01 Aug 11 Clean Energy Future draft legislation released
In a joint media release No 2011/090, issued 28 July 2011, the Treasurer, Wayne Swan, and the Minister for Climate Change and Energy Efficiency, Greg Combet, announced the release of exposure drafts of the key bills in the Government's Clean Energy Legislative Package (aka the Carbon Tax).
The Clean Energy Legislative Package includes four main bills - the Clean Energy Bill 2011 (which sets up the carbon price mechanism); the Clean Energy Regulator Bill 2011 (which establishes a regulatory body to administer the mechanism); the Climate Change Authority Bill 2011 (which establishes a new Authority to advise the government on the future design of the carbon price mechanism) and the Clean Energy (Consequential Amendments) Bill 2011 (which contains taxation amendments).
Specifically, the Clean Energy (Consequential Amendments) Bill 2011 does the following:
- amends ITAA 1997, and related parts of the tax law, to give effect to the income tax treatment of emissions units and the conservation tillage refundable tax offset. The income tax treatment of emissions units will be provided in specific provisions in the tax law to provide certainty to taxpayers as to their income tax treatment. The treatment provided is broadly similar to the current trading stock rules in the current tax law.
- amends the A New Tax System (Goods and Services Tax) Act 1999 to deem supplies of eligible emissions units to be GST-free.
In addition there are several bills dealing with other consequential and procedural matters and bills dealing with fuel tax arrangements.
The legislative package also includes provisions for the Government's Jobs and Competiveness Program, which will assist for emissions-intensive and trade-exposed industries, and for the Energy Security Fund which will assist electricity generators to ensure energy security.
An additional bill which incorporates the Government's household assistance measures announced is currently being drafted.
The draft bills and a factsheet are available here
The closing date for submissions is 22 August 2011.