SECTION 6A
INDEXATION OF CPI INDEXED RATES
6A(1)
If the indexation factor for an indexation day is greater than 1, each CPI indexed rate is, on that day, replaced by the rate of duty worked out using the formula:
| |
CPI indexed rate on the day before the indexation day |
× |
Indexation factor for the indexation day |
|
Note:
For
indexation factor
see subsection (3). For
CPI indexed rate
and
indexation day
see subsection (10).
History
S 6A(1) amended by No 101 of 2015, s 3 and Sch 1 items 21 to 23, by substituting
"
each CPI indexed rate is
"
for
"
each rate of duty set out in item 1, 2 or 3 of the Schedule (each
alcohol duty rate
) is
"
, the formula and the note, effective 31 January 2015. No 101 of 2015, s 3 and Sch 1 item 30 contains the following application provision:
30 Application of amendments
30
The amendments made by this Part apply to goods manufactured or produced in Australia on or after 31 January 2015 and to goods for which all the following conditions are met:
(a)
the goods were manufactured or produced in Australia before 31 January 2015;
(b)
on 31 January 2015, the goods either were subject to the CEO
'
s control, or were in the stock, custody or possession of, or belonged to, a manufacturer or producer of the goods;
(c)
no duty of excise had been paid on the goods before 31 January 2015.
The formula and the note formerly read:
| |
Alcohol duty rate on the day before the indexation day |
× |
Indexation factor for the indexation day |
|
Note:
For
indexation factor
see subsection
(3)
and for
indexation day
see subsection
(10)
.
6A(2)
The amount worked out under subsection
(1)
is to be rounded to the same number of decimal places as the CPI indexed rate was on the day before the indexation day (rounding up if the next decimal place is 5 or more).
History
S 6A(2) amended by No 101 of 2015, s 3 and Sch 1 item 24, by substituting
"
the CPI indexed rate
"
for
"
the alcohol duty rate
"
, effective 31 January 2015. For application provision, see note under s
6A(1)
.
Indexation factor
6A(3)
The
indexation factor
for an indexation day is the number worked out using the formula:
| |
Index number for the most recent reference quarter before the indexation day |
|
| |
Index number for the base quarter |
|
Note:
For
index number
,
reference quarter
and
base quarter
see subsection
(10)
.
6A(4)
The indexation factor is to be worked out to 3 decimal places (rounding up if the fourth decimal place is 5 or more).
Effect of delay in publication of index number
6A(5)
If the index number for the most recent reference quarter before the indexation day is published by the Statistician on a day (the
publication day
) that is not at least 5 days before the indexation day, then, despite subsection
(1)
, any replacement of a CPI indexed rate under subsection
(1)
happens on the fifth day after the publication day.
History
S 6A(5) amended by No 101 of 2015, s 3 and Sch 1 item 25, by substituting
"
a CPI indexed rate
"
for
"
an alcohol duty rate
"
, effective 31 January 2015. For application provision, see note under s
6A(1)
.
Effect of Excise Tariff alteration
6A(6)
If an Excise Tariff alteration proposed in the Parliament proposes to substitute, on and after a particular day, a rate for a CPI indexed rate, treat that substitution as having had effect on and after that day for the purposes of this section.
History
S 6A(6) amended by No 101 of 2015, s 3 and Sch 1 item 25, by substituting
"
a CPI indexed rate
"
for
"
an alcohol duty rate
"
, effective 31 January 2015. For application provision, see note under s
6A(1)
.
Changes to CPI index reference period and publication of substituted index numbers
6A(7)
Amounts are to be worked out under this section:
(a)
using only the index numbers published in terms of the most recently published index reference period for the Consumer Price Index; and
(b)
disregarding index numbers published in substitution for previously published index numbers (except where the substituted numbers are published to take account of changes in the index reference period).
Application of replacement rate
6A(8)
If a CPI indexed rate is replaced under this section on a particular day, the replacement rate applies in relation to goods entered for home consumption on or after that day.
History
S 6A(8) amended by No 101 of 2015, s 3 and Sch 1 item 25, by substituting
"
a CPI indexed rate
"
for
"
an alcohol duty rate
"
, effective 31 January 2015. For application provision, see note under s
6A(1)
.
Publication of replacement rate
6A(9)
The CEO must, on or as soon as practicable after the day a CPI indexed rate is replaced under this section, publish a notice in the
Gazette
advertising the replacement rate and the goods it applies to.
History
S 6A(9) amended by No 101 of 2015, s 3 and Sch 1 item 25, by substituting
"
a CPI indexed rate
"
for
"
an alcohol duty rate
"
, effective 31 January 2015. For application provision, see note under s
6A(1)
.
