Private Health Insurance (ACAC Review Levy) Act 2003

Legislation au C2004A01155 Not in force Act

Legislation content

 

 

 

 

 

 

Private Health Insurance (ACAC Review Levy) Act 2003

 

No. 70, 2003

 

 

 

 

 

An Act to impose a levy to be known as the ACAC review levy on registered health benefits organizations, and for related purposes

 

 

 

Contents

1 Short title

2 Commencement

3 Crown to be bound

4 Extension of Act to external Territories

5 Definitions

6 Imposition of ACAC review levy

7 Rate of ACAC review levy

8 Minister to obtain advice from Council

9 Validation of ACAC review levy

10 Regulations

 

 

 

Private Health Insurance (ACAC Review Levy) Act 2003

No. 70, 2003

 

 

 

An Act to impose a levy to be known as the ACAC review levy on registered health benefits organizations, and for related purposes

[Assented to 15 July 2003]

The Parliament of Australia enacts:

1  Short title

  This Act may be cited as the Private Health Insurance (ACAC Review Levy) Act 2003.

2  Commencement

  This Act commences on 1 July 2004.

3  Crown to be bound

  This Act binds the Crown in each of its capacities.

4  Extension of Act to external Territories

  This Act extends to the Territory of Cocos (Keeling) Islands and to the Territory of Christmas Island.

5  Definitions

  In this Act, unless the contrary intention appears:

ACAC means an Acute Care Advisory Committee established under section 3B of the Health Insurance Act 1973.

ACAC review levy means an ACAC review levy imposed under section 6.

ACAC review levy day means an ACAC review levy day specified in the regulations made for the purposes of section 6.

Council has the same meaning as in the National Health Act.

National Health Act means the National Health Act 1953.

registered health benefits organization has the same meaning as in the National Health Act.

supplementary ACAC review levy day means a supplementary ACAC review levy day specified in a determination by the Minister under section 6.

6  Imposition of ACAC review levy

 (1) ACAC review levy is imposed on each registered health benefits organization:

 (a) on each day specified in the regulations as an ACAC review levy day for a financial year; and

 (b) on each day (if any) determined in writing by the Minister as a supplementary ACAC review levy day for a financial year.

 (2) The regulations must not specify more than 4 levy days for a financial year.

 (3) The determination by the Minister must not specify more than 2 supplementary levy days for a financial year.

 (4) A determination under paragraph (1)(b) is a disallowable instrument for the purposes of section 46A of the Acts Interpretation Act 1901.

7  Rate of ACAC review levy

 (1) The rate of ACAC review levy imposed on a particular day is worked out using the following table:

 

Rate of ACAC review levy

Item

The rate of levy imposed on…

is the rate that…

1

an ACAC review levy day

(a) is specified in the regulations; and

(b) applies on that day.

2

a supplementary ACAC review levy day

(a) is determined in writing by the Minister; and

(b) applies on that day.

 

 (2) The rate of levy:

 (a) must be based on the number of contributors who contribute to the health benefits fund conducted by the registered health benefits organization on:

 (i) for levy imposed on an ACAC review levy day—the day specified in the regulations as the census day for the levy day; or

 (ii) for levy imposed on a supplementary ACAC review levy day—the day determined in writing by the Minister as the census day for the supplementary levy day; and

 (b) may be different for:

 (i) contributors who contribute in respect of one person to the health benefits fund conducted by the organization; and

 (ii) contributors who contribute in respect of more than one person to the health benefits fund conducted by the organization; and

 (c) may be set at zero but must not exceed:

 (i) for contributors who contribute in respect of one person to the health benefits fund conducted by the organization—a total of 50 cents for a financial year; and

 (ii) for contributors who contribute in respect of more than one person to the health benefits fund conducted by the organization—a total of $1.00 for a financial year.

 (3) A determination under item 2 of the table in subsection (1) or subparagraph (2)(a)(ii) is a disallowable instrument for the purposes of section 46A of the Acts Interpretation Act 1901.

8  Minister to obtain advice from Council

  Before making a determination under section 6, item 2 of the table in subsection 7(1) or subparagraph 7(2)(a)(ii), the Minister must obtain, and take into account, advice from the Council in relation to the following matters:

 (a) whether to make a determination under section 6;

 (b) the day that is to be, or the days that are to be, specified as the supplementary ACAC review levy day or days for a financial year;

 (c) the rate that is to be specified as the rate of ACAC review levy imposed on the supplementary ACAC review levy day or days;

 (d) the day that is to be, or the days that are to be, specified as the census day or days for the supplementary ACAC review levy day or days.

9  Validation of ACAC review levy

 (1) This section applies to each amount that the Council purported before 1 July 2004 to impose as levy on a registered organization on a particular date under subparagraph 82G(1)(h)(ii) of the National Health Act.

 (2) By force of this section, ACAC review validation levy of an equal amount is taken to have been imposed on the organization on that date.

