PRIVATE HEALTH INSURANCE (REINSURANCE TRUST FUND LEVY) ACT 2003 NO. 73, 2003 PRIVATE HEALTH INSURANCE (REINSURANCE TRUST FUND LEVY) ACT 2003 NO. 73, 2003 - TABLE OF PROVISIONS 1. Short title 2. Commencement 3. Crown to be bound 4. Extension of Act to external Territories 5. Definitions 6. Imposition of Reinsurance Trust Fund levy 7. Rate of Reinsurance Trust Fund levy 8. Minister to obtain advice from Council 9. Validation of Reinsurance Trust Fund levy 10. Validation of late payment penalty in respect of Reinsurance Trust Fund levy 11. Regulations PRIVATE HEALTH INSURANCE (REINSURANCE TRUST FUND LEVY) ACT 2003 NO. 73, 2003 - LONG TITLE [GRAPHIC] Private Health Insurance (Reinsurance Trust Fund Levy) Act 2003 No. 73, 2003 An Act to impose a levy to be known as the Reinsurance Trust Fund levy on registered health benefits organizations, and for related purposes PRIVATE HEALTH INSURANCE (REINSURANCE TRUST FUND LEVY) ACT 2003 No. 73, 2003 - SECT 1 Short title This Act may be cited as the Private Health Insurance (Reinsurance Trust Fund Levy) Act 2003. PRIVATE HEALTH INSURANCE (REINSURANCE TRUST FUND LEVY) ACT 2003 No. 73, 2003 - SECT 2 Commencement This Act commences on 1 July 2004. PRIVATE HEALTH INSURANCE (REINSURANCE TRUST FUND LEVY) ACT 2003 No. 73, 2003 - SECT 3 Crown to be bound This Act binds the Crown in each of its capacities. PRIVATE HEALTH INSURANCE (REINSURANCE TRUST FUND LEVY) ACT 2003 No. 73, 2003 - SECT 4 Extension of Act to external Territories This Act extends to the Territory of Cocos (Keeling) Islands and to the Territory of Christmas Island. PRIVATE HEALTH INSURANCE (REINSURANCE TRUST FUND LEVY) ACT 2003 No. 73, 2003 - SECT 5 Definitions In this Act, unless the contrary intention appears: "Council" has the same meaning as in the National Health Act. "National Health Act" means the National Health Act 1953. "registered health benefits organization" has the same meaning as in the National Health Act. "Reinsurance Trust Fund" means the Health Benefits Reinsurance Trust Fund established by subsection 73BC(2) of the National Health Act. "Reinsurance Trust Fund levy" means a Reinsurance Trust Fund levy imposed under section 6. "Reinsurance Trust Fund levy day" means a Reinsurance Trust Fund levy day specified in the regulations made for the purposes of section 6. "supplementary Reinsurance Trust Fund levy day" means a supplementary Reinsurance Trust Fund levy day specified in a determination by the Minister under section 6. PRIVATE HEALTH INSURANCE (REINSURANCE TRUST FUND LEVY) ACT 2003 No. 73, 2003 - SECT 6 Imposition of Reinsurance Trust Fund levy (1) Reinsurance Trust Fund levy is imposed on each registered health benefits organization: (a) on each day specified in the regulations as a Reinsurance Trust Fund levy day for a financial year; and (b) on each day (if any) determined in writing by the Minister as a supplementary Reinsurance Trust Fund levy day for a financial year. (2) The regulations must not specify more than 4 levy days for a financial year. (3) The determination by the Minister must not specify more than 2 supplementary levy days for a financial year. PRIVATE HEALTH INSURANCE (REINSURANCE TRUST FUND LEVY) ACT 2003 No. 73, 2003 - SECT 7 Rate of Reinsurance Trust Fund levy (1) The rate of Reinsurance Trust Fund levy imposed on a particular day is worked out using the following table: Rate of Reinsurance Trust Fund levy Item The rate of levy imposed on a... is the rate that... 1 Reinsurance Trust Fund levy day (a) is determined in writing by the Council; and (b) applies on that day. 2 supplementary Reinsurance Trust Fund levy day (a) is determined in writing by the Minister; and (b) applies on that day. (2) In determining the rate of levy, the Council and the Minister must follow the Ministerial principles determined under subsection 73BC(5B) of the National Health Act. (3) The rate of levy may be set at zero. PRIVATE HEALTH INSURANCE (REINSURANCE TRUST FUND LEVY) ACT 2003 No. 73, 2003 - SECT 8 Minister to obtain advice from Council Before making a determination under section 6 or item 2 of the table in subsection 7(1), the Minister must obtain, and