Primary Industries (Services) Levies Act 2024

Administered by Department of Agriculture, Fisheries and Forestry

Legislation au C2024A00057 In force Act

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Primary Industries (Services) Levies Act 2024

No. 57, 2024

 

 

 

 

 

An Act relating to the imposition of primary industries levies that are neither duties of customs nor duties of excise, and for related purposes

 

 

 

Contents

Part 1—Preliminary

1 Short title

2 Commencement

3 Simplified outline of this Act

4 Definitions

5 Crown to be bound

6 Application of this Act in external Territories

Part 2—Levy on the provision of services that facilitate production of products that are produce of a primary industry

7 Imposition of levy

8 Imposition of 2 or more levies

9 Exemptions from levy

Part 3—Rate of levy

10 Rate of levy

11 Components of levy

12 Flexibility in relation to rates of levy

13 Nil or zero rates

Part 4—Levy payer

14 Levy payer

Part 5—Other matters

15 Act does not impose levy on property of a State

16 Net GST not included in price of service or amount paid for service

17 Nominated industry representative bodies and nominated polling bodies

18 Treatment of partnerships

19 Treatment of trusts

20 Treatment of unincorporated bodies or associations

21 Making of regulations

 

 

Primary Industries (Services) Levies Act 2024

No. 57, 2024

 

 

 

An Act relating to the imposition of primary industries levies that are neither duties of customs nor duties of excise, and for related purposes

[Assented to 9 July 2024]

The Parliament of Australia enacts:

Part 1—Preliminary

 

1  Short title

  This Act is the Primary Industries (Services) Levies Act 2024.

2  Commencement

 (1) Each provision of this Act specified in column 1 of the table commences, or is taken to have commenced, in accordance with column 2 of the table. Any other statement in column 2 has effect according to its terms.

 

Commencement information

Column 1

Column 2

Column 3

Provisions

Commencement

Date/Details

1.  The whole of this Act

1 January 2025.

1 January 2025

Note: This table relates only to the provisions of this Act as originally enacted. It will not be amended to deal with any later amendments of this Act.

 (2) Any information in column 3 of the table is not part of this Act. Information may be inserted in this column, or information in it may be edited, in any published version of this Act.

3  Simplified outline of this Act

This Act authorises the regulations to impose a levy on the provision of a specified service that facilitates the production of a specified product that is produce of a primary industry.

The service:

 (a) must involve the use or application of a product that is produce of a primary industry; and

 (b) must be provided on a commercial basis.

In addition to imposing a particular levy, the regulations are to set out:

 (a) any exemptions from the levy; and

 (b) the rate of the levy; and

 (c) the person who is liable to pay the levy (the levy payer).

4  Definitions

  In this Act:

algae means macroalgae, microalgae or cyanobacteria, and includes seaweeds.

algal product means:

 (a) an alga; or

 (b) any part of an alga; or

 (c) anything produced by an alga; or

 (d) anything wholly or principally produced from, or wholly or principally derived from, an alga.

animal means any member, alive or dead, of the animal kingdom (other than a human being).

animal product means:

 (a) an animal; or

 (b) any part of an animal; or

 (c) anything produced by an animal; or

 (d) anything wholly or principally produced from, or wholly or principally derived from, an animal.

aquaculture means propagating, rearing, keeping or breeding aquatic vertebrates or aquatic invertebrates.

fishing means the catching, capturing or harvesting of aquatic vertebrates or aquatic invertebrates.

forest operations means the growing, harvesting or processing of wood.

fungus means any member, alive or dead, of the fungi kingdom, and includes yeasts, mushrooms and truffles.

fungus product means:

 (a) a fungus; or

 (b) any part of a fungus; or

 (c) anything produced by a fungus; or

 (d) anything wholly or principally produced from, or wholly or principally derived from, a fungus.

levy means a levy imposed by regulations made for the purposes of Part 2.

nominated industry representative body means a body determined to be a nominated industry representative body by an instrument in force under subsection 17(1).

nominated polling body means a body determined to be a nominated polling body by an instrument in force under subsection 17(6).

plant means any member, alive or dead, of the plant kingdom.

plant product means:

 (a) a plant; or

 (b) any part of a plant; or

 (c) anything produced by a plant; or

 (d) anything wholly or principally produced from, or wholly or principally derived from, a plant.

produce of a primary industry means products that result from any of the following:

 (a) agriculture or the cultivation of land;

 (b) the maintenance of animals for commercial purposes;

 (c) soilless growing systems, including hydroponics, aeroponics and aquaponics;

 (d) controlled environment cropping, including vertical farming, indoor farming and protected cropping;

 (e) forest operations;

 (f) fishing;

 (g) aquaculture;

 (h) hunting or trapping;

 (i) picking or harvesting from the wild;

 (j) horticulture;

 (k) viticulture;

 (l) the cultivation of fungi or algae;

 (m) any other primary industry activity.

product means an animal product, a plant product, a fungus product or an algal product (whether or not any operations have been performed in relation to the product).

property of any kind belonging to a State: see subsection 15(2).