 (3) The amount of ACAC review validation levy for which the organization is liable is:

 (a) reduced by the sum of the amounts the organization paid on account of the levy the Council purported to impose under subparagraph 82G(1)(h)(ii) of the National Health Act; and

 (b) increased by so much of the sum of those amounts as the organization recovers from the Council.

 (4) Amounts paid by an organization on account of levies that the Council purported to impose under subparagraph 82G(1)(h)(ii) of the National Health Act are taken to be applied to the ACAC review validation levies in the order in which the Council purported to impose the levies.

10  Regulations

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

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

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

 (2) Before the Governor‑General makes regulations under subsection (1), the Minister must take into consideration any relevant recommendation made to the Minister by the Council.

 

 

[Minister’s second reading speech made in—

House of Representatives on 26 March 2003

(37/03)

Senate on 23 June 2003]

Overview

The Private Health Insurance (ACAC Review Levy) Act 2003 was enacted by the Parliament of Australia to address a specific financial responsibility related to the operations of the Acute Care Advisory Committee (ACAC). The Act imposes a levy known as the ACAC review levy on registered health benefits organizations, which are defined under the National Health Act 1953. The primary purpose of the Act is to provide a mechanism for the levy's imposition, specify the rate of the levy, and outline the process for obtaining advice from the Council, as defined in the National Health Act, before making determinations regarding the levy. The Act also includes provisions for the validation of certain levies imposed prior to its enactment. The levy is designed to fund activities related to the review and assessment functions of the ACAC, ensuring that these critical functions receive adequate financial support. The Act extends its application to the Territory of Cocos (Keeling) Islands and the Territory of Christmas Island, and it binds the Crown in each of its capacities. The rate of the ACAC review levy is determined based on the number of contributors to the health benefits fund conducted by the registered health benefits organization, with specific maximum limits set for different categories of contributors. The levy days, both regular and supplementary, are specified through regulations and ministerial determinations, with strict limits on the number of such days allowed in a financial year. The Act ensures that the Minister must seek and consider advice from the Council before making certain determinations, and it provides for the validation of levies imposed before the Act's commencement. This comprehensive legislative framework aims to establish a clear and effective process for funding the ACAC's essential functions.

Scope and Application

The Private Health Insurance (ACAC Review Levy) Act 2003 applies to registered health benefits organizations, imposing a levy known as the ACAC review levy on these entities. The Act binds the Crown and extends to the Territory of Cocos (Keeling) Islands and the Territory of Christmas Island. The levy is imposed on registered health benefits organizations, with the rate based on the number of contributors to the health benefits fund conducted by the organization. The Minister must consider advice from the Council before making certain determinations, and the Act includes provisions for the validation of levies imposed before its commencement. The Act also allows for the creation of regulations to prescribe matters necessary for its implementation, with the Minister required to consider Council recommendations before making such regulations. The Act's scope is limited to Commonwealth jurisdiction, with no explicit exclusions or thresholds mentioned in the provided text.

Key Provisions

The Private Health Insurance (ACAC Review Levy) Act 2003 (sections 6 and 7) establishes an ACAC review levy imposed on registered health benefits organisations. The levy is applied on certain specified days, termed "ACAC review levy days" (section 6(1)(a)) and any additional days determined by the Minister, referred to as "supplementary ACAC review levy days" (section 6(1)(b)). Regulations limit the number of ACAC review levy days to a maximum of four per financial year, while the Minister can determine up to two supplementary ACAC review levy days per financial year (sections 6(2) and 6(3)). The rate of the levy is based on the number of contributors to the health benefits fund on a specified census day, which can vary depending on whether the contributor covers one person or more than one person, with maximum annual limits of 50 cents and $1.00 respectively (section 7). The Act imposes several obligations on registered health benefits organisations, including compliance with the levy imposition on specified days (section 6) and adherence to the prescribed rates based on contributor numbers (section 7). The Minister must consult the Council before making any determinations regarding supplementary ACAC review levy days, rates, or census days (section 8). Additionally, the Act validates any previous levies imposed by the Council before the Act's commencement, adjusting the liability of the organisations based on amounts previously paid and any subsequent recoveries from the Council (section 9). Breaches of the provisions outlined in this Act may result in various consequences. Although the Act does not explicitly detail specific penalties, non-compliance with the regulatory requirements could potentially lead to enforcement actions under related legislation, such as the Acts Interpretation Act 1901, which classifies certain determinations as disallowable instruments (sections 6(3) and 7(3)). Failure to meet the specified obligations could therefore attract penalties as prescribed under the broader legislative framework governing administrative and fiscal compliance. This Act also mandates the Minister to consider recommendations from the Council when making regulations necessary for implementing the Act (section 10(2)). The Act’s provisions are designed to ensure that the levy is applied fairly and in accordance with prescribed guidelines, with any previous levies validated and adjusted as necessary. The Act’s regulatory framework, therefore, seeks to maintain transparency and accountability in the imposition and collection of the ACAC review levy.

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Taxation Law
Instrument
Act
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Definitions & Interpretation
Imposition of ACAC review levy
Rate of ACAC review levy
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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.