Taxation of Alternative Fuels Legislation Amendment Act 2011 (68 of 2011)

Schedule 1   Amendments

Part 1   Excise Act 1901

10   After section 77H

Insert:

77HA Compressed natural gas that is exempt from excise duty

Compressed natural gas is exempt from excise duty if any of the following apply:

(a) the gas was compressed for use other than as a fuel for a motor vehicle;

(b) the gas was compressed other than in the course of carrying on an enterprise (within the meaning of the A New Tax System (Goods and Services Tax) Act 1999);

(c) the gas was compressed for use as a fuel for a motor vehicle that:

(i) is designed merely to move goods with a forklift and is for use primarily off public roads; or

(ii) is of a kind prescribed by the regulations for the purposes of this subparagraph.

77HB Liquefied petroleum gas and liquefied natural gas that is exempt from excise duty

Liquefied petroleum gas or liquefied natural gas is exempt from excise duty if:

(a) the liquefied petroleum gas or liquefied natural gas is used by a licensed manufacturer on premises specified in the manufacturer licence; and

(b) the use is in the process of manufacturing:

(i) petroleum condensate or stabilised crude petroleum oil; or

(ii) liquefied petroleum gas, liquefied natural gas or other hydrocarbons; and

(c) the manufacturer manufactures the goods referred to in paragraph (b) in accordance with the licence.