Definitions
6A(10)
In this section:
base quarter
means the June quarter or December quarter that has the highest index number of all the June quarters and December quarters that occur:
(a)
before the most recent reference quarter before the indexation day; and
(b)
after the June quarter of 1983.
CPI indexed rate
means:
(a)
a rate of duty set out in item 1, 2 or 3 of the Schedule; or
(b)
a rate of duty set out in item 10 of the Schedule, other than in:
(i)
subitem 10.6 or 10.17; or
(ii)
subitem 10.7, 10.12, 10.20, 10.21 or 10.30; or
(c)
the rate set out in step 3 of the method statement in subsection
6G(1)
(about duty payable on blended goods).
History
Definition of
"
CPI indexed rate
"
amended by No 101 of 2015, s 3 and Sch 2 item 1, by substituting para (b)(ii), effective 1 July 2015. Para (b)(ii) formerly read:
(ii)
subitem 10.7, 10.11, 10.12 or 10.30; or
Definition of
"
CPI indexed rate
"
inserted by No 101 of 2015, s 3 and Sch 1 item 26, effective 31 January 2015. For application provision, see note under s
6A(1)
.
December quarter
means a period of 3 months starting on 1 October.
indexation day
means each 1 February and 1 August.
index number
, for a quarter, means the All Groups Consumer Price Index number that is the weighted average of the 8 capital cities and is published by the Statistician in relation to that quarter.
June quarter
means a period of 3 months starting on 1 April.
reference quarter
means the June quarter or December quarter.
History
S 6A substituted by No 9 of 2014, s 3 and Sch 1 item 4, applicable in relation to the indexation day that is 1 February 2014 and each later indexation day. S 6A formerly read:
SECTION 6A INDEXATION OF RATES OF DUTY
6A(1)
In this section, unless the contrary intention appears:
indexation period
means the 6 month period starting on 1 February 1984 and each subsequent 6 month period.
relevant rate
means a rate of duty (other than the rate
free
) specified in an item or subitem of the Schedule other than item 20.
History
S 6A(1) amended by No 75 of 2006, s 3 and Sch 1 item 8, by substituting
"
item or subitem of the Schedule other than item 20
"
for
"
item, sub-item, paragraph or subparagraph of the Schedule other than sub-item 1(BB) and items 17 and 20
"
in the definition of
"
relevant rate
"
, effective 1 July 2006.
6A(1A)
For the indexation period that commences on 1 August 2001 and any subsequent indexation period, this section does not apply to:
(a)
a rate of duty specified in item 10 of the
Schedule
; or
(b)
an excise tariff alteration that proposes to alter a rate specified in item 10 of the
Schedule
.
History
S 6A(1A) amended by No 75 of 2006, s 3 and Sch 1 item 9, by substituting
"
item 10
"
for
"
item 11 or 12
"
in paras (a) and (b), effective 1 July 2006.
S 6A(1A) inserted by No 67 of 2001, s 3 and Sch 1 item 1, effective 30 June 2001.
6A(1B)
For the indexation period that commences on 1 February 2003 and any subsequent indexation period, this section does not apply to:
(a)
a rate of duty specified in item 15 of the Schedule; or
(b)
an excise tariff alteration that proposes to alter a rate specified in item 15 of the Schedule.
History
S 6A(1B) inserted by No 113 of 2002, s 3 and Sch 1 item 8, effective 2 December 2002.
6A(2)
Subject to subsection (3), if at any time, whether before or after the commencement of this section, the Statistician has published or publishes an index number in respect of a quarter in substitution for an index number previously published by him or her in respect of that quarter, the publication of the later index number shall be disregarded for the purposes of this section.
6A(3)
If at any time, whether before or after the commencement of this section, the Statistician has changed or changes the reference base for the consumer price index, then, for the purposes of the application of this section after the change took place or takes place, regard shall be had only to index numbers published in terms of the new reference base.
6A(4)
If the factor worked out in relation to an indexation period in accordance with subsection (5) is more than 1, this Act has effect as if, on the first day of the period, there were substituted for each relevant rate a rate of duty worked out using the formula:
where:
relevant rate
means the rate of duty as defined in subsection (1) or if, by previous operation of this section, this Act has effect as if another rate were substituted, the last substituted rate.
factor
means the factor worked out in relation to that period under subsection (5).
History
S 6A(4) amended by No 75 of 2006, s 3 and Sch 1 item 10, by omitting
"
or of section 6AAA and this section,
"
after
"
operation of this section,
"
in the definition of
"
relevant rate
"
, effective 1 July 2006.
6A(4A)
If the rate of duty worked out under subsection (4) in respect of an item or subitem of the
Schedule
(the
prescribed rate
) has more decimal places than the number of decimal places in the relevant rate, the prescribed rate is to be rounded in accordance with subsections (4B) and (4C).
