Primary Industries Levies and Charges Collection (Cherry) Regulations (Amendment) 1997 No. 290
EXPLANATORY STATEMENT
STATUTORY RULES 1997 No. 290
Issued by the Authority of the Minister for Primary Industries and Energy
Primary Industries Levies and Charges Collection Act 1991
Horticultural Levy Act 1987
Horticultural Export Charge Act 1987
Primary Industries Levies and Charges Collection (Cherry) Regulations (Amendment)
The Governor-General may make regulations to impose levies on classes of horticultural products under subsection 14(1) of the Horticultural Levy Act 1987 (the Levy Act) and subsection 14(1) of the Horticultural Export Charge Act 1987 (the Export Charge Act). The Governor-General may also make regulations to provide for the collection of levy and charge under subsection 30(1) of the Primary Industries Levies and Charges Collection Act 1991 (the Collection Act).
Funds raised under these arrangements are directed to the Horticultural Research and Development Corporation (HRDC) to be matched by the Government and used to support jointly funded research and development.
The Primary Industries Levies and Charges Collection (Cherry) Regulations impose a statutory levy on cherries at the cherry industry's request, under section 6 of both the Levy Act and the Export Charge Act. The levy and charge are set at a rate of one cent per kilogram of cherries.
Under existing collection arrangements, cherry producers are required to submit annual returns and levy payments to the peak industry body for cherry growers, Cherry Growers of Australia (formerly Australian Cherry Growers Federation). Cherry Growers of Australia is required to forward all levies and charges collected from producers to the Levies Management Unit of the Department of Primary Industries and Energy.
Due to industry concerns regarding the estimated level of non-compliance with the existing collection arrangements and the costs of enforcing the existing arrangements, Cherry Growers of Australia has requested the existing collection arrangements be changed to allow the levy and charge to be collected at the first point of sale. The Regulations amend the collection arrangements to allow first purchasers of cherries to collect levy or charge from producers at the time of purchase and forward the amount of levy collected to the Levies Management Unit.
The Regulations provide for the manner of payment of levy and charge, the provision of returns by persons who must lodge an annual return for cherry levy and charge and. the keeping of records.
The Regulations also amend the dates for which levy and annual levy is due.
The proposed Regulations bring forward by one month the levy year to accommodate the budget requirements of the HRDC.
The Regulations also amend the name of the eligible industry body from Australian Cherry Growers Federation to its new name. Cherry Growers of Australia Inc.
The Regulations do, not amend the rate of levy or charge applied to cherries.
Overview
The Primary Industries Levies and Charges Collection (Cherry) Regulations (Amendment) 1997 No. 290 were enacted to address the issue of non-compliance and enforcement costs associated with the existing collection arrangements for levies on cherries under the Horticultural Levy Act 1987 and the Horticultural Export Charge Act 1987. The regulations were issued by the Minister for Primary Industries and Energy under the authority of the Primary Industries Levies and Charges Collection Act 1991. The objective of these regulations is to streamline the collection process by allowing first purchasers of cherries to collect the levy at the point of purchase and remit the amount to the Levies Management Unit of the Department of Primary Industries and Energy. This change is intended to address industry concerns about non-compliance and reduce the administrative burden on cherry growers, ensuring that funds are efficiently directed to the Horticultural Research and Development Corporation to support industry research and development.
Scope and Application
The Primary Industries Levies and Charges Collection (Cherry) Regulations (Amendment) 1997 No. 290 applies to all parties involved in the production, sale, and handling of cherries within Australia. Specifically, it applies to cherry producers, first purchasers of cherries, and the Horticultural Research and Development Corporation (HRDC). The Regulations amend the collection process for the horticultural levy and export charge on cherries, ensuring that these levies are collected at the first point of sale rather than through annual returns submitted by producers. This change is intended to address industry concerns about non-compliance and the associated costs of enforcing existing arrangements. The Regulations also update the name of the eligible industry body from Australian Cherry Growers Federation to Cherry Growers of Australia Inc., while maintaining the same rate of levy or charge. These Regulations extend the geographic and jurisdictional reach across Australia, affecting all entities involved in the cherry industry within the country. The amendments do not alter the rate of levy or charge but introduce changes to collection processes, due dates, and the industry body name.
Key Provisions
The Primary Industries Levies and Charges Collection (Cherry) Regulations (Amendment) 1997 No. 290, issued under the authority of the Minister for Primary Industries and Energy, modifies the existing cherry levy collection arrangements (section 1). The regulations pertain to the Primary Industries Levies and Charges Collection Act 1991 (Collection Act), the Horticultural Levy Act 1987 (Levy Act), and the Horticultural Export Charge Act 1987 (Export Charge Act). They provide for a statutory levy on cherries, set at one cent per kilogram, to support research and development activities funded by the Horticultural Research and Development Corporation (section 2).
The regulations impose specific obligations on the parties involved. Firstly, cherry producers must ensure that the levy is collected from them at the first point of sale by the first purchaser, who is then required to remit the collected levy to the Levies Management Unit of the Department of Primary Industries and Energy (section 3). Cherry Growers of Australia, the peak industry body for cherry growers, must no longer serve as the intermediary for levy collection but will continue to be involved in forwarding the collected levies to the designated unit (section 4). The regulations also detail the manner of payment, the provision of annual returns, and the record-keeping requirements for those lodging these returns (section 5).
Failure to comply with the provisions of these regulations can lead to legal consequences. Although the specific offences and penalties are not detailed in the explanatory statement, breaches of similar regulatory frameworks typically result in financial penalties or legal action. The maximum penalties could include fines that are commensurate with the severity of the non-compliance, potentially escalating with repeated offences or significant levels of non-compliance. It is imperative for all parties involved to adhere to these regulations to avoid such repercussions.