Overseas Students Charge Collection Regulations (Amendment)

Legislation au C2004L00511 Regulations Not in force Legislative Instrument

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EXPLANATORY STATEMENT

STATUTORY RULES 1986 No. 380

OVERSEAS STUDENTS CHARGE COLLECTION REGULATIONS (AMENDMENT)

ISSUED BY THE AUTHORITY OF THE MINISTER FOR EDUCATION

Section 9 of the Overseas Students Charge Collection Act 1979 provides that the Governor-General may make regulations for matters necessary or convenient to be prescribed and to provide for exemption from, and remission of, the charge and payment of refunds of the charge.

Decisions made by the government in the 1986/87 Budget were implemented by amendments made to the Principal Act by the Overseas Students Charge Collection Amendment Act 1986. These amendments to the Principal Act which include the transfer to the Act of provisions previously in the regulations, have made it necessary to appropriately amend the regulations to reflect and reference these changes. Amendments to correct anomalies and to remove redundant provisions have also been made.

Regulation 1 provides for the new amendments to come into operation on 22 December 1986.

Regulation 2 deals with citation.

Regulation 3 amends regulation 4 of the Principal Regulations by omitting all reference to charge exemption categories and conditions with the exception of those relating to permanent residents of the Territory of Norfolk Island (para (1) (k)) and permanent residents of the Territory of Cocos (Keeling) Islands (para (1)(m)). Sub-section 4A(1) of the Principal Act, as amended by the Overseas Students Charge Collection Amendment Act 1986, now makes provision for certain students to be exempted from the charge.

Paragraphs (1)(a) and (1)(b) are omitted as a consequence of the government’s announcement in the 1986/87 Budget that the charge exemption provision is to be withdrawn for a postgraduate scholarship student who commences a course of study from 1 January 1987, and for all Australian-American Educational Foundation postgraduate scholarship students, as from 1 January 1987.

Paragraphs (1) (l) and (1)(n) are omitted as their exemption provisions are now redundant. A permanent resident of the Territory of Christmas Island now has permanent resident status in Australia, under section 5 A of the Migration Act 1958, and is consequently not liable for the charge. All masters degree course students who commenced their qualifying course between 1 January and 1 October 1979, who qualified for exemption under paragraph (1)(n), will by now have completed the course.

Paragraph (a) replaces paragraph (a) of sub-regulation 4(1) of the Principal Regulations to exempt from the charge a New Zealand national, who is a diplomatic or consular representative of New Zealand, a member of the staff of such a representative or the spouse or dependant relative of such a representative, who undertakes a university or advanced education course or a technical and further education course.


As from 1 January 1987 all diplomatic staff and their dependants, as defined by paragraph 8(1)(b) of the Migration Act 1958, will become liable for the relevant charge, if they undertake a tertiary course of study, under the provision of paragraph (c) of the definition of “overseas student” in sub-section 4(1) of the Overseas Student Charge Act 1979, as amended by the Overseas Students Charge Amendment Act 1986.

New Zealand nationals, other than those coming within the definition of paragraph 8(1)(b) of the Migration Act 1958, will continue not to be liable for the charge at all levels of study.

To impose the charge on New Zealand diplomats and their dependants would be inconsistent with the exclusion of other New Zealand nationals from payment of the overseas students charge.

Regulation 4 amends regulation 5 of the Principal Regulations as follows:

 by extending the charge refund provisions of sub-regulation (1) to a student who is granted an entry permit other than a temporary entry permit within 6 weeks of the commencement of the course; previously under this provision only students who withdrew from a course within 6 weeks, qualified for refund of the charge;

 by omitting reference to regulation 7 of the Principal Regulation, which is withdrawn.

 by omitting the charge refund provision in sub-regulation (4) for a postgraduate student who obtains a scholarship within 6 weeks of commencement of the course, or otherwise, before the expiration of 6 months of the course; this provision is now redundant as only a postgraduate student who was awarded a scholarship and commenced the course before 1 January 1987 is exempt from the charge under paragraph (a) of sub-section 4A(1) of the Principal Act.

Regulation 5 amends regulation 6 of the Principal Regulations by omitting sub-regulation (2), removing the requirement for an application for refund, under the provisions of sub-regulation 5(1), to be lodged with the Secretary within 30 days of withdrawal from the course. It is considered that there should be no restriction in time on the lodgement of an application for refund under sub-regulation 5(1), as is the case for an application for refund under sub-regulation 5(2).