History
S 6A(4A) amended by No 75 of 2006, s 3 and Sch 1 item 11, by substituting
"
in respect of an item or subitem
"
for
"
, or under subsection (4) as modified by section 6AAA, in respect of an item, sub-item, paragraph or subparagraph
"
, effective 1 July 2006.
6A(4B)
If the prescribed rate worked out to one more decimal place than the relevant rate would end in a number less than 5, the rate worked out under subsection (4) is taken to be a rate of duty equal to the prescribed rate worked out to the same number of decimal places as the relevant rate.
History
S 6A(4B) amended by No 75 of 2006, s 3 and Sch 1 item 12, by omitting
"
, or under subsection (4) as modified by section 6AAA,
"
after
"
under subsection (4)
"
, effective 1 July 2006.
6A(4C)
If the prescribed rate worked out to one more decimal place than the relevant rate would end in 5 or a greater number, the rate of duty worked out under subsection (4) is taken to be a rate of duty equal to the prescribed rate worked out to the same number of decimal places as the relevant rate increased by:
(a)
if the number of decimal places in the relevant rate is 2
-
0.01; or
(b)
if the number of decimal places in the relevant rate is 3
-
0.001; or
(c)
if the number of decimal places in the relevant rate is 4
-
0.0001; or
(d)
if the number of decimal places in the relevant rate is 5
-
0.00001.
History
S 6A(4C) amended by No 75 of 2006, s 3 and Sch 1 item 13, by omitting
"
, or under subsection (4) as modified by section 6AAA,
"
after
"
under subsection (4)
"
, effective 1 July 2006.
6A(4D)
If an excise tariff alteration proposed in the Parliament proposes to alter, on and from a particular day, an item or subitem of the Schedule by substituting a rate for the relevant rate, then, for the purposes of the application of subsection (4) in relation to that relevant rate, the references in subsection (4) and in subsections (4A), (4B) and (4C) to the relevant rate are to be read, on and after that day, as references to the rate proposed by that alteration to be substituted for the relevant rate.
History
S 6A(4D) amended by No 75 of 2006, s 3 and Sch 1 items 14 to 16, by substituting item or subitem of
"
for
"
item, sub-item, paragraph or subparagraph in
"
, omitting
"
, and of subsection (4) as modified by section 6AAA,
"
after
"
application of subsection (4)
"
and omitting
"
or in that subsection as so modified
"
after
"
references in subsection (4)
"
, effective 1 July 2006.
6A(5)
The factor to be ascertained for the purposes of subsection (4) in relation to a relevant period:
(a)
is the number, calculated to 3 decimal places, ascertained by dividing:
(i)
if the relevant period commences on 1 February
-
the index number for the last preceding December quarter; or
(ii)
if the relevant period commences on 1 August
-
the index number for the last preceding June quarter;
by the highest index number in respect of a December or June quarter that preceded that quarter, not being a December or June quarter that occurred before the December quarter in the year 1983; or
(b)
if the number so ascertained would, if it were calculated to 4 decimal places, end in a number greater than 4
-
is the number so ascertained increased by 0.001.
History
S 6A(5) amended by No 75 of 2006, s 3 and Sch 1 item 17, by omitting
"
, or that subsection as modified by section 6AAA,
"
after
"
purposes of subsection (4)
"
, effective 1 July 2006.
6A(6)
If an index number necessary for the calculation of the factor to be ascertained in relation to a relevant period in accordance with subsection (5) is not published by the Statistician more than 5 days before the first day of the period, subsection (4) has effect in relation to the period as if the reference in that subsection to the first day of the period were a reference to the day that is 5 days after the day on which the index number was published.
History
S 6A(6) amended by No 75 of 2006, s 3 and Sch 1 item 18, by omitting
"
, or that subsection as modified by section 6AAA,
"
after
"
period, subsection (4)
"
, effective 1 July 2006.
6A(7)
Where by virtue of the application of this section, this Act has effect as if another rate of duty were substituted for a relevant rate on a particular day, the substitution, in so far as it affects duty payable in relation to goods, has effect in relation to goods entered for home consumption on or after that day.
History
S 6A(7) amended by No 75 of 2006, s 3 and Sch 1 item 19, by omitting
"
or section 6AAA
"
after
"
application of this section
"
, effective 1 July 2006.
6A(8)
Where, by virtue of the application of this section, this Act is to have effect as if another rate of duty (in this subsection referred to as a
substituted rate
) were substituted for a relevant rate on a particular day, the CEO shall, on or as soon as practicable after that day, publish for the information of the public a notice in the
Gazette
advertising the substituted rates and goods to which they are to apply.
History
S 6A(8) amended by No 75 of 2006, s 3 and Sch 1 item 20, by omitting
"
or section 6AAA
"
after
"
application of this section
"
, effective 1 July 2006.
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