take into account, advice from the Council in relation to the following matters: (a) whether to make a determination under section 6; (b) the day that is to be, or the days that are to be, specified as the supplementary Reinsurance Trust Fund levy day or days for a financial year; (c) the rate that is to be specified as the rate of Reinsurance Trust Fund levy imposed on the supplementary Reinsurance Trust Fund levy day or days. PRIVATE HEALTH INSURANCE (REINSURANCE TRUST FUND LEVY) ACT 2003 No. 73, 2003 - SECT 9 Validation of Reinsurance Trust Fund levy (1) This section applies to the amount of each payment that the Council purported before 1 July 2004 to determine that a registered health benefits organization was to make into the Reinsurance Trust Fund on a particular date under subsection 73BC(6) of the National Health Act. (2) By force of this section, Reinsurance Trust Fund validation levy of an equal amount is taken to have been imposed on the organization on that date. (3) The amount of Reinsurance Trust Fund validation levy for which the organization is liable is: (a) reduced by the sum of the amounts the organization paid into the Reinsurance Trust Fund in accordance with the determination the Council purported to make under subsection 73BC(6) of the National Health Act; and (b) increased by so much of the sum of those amounts as the organization recovers from the Council or the Reinsurance Trust Fund. (4) Amounts paid by an organization in accordance with determinations the Council purported to make under subsection 73BC(6) of the National Health Act are taken to be applied to the Reinsurance Trust Fund validation levies in the order in which the Council purported to make the determinations. PRIVATE HEALTH INSURANCE (REINSURANCE TRUST FUND LEVY) ACT 2003 No. 73, 2003 - SECT 10 Validation of late payment penalty in respect of Reinsurance Trust Fund levy (1) This section applies to the amount of each payment that the Council purported before 1 July 2004 to determine that a registered health benefits organization was to make into the Reinsurance Trust Fund on a particular date under subsection 73BC(9) of the National Health Act. (2) By force of this section, late payment validation penalty of an equal amount is taken to have been imposed on the organization on that date. (3) The amount of late payment validation penalty for which the organization is liable is: (a) reduced by the sum of the amounts the organization paid into the Reinsurance Trust Fund in accordance with the determination the Council purported to make under subsection 73BC(9) of the National Health Act; and (b) increased by so much of the sum of those amounts as the organization recovers from the Council or the Reinsurance Trust Fund. (4) Amounts paid by an organization in accordance with determinations the Council purported to make under subsection 73BC(9) of the National Health Act are taken to be applied to the late payment validation penalties in the order in which the Council purported to make the determinations. PRIVATE HEALTH INSURANCE (REINSURANCE TRUST FUND LEVY) ACT 2003 No. 73, 2003 - SECT 11 Regulations (1) The Governor-General may make regulations prescribing matters: (a) required or permitted by this Act to be prescribed; or (b) necessary or convenient to be prescribed for carrying out or giving effect to this Act. (2) Before the Governor-General makes regulations under subsection (1), the Minister must take into consideration any relevant recommendation made to the Minister by the Council. PRIVATE HEALTH INSURANCE (REINSURANCE TRUST FUND LEVY) ACT 2003 NO. 73, 2003 - NOTES Compilation Information [GRAPHIC] Private Health Insurance (Reinsurance Trust Fund Levy) Act 2003 No. 73, 2003 An Act to impose a levy to be known as the Reinsurance Trust Fund levy on registered health benefits organizations, and for related purposes [Assented to 15 July 2003] The Parliament of Australia enacts: PRIVATE HEALTH INSURANCE (REINSURANCE TRUST FUND LEVY) ACT 2003 NO. 73, 2003 - NOTES Note (39/03) [Minister's second reading speech made in-- House of Representatives on 26 March 2003 Senate on 23 June 2003]