{"id":"C2024A00102","name":"Commonwealth Entities (Payment Surcharges) Tax (Imposition) Act 2024","slug":"commonwealth-entities-payment-surcharges-tax-imposition-act-2024","collection":"act","jurisdiction":"commonwealth","status":"in_force","isInForce":true,"actNumber":"102 of 2024","makingDate":null,"administeringDepartment":null,"currentVersion":{"id":436411,"registerId":"C2024A00102-fast-fetch-1775953616333","compilationNumber":null,"startDate":"2026-04-12","status":"InForce","reasons":null,"registeredAt":null},"sections":[{"sectionNumber":"1","sectionType":"section","heading":"Commonwealth Entities (Payment Surcharges) Tax (Imposition) Act 2024","content":"---\nmeta-content-style-type: text/css\nmeta-content-type: application/xhtml+xml; charset=utf-8\n---\n\n![Commonwealth Coat of Arms of Australia](image.001.png)\n\n \n\n \n\n \n\n \n\n \n\n \n\nCommonwealth Entities (Payment Surcharges) Tax (Imposition) Act 2024\n\nNo. 102, 2024\n\n \n\n \n\n \n\n \n\n \n\nAn Act to impose a tax relating to payment surcharges, and for related purposes\n\n \n\n \n\n \n\nContents\n\n1 Short title\n\n2 Commencement\n\n3 Definitions\n\n4 Imposition\n\n5 Amount of tax\n\n6 Severability\n\n \n\n![Commonwealth Coat of Arms of Australia](image.002.png)\n\n \n\n \n\nCommonwealth Entities (Payment Surcharges) Tax (Imposition) Act 2024\n\nNo. 102, 2024\n\n \n\n \n\n \n\nAn Act to impose a tax relating to payment surcharges, and for related purposes\n\n[Assented to 2 December 2024]\n\nThe Parliament of Australia enacts:\n\n1  Short title\n\n  This Act is the Commonwealth Entities (Payment Surcharges) Tax (Imposition) Act 2024.\n\n2  Commencement\n\n (1) Each provision of this Act specified in column 1 of the table commences, or is taken to have commenced, in accordance with column 2 of the table. Any other statement in column 2 has effect according to its terms.\n\n \n\n- Commencement information\n- Column 1 Column 2 Column 3\n- Provisions Commencement Date/Details\n- 1. The whole of this Act The day after this Act receives the Royal Assent. 3 December 2024\n\n\nNote: This table relates only to the provisions of this Act as originally enacted. It will not be amended to deal with any later amendments of this Act.\n\n (2) Any information in column 3 of the table is not part of this Act. Information may be inserted in this column, or information in it may be edited, in any published version of this Act.\n\n3  Definitions\n\n  In this Act:\n\nConsequential Provisions Act means the Commonwealth Entities (Payment Surcharges) (Consequential Provisions and Other Matters) Act 2024.\n\n4  Imposition\n\n  Tax payable under subitem 5(1) of Schedule 2 to the Consequential Provisions Act is imposed.\n\n5  Amount of tax\n\n  The amount of the tax is equal to the amount the Commonwealth, or a Commonwealth entity, is liable to pay to a person as mentioned in paragraph 5(1)(b) of Schedule 2 to the Consequential Provisions Act.\n\n6  Severability\n\n (1) This section applies in relation to a payment if:\n\n (a) subparagraph 5(1)(a)(i) of Schedule 2 to the Consequential Provisions Act applies to the payment; and\n\n (b) apart from this section, section 4 of this Act would impose a tax in relation to the payment; and\n\n (c) the imposition of the tax in relation to the payment would exceed the legislative power of the Commonwealth.\n\n (2) Section 4 of this Act has effect as if it did not impose that tax in relation to the payment.\n\n \n\n \n\n \n\n \n\n[Minister’s second reading speech made in—\n\nHouse of Representatives on 25 November 2024\n\nSenate on 27 November 2024]\n\n \n\n(154/24)\n\n \n","sortOrder":0}],"analysis":{"kimi_summary":{"content_quality":"ok","complexity_score":2,"scope_assessment":{"changed":false,"description":"This legislation appears tightly focused on its original purpose. It is a standard 'imposition Act' — a constitutional requirement under section 55 of the Constitution that taxes be imposed by a separate Act. It does exactly what its title suggests and no more. The scope has not expanded beyond imposing the specific tax described in the related Consequential Provisions Act."