance under section 44 of the Legislative Instruments Act 2003, and no Human Rights Statement of Compatibility was required as advised by the Office of Best Practice Regulation. The Instrument commenced on 19 April 2014, following the commencement of the Migration Amendment (Credit Card Surcharge) Regulation 2014.

Scope and Application

The explanatory statement outlines an Instrument made under the Migration Regulations 1994, specifically targeting the circumstances in which a credit card surcharge may be waived or refunded. This regulation applies to clients who are making payments in local currency using a credit card in Singapore or New Zealand. The objective of this legislative instrument is to ensure that any credit card surcharges, which are impermissible under local financial laws in these jurisdictions, are neither applied nor retained. The instrument specifies that the Minister must waive such surcharges, as mandated by paragraph 5.43(4)(a), or refund them, as specified in paragraph 5.43(4)(c). This measure aligns with the existing provisions of the Migration Regulations and does not require extensive consultation or a Regulatory Impact Statement, given its minor nature and minimal impact on existing arrangements. The Instrument exempts itself from disallowance and does not necessitate a Human Rights Statement of Compatibility, as advised by the Office of Best Practice Regulation. It commenced on 19 April 2014, aligning with the commencement of the Migration Amendment (Credit Card Surcharge) Regulation 2014.

Key Provisions

The Migration Regulations 1994, as amended, include provisions under subregulation 5.43(4) that allow the Minister to specify circumstances where a credit card surcharge is waived or refunded (paragraphs 5.43(4)(a) and 5.43(4)(c)). This legislative instrument clarifies these provisions by specifying that any credit card surcharge must be waived or refunded for clients who pay in local currency using a credit card in Singapore or New Zealand. This is because local financial laws in these countries do not permit the application of such surcharges. This legislation imposes specific obligations on the Minister and relevant entities to ensure that the specified credit card surcharges are neither applied nor collected from clients making payments in local currency using credit cards in Singapore and New Zealand. The primary obligation is to waive or refund any credit card surcharge that might otherwise be applicable to these transactions. There are no explicit offences or penalties outlined within this instrument for non-compliance, as it primarily serves to clarify existing regulatory provisions. However, failure to comply with the requirements set out in the Migration Regulations 1994 could potentially lead to administrative or legal consequences under the broader framework of the Act. The maximum penalties for breaches of the Migration Act 1958 could apply, depending on the nature and severity of the non-compliance, but these are not detailed specifically within this instrument. The instrument is of a minor nature and exempt from disallowance, which means it does not require extensive regulatory impact assessments or human rights compatibility statements.