Explanatory Memorandum
(Circulated by authority of the Treasurer, the Hon Peter Costello, MP)General outline and financial impact
Fuel Sales Grants Bill 2000
This Bill confers an entitlement to grants to be paid to registered sellers of petroleum fuel for sales to end users that are made at an eligible location. The amount of the grant is to be calculated according to a method prescribed in the regulations.
Date of effect: The grants are to be paid for qualifying sales made on or after 1 July 2000.
Proposal announced: Not previously announced.
Financial impact: The financial impact of this measure is estimated at $500 million over 4 years. As the grants are entitlement-based the actual figure will vary depending on the total eligible claims paid.
Compliance cost impact: Sellers of petroleum fuel in eligible locations will be required to register for the fuel sales grant scheme and apply for payments.
Product Grants and Benefits Administration Bill 2000
This Bill provides a standardised administrative framework for grants and benefits administered by the Commissioner. This Bill will apply to the fuel sales grants scheme.
Date of effect: The provisions of this Bill will apply from the date of Royal Assent.
Proposal announced: Not previously announced.
Financial impact: The ATO will require some additional administration funds to administer schemes to which this Bill applies.
Compliance cost impact: Provides a standardised administrative scheme to reduce duplication and promote consistency in the law.
Fuel Sales Grants (Consequential Amendments) Bill 2000
This Bill will ensure the appropriate application to grants and benefits schemes of those provisions of the TAA 1953that apply generally to Acts administered by the Commissioner of Taxation.
Date of effect: From the date of Royal Assent to the FSG Bill.
Proposal announced: Not previously announced.
Financial impact: Nil.
Compliance cost impact: Nil.