Clean Energy (Fuel Tax Legislation Amendment) Act 2011 (157 of 2011)

Schedule 1   Fuel tax credits

Part 1   Amendments

Fuel Tax Act 2006

10   Section 43-1

Omit:

The amount of your credit for taxable fuel is the amount of fuel tax that was payable on the fuel, reduced to take account of certain grants and subsidies that were payable in respect of the fuel (as the grants or subsidies reduced the amount of fuel tax that effectively applied to the fuel).

substitute:

The amount of your credit for taxable fuel is the amount of fuel tax that was payable on the fuel:

(a) reduced to take account of certain grants and subsidies that were payable in respect of the fuel (as the grants or subsidies reduced the amount of fuel tax that effectively applied to the fuel); and

(b) for fuel that is not covered by the Opt-in Scheme - reduced (with some exceptions) to take account of what the carbon price on the fuel emissions would be (if those emissions were subject to a carbon price).

For fuel for use in aircraft that is covered by the Opt-in Scheme, the amount of the credit is reduced so that it is limited to the carbon component rate that was factored into the rate of fuel tax.