Financial Management and Accountability Amendment Act 2000

No. 80, 2000

An Act to amend the Financial Management and Accountability Act 1997, and for related purposes

[Assented to 30 June 2000]

The Parliament of Australia enacts:

1 Short title

This Act may be cited as the Financial Management and Accountability Amendment Act 2000.

2 Commencement

This Act commences on the day on which it receives the Royal Assent.

3 Schedule(s)

Each Act that is specified in a Schedule to this Act is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to this Act has effect according to its terms.

Schedule 1—Amendments

Financial Management and Accountability Act 1997

1 After section 30

Insert:

30A Appropriations to take account of recoverable GST

Appropriation for recoverable GST on acquisitions

(1) If:

(a) a payment in respect of an acquisition is to be made in reliance on a limited appropriation; and

(b) a GST qualifying amount has arisen, or will arise, for that acquisition;

then the appropriation is increased by the amount of the GST qualifying amount. The increase in the appropriation takes effect immediately before the payment is made.

(2) If:

(a) a payment in respect of an acquisition has been made (either before or after the commencement of this section) in reliance on a limited appropriation; and

(b) a GST qualifying amount later arises for that acquisition;

then the appropriation is increased by the amount of the GST qualifying amount. The increase in the appropriation takes effect when the GST qualifying amount arises.

(3) The total of the increases under subsections (1) and (2) for an acquisition cannot be more than the total of the GST qualifying amounts for that acquisition.

Appropriation for recoverable GST on importations

(4) If:

(a) a payment of GST on an importation is to be made in reliance on a limited appropriation; and

(b) a GST qualifying amount has arisen, or will arise, for that importation;

then the appropriation is increased by the amount of the GST qualifying amount. The increase in the appropriation takes effect immediately before the payment is made.

(5) If:

(a) a payment of GST on an importation has been made in reliance on a limited appropriation; and

(b) a GST qualifying amount later arises for that importation;

then the appropriation is increased by the amount of the GST qualifying amount. The increase in the appropriation takes effect when the GST qualifying amount arises.

(6) The total of the increases under subsections (4) and (5) for an importation cannot be more than the total of the GST qualifying amounts for that importation.

Definitions

(7) In this section:

acquisition has the same meaning as in the GST Act.

GST has the same meaning as in the GST Act.

GST Act means the A New Tax System (Goods and Services Tax) Act 1999, as it applies because of Division 177 of that Act.

Note: Under Division 177 of the GST Act, that Act applies notionally to the Commonwealth and Commonwealth entities. They are therefore notionally liable to pay GST, are notionally entitled to input tax credits and notionally have adjustments.

GST qualifying amount means:

(a) an input tax credit (within the meaning of the GST Act); or

(b) a decreasing adjustment (within the meaning of the GST Act).

importation has the same meaning as in the GST Act.

limited appropriation means an appropriation that is limited as to amount.