Regulation 6 repeals regulation 7 of the Principal Regulations and by so doing removes the current restriction on the refund of the charge while the student is in Australia. This provision previously only applied to a student to whom an entry permit other than a temporary entry permit had been issued. It is considered equitable that students who qualify for refund should have access to these funds as soon as possible after withdrawing from a course.

Regulation 7 amends regulation 8 of the Principal Regulations to provide remission of the charge for a student who obtains permanent residence within 6 weeks of the commencement of the course, under the same conditions as has been provided for a student who withdraws from the course within the same period.

Overview

The Overseas Students Charge Collection Regulations (Amendment) Statutory Rules 1986 No. 380, issued under the authority of the Minister for Education, were enacted to align the regulations with the amendments introduced by the Overseas Students Charge Collection Amendment Act 1986. These amendments were necessary to reflect the changes in the Principal Act, which included the transfer of certain provisions from the regulations and to correct anomalies and remove redundant provisions. The objective of these amendments is to ensure that the regulations accurately reflect the current legislative framework and to streamline the application of the Overseas Students Charge by updating the criteria for exemptions, refunds, and remissions. The regulations came into effect on 22 December 1986, with specific changes including adjustments to exemption categories, refund provisions, and the removal of outdated or redundant regulatory content.

Scope and Application

The Overseas Students Charge Collection Regulations (Amendment) Statutory Rules 1986 No. 380, issued under the authority of the Minister for Education, pertains to the regulations governing the collection of the Overseas Students Charge under the Overseas Students Charge Collection Act 1979. These regulations apply to overseas students, including those from New Zealand, who are undertaking courses of study in Australia. The amendments and updates reflect changes introduced by the Overseas Students Charge Collection Amendment Act 1986, including the removal of certain exemptions and modifications to refund provisions. The regulations affect students who commence their courses from 1 January 1987 and adjust the scope of those exempt from the charge, particularly withdrawing exemptions for postgraduate scholarship students and altering provisions for New Zealand diplomatic staff. The amendments also update refund processes, extending eligibility and removing certain time restrictions on refund applications. The changes are designed to align the regulations with the current legislative framework and to address practical issues identified in the implementation of the charge.

Key Provisions

The key operative sections of the Overseas Students Charge Collection Regulations (Amendment) (C2004L00511) include Regulation 3, which modifies the categories of overseas students exempt from the Overseas Students Charge (OSC). Specifically, Regulation 3 omits certain exemptions such as those for postgraduate scholarship students and students from the Territory of Christmas Island, aligning the regulations with recent legislative changes. Regulation 4 extends the charge refund provisions to students who are granted an entry permit other than a temporary entry permit within six weeks of the course commencement, thus broadening the scope of eligibility for refunds. Regulation 5 removes the time restriction on the lodgement of refund applications, allowing greater flexibility for students seeking refunds. Finally, Regulation 6 repeals Regulation 7, which previously restricted refunds for students still in Australia, ensuring that eligible students can access refunds promptly. The obligations imposed by these regulations on parties such as educational institutions and students are primarily administrative. Educational institutions must ensure that the correct charges are applied to students based on the amended exemptions and refund provisions. Students, in turn, must be aware of the eligibility criteria for exemptions and refunds as these have been altered. For instance, New Zealand nationals who are diplomatic or consular representatives or their dependants now become liable for the OSC if they undertake a tertiary course of study. Conversely, New Zealand nationals who do not fall under the diplomatic or consular category remain exempt. The regulations also establish clear consequences for non-compliance with the provisions outlined. While specific offences and penalties are not detailed within the text, breaches of the amended regulations could potentially lead to administrative penalties. For example, educational institutions may face financial penalties for incorrectly applying the OSC to exempt students or failing to provide refunds to eligible students. Similarly, students who fail to meet the eligibility criteria for refunds could be denied the financial relief intended by the regulations. In summary, these regulations serve to update the Overseas Students Charge Collection Regulations to reflect legislative changes, broaden refund eligibility, and remove unnecessary administrative burdens. Educational institutions and students alike must adapt to these changes to ensure compliance and to benefit from the amended provisions. While the specific penalties for non-compliance are not detailed in the provided text, the regulations underscore the importance of accurate application and adherence to the updated criteria.

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Sourced from the Federal Register of Legislation at 26 August 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au.