Secretary means the Secretary of the Department.

5  Crown to be bound

  This Act binds the Crown in right of each of the States, of the Australian Capital Territory and of the Northern Territory. However, it does not bind the Crown in right of the Commonwealth.

6  Application of this Act in external Territories

 (1) Subject to subsection (2), this Act and the regulations do not extend to the external Territories.

 (2) The regulations may extend this Act, and any provisions of the regulations, to an external Territory that is prescribed by the regulations.

Part 2—Levy on the provision of services that facilitate production of products that are produce of a primary industry

 

7  Imposition of levy

 (1) The regulations may impose a levy on the provision of a specified service that facilitates the production of a specified product that is produce of a primary industry.

Note: A service may be specified by name, by inclusion in a specified class, or in any other way.

 (2) Any regulations made for the purposes of subsection (1) must require the service to be one:

 (a) that involves the use or application of a specified product that is produce of a primary industry; and

 (b) that is provided on a commercial basis.

Minister to be satisfied of matters

 (3) Before the Governor‑General makes regulations for the purposes of subsection (1), the Minister must be satisfied that the imposition of the levy will result in one or more of the following:

 (a) expenditure on the marketing, advertising or promotion of products of one or more primary industries;

 (b) expenditure on research and development activities for the benefit of one or more primary industries;

 (c) expenditure on activities, including biosecurity activities, relating to the promotion or maintenance of the health of plants, animals, fungi or algae;

 (d) expenditure on matters relating to a biosecurity response;

 (e) expenditure on activities relating to the National Residue Survey;

 (f) expenditure:

 (i) on any other activity prescribed by the regulations in relation to one or more primary industries; and

 (ii) for the benefit of one or more primary industries.

Duty neither a duty of customs nor a duty of excise

 (4) This section authorises the imposition of a levy only so far as the levy is neither a duty of customs nor a duty of excise within the meaning of section 55 of the Constitution.

8  Imposition of 2 or more levies

  This Part does not prevent the imposition of 2 or more levies, whether in relation to the same service or in relation to different services.

9  Exemptions from levy

  The regulations may provide for exemptions from a levy under this Part.

Part 3—Rate of levy

 

10  Rate of levy

  The rate of a levy is worked out in accordance with the regulations.

11  Components of levy

 (1) The rate of a levy may be expressed to be equal to:

 (a) a single component prescribed by the regulations; or

 (b) the sum of such components as are prescribed by the regulations.

 (2) Subsection (1) does not limit section 10.

12  Flexibility in relation to rates of levy

 (1) Different rates of the same levy may be prescribed by the regulations for different kinds of services.

 (2) Subsection (1) does not limit section 10.

 (3) Subsection (1) does not limit subsection 33(3A) of the Acts Interpretation Act 1901.

13  Nil or zero rates

  The rate of a levy, or a component of the rate of a levy, may be expressed to be:

 (a) nil; or

 (b) zero; or

 (c) $0 or 0 cents per unit of measure; or

 (d) 0% of the sale price of a service.

Part 4—Levy payer

 

14  Levy payer

  A levy is payable by the person worked out in accordance with the regulations.

Part 5—Other matters

 

15  Act does not impose levy on property of a State

 (1) This Act does not authorise the imposition of a tax on property of any kind belonging to a State.

 (2) Property of any kind belonging to a State has the same meaning as in section 114 of the Constitution.

 (3) For the purposes of this section, assume that a reference in section 114 of the Constitution to a State includes a reference to the Australian Capital Territory and the Northern Territory.

16  Net GST not included in price of service or amount paid for service

  Despite section 177‑12 of the A New Tax System (Goods and Services Tax) Act 1999, a reference in the regulations to the price of a service (including sale price or market price), or the amount paid for a service, is taken not to include the net GST (within the meaning of that Act) that is included in that price or amount.

17  Nominated industry representative bodies and nominated polling bodies

Nominated industry representative bodies

 (1) The Minister may, by legislative instrument:

 (a) determine a specified body to be a nominated industry representative body; and

 (b) specify one or more levies in relation to that body.

 (2) If the Minister does so, before regulations are made setting or amending the rate of such a levy:

 (a) if the whole of the rate is specified in relation to the body in accordance with paragraph (3)(a)—the body must be consulted, and may make recommendations to the Minister, about the whole of the rate; or

 (b) if a part or parts of the rate are specified in relation to the body in accordance with paragraph (3)(b)—the body must be consulted, and may make recommendations to the Minister, about that part or parts of the rate.

