Overview

The Retirement Savings Account Providers Supervisory Levy Imposition Determination 2015 was enacted to provide details on the levy imposed on retirement savings account providers as stipulated by the Retirement Savings Account Providers Supervisory Levy Imposition Act 1998. This legislative instrument was introduced to ensure that the administrative framework for imposing the supervisory levy on RSA providers is clearly defined and operational for the 2015-16 financial year. The determination was made by the Treasurer under the authority granted by the Act and is consistent with the legislative requirements to set the levy parameters for the specified period. This includes the restricted and unrestricted levy percentages and the method for calculating an RSA provider's levy base. The determination specifies that for the 2015-16 financial year, the levy will be zero per cent for both restricted and unrestricted components, effectively exempting RSA providers from any direct levy for that year.

Scope and Application

The Retirement Savings Account Providers Supervisory Levy Imposition Determination 2015 applies to entities classified as retirement savings account providers (RSA providers) under the Retirement Savings Account Providers Supervisory Levy Imposition Act 1998. These providers are entities that manage and oversee retirement savings accounts in Australia, and the levy imposed by this determination is intended to fund the supervisory activities associated with ensuring the proper management and regulation of these accounts. The levy is applicable on an annual basis, specifically for the 2015-16 financial year, as outlined in this determination. However, the levy for the 2015-16 financial year is set at zero percent, effectively meaning that RSA providers are not subject to any direct levy for this period. The Act provides the framework under which the levy can be imposed, with the Treasurer required to determine the specifics of the levy, such as the percentage rates and thresholds, through legislative instruments like this determination. The scope of this legislation is national as it is a Commonwealth Act, thus applicable across all states and territories in Australia. Any RSA provider operating within Australia is subject to the provisions of this Act and its determinations. However, there are no stated exclusions or exemptions within this determination, although it is possible that certain entities may be exempt or subject to different terms under other provisions of the overarching Act. The application of the levy can be extended or restricted through subordinate instruments as per the requirements of the Act, ensuring that the levy remains a flexible tool for funding supervisory activities.

Key Provisions

The Retirement Savings Account Providers Supervisory Levy Imposition Determination 2015 (the Determination) specifies the levy imposed on providers of retirement savings accounts (RSA providers) under the Retirement Savings Account Providers Supervisory Levy Imposition Act 1998 (the Act). This Determination applies for the 2015–16 financial year and sets out the maximum and minimum restricted levy amounts, the restricted and unrestricted levy percentages, and the method for calculating an RSA provider's levy base (sections 7(3)(a)-(d)). For the 2015–16 financial year, the restricted component of the levy is set at zero percent of assets held by the entity, with no minimum or maximum levy amounts, and the unrestricted component is also set at zero percent. This means that RSA providers will not be levied directly for that financial year. RSA providers must comply with the requirements set out in this Determination, including calculating their levy base according to the specified method. They must also ensure that they meet any obligations related to the calculation and payment of the levy, as prescribed by the Act. The Determination ensures that the financial obligations and liabilities incurred in previous financial years remain valid (section 7 of the Acts Interpretation Act 1901). Breaching the provisions of the Determination can lead to civil or criminal consequences, depending on the nature and severity of the breach. While the Determination itself does not specify penalties, penalties for breaches of the Act could include fines. The maximum penalties for breaches of the Act are detailed elsewhere in the legislation and could include substantial fines for both individuals and corporations. The Determination also ensures that its commencement does not adversely affect the rights of any person or impose any liability in respect of actions taken before its registration (subsection 12(2) of the Legislative Instruments Act 2003).