Explanatory Memorandum
(Circulated by authority of the Treasurer, the Hon. Josh Frydenberg MP)Chapter 3 Statement of Compatibility with Human Rights
Prepared in accordance with Part 3 of the Human Rights (Parliamentary Scrutiny) Act 2011
Treasury Laws Amendment (2019 Petroleum Resource Rent Tax Reforms No. 1) Bill 2019
3.1 This Bill is compatible with the human rights and freedoms recognised or declared in the international instruments listed in section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011.
Overview
3.2 Schedule 1 to the Bill amends the Act to reduce the uplift rates that apply to certain categories of carried-forward expenditure.
3.3 Schedule 2 to the Bill amends the Act to remove onshore petroleum projects from the scope of the PRRT. Onshore petroleum projects are generally not expected to result in PRRT liabilities but can reduce taxpayers' PRRT liabilities for offshore projects because of the transfer of exploration expenditure.
Human rights implications
3.4 This Bill does not engage any of the applicable rights or freedoms.
Conclusion
3.5 This Bill is compatible with human rights as it does not raise any human rights issues.