 (3) The Minister may, in the instrument under subsection (1):

 (a) specify the whole of the rate of a levy in relation to a body for the purposes of paragraph (2)(a); or

 (b) specify a part or parts of the rate of a levy in relation to a body for the purposes of paragraph (2)(b).

 (4) A nominated industry representative body must, before making a recommendation referred to in paragraph (2)(a) or (b), consult the bodies (if any) specified in relation to the body under subsection (5).

 (5) The Minister may, in the instrument under subsection (1), specify bodies in relation to a nominated industry representative body for the purposes of subsection (4).

Nominated polling bodies

 (6) The Minister may, by legislative instrument:

 (a) determine a specified body to be a nominated polling body; and

 (b) specify one or more levies in relation to that body.

 (7) If the Minister does so, before regulations are made setting or amending the rate of such a levy:

 (a) if the whole of the rate is specified in relation to the body in accordance with paragraph (8)(a)—the body must be consulted, and may make recommendations to the Minister, about the whole of the rate; or

 (b) if a part or parts of the rate are specified in relation to the body in accordance with paragraph (8)(b)—the body must be consulted, and may make recommendations to the Minister, about that part or parts of the rate.

 (8) The Minister may, in the instrument under subsection (6):

 (a) specify the whole of the rate of a levy in relation to a body for the purposes of paragraph (7)(a); or

 (b) specify a part or parts of the rate of a levy in relation to a body for the purposes of paragraph (7)(b).

 (9) A nominated polling body must, before making a recommendation referred to in paragraph (7)(a) or (b), ensure a poll is conducted in accordance with the requirements specified under subsection (10). The recommendation must be in accordance with the results of the poll.

 (10) The Minister may, in the instrument under subsection (6), specify requirements that are for, or in relation to, the conduct of a poll for the purposes of subsection (9).

18  Treatment of partnerships

 (1) This Act and the regulations apply to a partnership as if it were a person, but with the changes set out in this section.

 (2) An obligation that would otherwise be imposed on the partnership by this Act or the regulations is imposed on each partner instead, but may be discharged by any of the partners.

 (3) If this Act or the regulations would otherwise permit something to be done by the partnership, the thing may be done by one or more of the partners on behalf of the partnership.

 (4) For the purposes of this Act and the regulations, a change in the composition of a partnership does not affect the continuity of the partnership.

19  Treatment of trusts

 (1) This Act and the regulations apply to a trust as if it were a person, but with the changes set out in this section.

Trusts with a single trustee

 (2) If the trust has a single trustee:

 (a) an obligation that would otherwise be imposed on the trust by this Act or the regulations is imposed on the trustee instead; and

 (b) if this Act or the regulations would otherwise permit something to be done by the trust, the thing may be done by the trustee.

Trusts with multiple trustees

 (3) If the trust has 2 or more trustees:

 (a) an obligation that would otherwise be imposed on the trust by this Act or the regulations is imposed on each trustee instead, but may be discharged by any of the trustees; and

 (b) if this Act or the regulations would otherwise permit something to be done by the trust, the thing may be done by one or more of the trustees on behalf of the trust.

20  Treatment of unincorporated bodies or associations

 (1) This Act and the regulations apply to an unincorporated body or association as if it were a person, but with the changes set out in this section.

 (2) An obligation that would otherwise be imposed on the body or association by this Act or the regulations is imposed on each member of the body’s or association’s committee of management instead, but may be discharged by any of the members.

 (3) If this Act or the regulations would otherwise permit something to be done by the body or association, the thing may be done by one or more of the members of the body’s or association’s committee of management on behalf of the body or association.

21  Making of regulations

 (1) The Governor‑General may make regulations prescribing matters:

 (a) required or permitted by this Act to be prescribed by the regulations; or

 (b) necessary or convenient to be prescribed for carrying out or giving effect to this Act.

Consultation—setting or amending the rate of a levy

 (2) Before regulations are made setting or amending the rate of a levy, the Minister must be satisfied that in relation to the proposed regulations:

 (a) if one or more nominated industry representative bodies must be consulted about the proposed regulations in accordance with section 17:

 (i) the consultation has occurred; and

 (ii) if, in accordance with that section, such a body makes a recommendation to the Minister about the rate—the rate does not exceed the rate so recommended; and

 (b) if a nominated polling body must be consulted about the proposed regulations in accordance with section 17:

 (i) the consultation has occurred; and

 (ii) if, in accordance with that section, the body makes a recommendation to the Minister about the rate—the rate does not exceed the rate so recommended; and

 (c) if neither a nominated industry representative body nor a nominated polling body must be consulted about the proposed regulations:

 (i) appropriate consultation has been undertaken about the proposed regulations with bodies and persons involved in the industry in relation to the levy; and

 (ii) any recommendations made by those bodies or persons about the rate have been considered.

