Bills Digest No. 140 2002-03
Private Health
Insurance (Council Administration Levy) Bill 2003
WARNING:
This Digest was prepared for debate. It reflects the legislation as
introduced and does not canvass subsequent amendments. This Digest
does not have any official legal status. Other sources should be
consulted to determine the subsequent official status of the
Bill.
CONTENTS
Passage History
Purpose
Background
Main Provisions
Endnotes
Contact Officer & Copyright Details
Passage History
Private Health Insurance
(Council Administration Levy) Bill 2003
Date Introduced: 26 March 2003
House: House of Representatives
Portfolio: Health and Ageing
Commencement: 1 July 2004
To reimpose the
Private Health Administration Council ('PHIAC')
levy.
This is one of four Bills reimposing existing
levies on private health insurers. Full background is set out in
Bills Digest No. 139, 2002-03 (National Health Amendment (Private
Health Insurance Levies) Bill 2003). Separate Bills are required
for each levy because they could be construed as imposing taxation
and the Constitution requires that such Bills 'deal with one
subject of taxation only'.(1)
The PHIAC Levy is authorised under the
National Health Act 1953 and funds the general
administrative costs of PHIAC. The levy is imposed on each
registered health benefits organization based on the number of
health fund contributors.
The Bill provides that the rate of the PHIAC
levy is to be set in regulations, within a maximum limit specified
in the Bill itself.
Clause 6 imposes the PHIAC
levy on 'each registered health benefits organization'. The levy is
imposed 'on each day specified in the Regulations as a Council
Administration levy day'. There cannot be more than four such days
in a financial year, although the Minister for Health can specify
up to two supplementary levy days. The Explanatory Memorandum notes
that the latter provision is included to cover 'unexpected
administration costs associated with Council undertaking its
functions.' (2)
Clause 7 sets the maximum
rate of the PHIAC levy for a financial year at:
$2.00 for each contributor who contributes in respect of one
person, and
$4.00 for each contributor who contributes in respect of more than
one person.
Clause 9 validates all
previous PHIAC levy payments made before the commencement of the
current Bill.
- Section 55.
- Explanatory Memorandum, p. 2.
Peter Prince
30 April 2003
Bills Digest Service
Information and Research Services
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ISSN 1328-8091
© Commonwealth of Australia 2003
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Published by the Department of the Parliamentary Library,
2003.
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