Note: For consultation requirements generally, see section 17 (consultation) of the Legislation Act 2003.

 (3) The fact that consultation referred to in subsection (2) does not occur does not affect the validity or enforceability of the regulations.

Other instruments

 (4) The regulations may make provision in relation to a matter by conferring on the Minister or the Secretary a power to make a legislative instrument.

Incorporation of other instruments

 (5) Despite subsection 14(2) of the Legislation Act 2003, the regulations may make provision in relation to a matter by applying, adopting or incorporating, with or without modification, any matter contained in an instrument or other writing as in force or existing from time to time.

No limit on subsection (1)

 (6) Subsections (4) and (5) do not limit subsection (1).

 

 

 

 

[Minister’s second reading speech made in—

House of Representatives on 18 October 2023

Senate on 16 November 2023]

 

(126/23)

 

Overview

The Primary Industries (Services) Levies Act 2024 was enacted by the Parliament of Australia to address a gap in the regulatory framework concerning the imposition of levies on services that facilitate the production of products derived from primary industries, such as agriculture, forestry, fishing, and aquaculture. This Act ensures that these levies are neither duties of customs nor duties of excise, as defined under the Constitution. It provides a structured approach to imposing levies on commercial services that use or apply products from primary industries, with the primary policy objective of generating funds for marketing, research and development, biosecurity, and other activities beneficial to the primary industries. The Act empowers the regulations to determine the specifics of these levies, including the rate, exemptions, and levy payers, while also ensuring that the levies do not infringe upon the property rights of the states as outlined in the Constitution.

Scope and Application

The Primary Industries (Services) Levies Act 2024 applies to the imposition of levies on the provision of services that facilitate the production of products that are produce of a primary industry. The Act, which commenced on 1 January 2025, applies to all services that involve the use or application of a product that is a produce of a primary industry and are provided on a commercial basis. The Act binds the Crown in right of each of the States, of the Australian Capital Territory and of the Northern Territory, but it does not bind the Crown in right of the Commonwealth. The Act does not extend to the external Territories, but the regulations may extend the Act to an external Territory that is prescribed by the regulations. The Act authorises the imposition of levies through regulations, which must be made after the Minister is satisfied that the imposition of the levy will result in specified expenditures beneficial to one or more primary industries. The regulations can also set out exemptions from the levy, the rate of the levy, and the person who is liable to pay the levy. The Act does not impose a levy on property of any kind belonging to a State and does not include the net GST in the price of a service or the amount paid for a service. The Act extends to partnerships, trusts, and unincorporated bodies or associations with certain modifications and includes provisions for the consultation of nominated industry representative bodies and nominated polling bodies before setting or amending the rate of a levy.

Key Provisions

The Primary Industries (Services) Levies Act 2024, referred to as the Act, establishes the framework for imposing levies on services that facilitate the production of products derived from primary industries. The Act commences in its entirety on 1 January 2025. It authorises the imposition of a levy on services that involve the use or application of a specified product from a primary industry and are provided on a commercial basis (sections 7(1) and 7(2)). The levy must be implemented through regulations, and the Minister must be satisfied that the levy will fund activities such as marketing, research and development, and biosecurity (section 7(3)). The Act allows for multiple levies on the same or different services (section 8), and regulations can specify exemptions from these levies (section 9). The Act imposes specific obligations on the parties governed by it. The rate of the levy is determined by the regulations, which can specify different rates for different services (sections 10, 11, and 12). The levy can include various components and can be set at nil, zero, or a specific monetary amount (sections 10, 11, 12, and 13). The person liable to pay the levy is determined by the regulations (section 14). Additionally, the Act clarifies that it does not authorise levies on state property and that references to service prices in regulations do not include the net GST (sections 15 and 16). The Act also provides specific provisions for nominated industry representative bodies and nominated polling bodies, which must be consulted before regulations are made to set or amend the rate of a levy (section 17). Consultation requirements ensure that recommendations from these bodies are considered, although the failure to consult does not affect the validity of the regulations (section 21(2)). Breaches of the Act or its regulations can result in various civil and criminal consequences. While the Act does not specify particular offences or penalties, any contravention of regulations made under the Act could lead to penalties as prescribed in those regulations. Given that the Act is designed to fund critical activities for primary industries, non-compliance could potentially result in financial penalties, legal actions, or other enforcement measures as outlined in the relevant regulations. The Act's provisions ensure that levies are imposed in a manner that supports the objectives of the primary industries sector.

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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.