},"complexity_factors":["Only 6 sections total, with 2 being purely mechanical (short title, commencement)","Only 1 defined term ('Consequential Provisions Act')","Heavy reliance on external legislation — the actual substance of what is being taxed is contained entirely in Schedule 2 of a separate Act","Simple mathematical formula for tax calculation (tax = amount payable)","Single conditional severability provision with straightforward 3-part test","No nested exceptions or complex cross-referencing within the Act itself"],"plain_english_summary":"**What this law does:**\n\nThis Act imposes a tax on certain payments made by the Commonwealth or Commonwealth entities (like government departments and agencies). Specifically, it taxes **payment surcharges** — extra fees that businesses sometimes charge when you pay by card instead of cash.\n\n**How it works:**\n- The tax is imposed on amounts that the Commonwealth or its entities are liable to pay to other people (as set out in a related Act, the *Commonwealth Entities (Payment Surcharges) (Consequential Provisions and Other Matters) Act 2024*).\n- The tax amount equals exactly what the Commonwealth owes — so if the Commonwealth owes someone $100 in surcharge-related payments, the tax is $100.\n\n**Who it affects:**\n- **Commonwealth entities** — government bodies that charge payment surcharges will need to account for this tax.\n- **The Australian Government** — it effectively taxes itself (or its own entities) on these surcharge-related payments.\n\n**Why it matters:**\nThis appears to be a technical tax imposition to support broader reforms about how Commonwealth entities handle payment surcharges. The \"severability\" section (section 6) is important — it acts as a safety valve. If taxing a particular payment would exceed the Commonwealth's constitutional power, that tax simply doesn't apply to that payment, rather than invalidating the whole law.\n\n**Key point:** This is a short, technical piece of legislation that does one job — it legally creates the tax that another Act (the Consequential Provisions Act) describes in detail."},"flash_summary":{"complexity_score":4,"scope_assessment":{"changed":false,"description":"There is no evidence in the text supplied that the Act has grown beyond its original, narrow purpose. The instrument is narrowly drafted to impose a tax by reference to identified payments in the Consequential Provisions Act and to provide a constitutional safeguard (severability). Its scope is limited and dependent on the cross-referenced Schedule 2; it does not expand beyond that mechanism."},"complexity_factors":["Very short Act (6 sections)","Only one defined term in-text (Consequential Provisions Act) but core operation relies on that external Act","Heavy cross-referencing to Schedule 2, paragraph 5(1)(b) and subitem 5(1) of the Consequential Provisions Act (external dependency increases interpretive complexity)","Severability clause (s.6) creates conditional logic tied to constitutional limits (case-by-case legal analysis possible)","No operational detail in this Act about collection, remittance, credits or administration — requires reading of the Consequential Provisions Act and likely delegated instruments or guidance","References to subitems/paragraphs create nested cross-references that force readers to consult multiple documents","Potential circularity in economic effect (who ultimately bears cost) increases practical complexity though not text length"],"plain_english_summary":"The Act imposes a tax equal to certain \"payment surcharge\" amounts identified in the Commonwealth Entities (Payment Surcharges) (Consequential Provisions and Other Matters) Act 2024, taking effect the day after Royal Assent. It directly affects Commonwealth entities (by changing liabilities) and indirectly affects suppliers and private-sector contractors who charge or bear those surcharges.\n\nWhy it matters: by converting those surcharges into taxable amounts the law alters fiscal/legal treatment, may shift who ultimately bears the cost, raises compliance burdens, and depends on the cross‑referenced Act for operational detail."},"flash_summary_failed":{"failed":true,"reason":"A positive credit balance is required for all requests, including BYOK, so fallback providers remain available. Add credits at https://vercel.com/d?to=%2F%5Bteam%5D%2F%7E%2Fai%3Fmodal%3Dtop-up to continue.","source":"analysis-cron"}},"importantCases":[],"_links":{"self":"/api/acts/commonwealth-entities-payment-surcharges-tax-imposition-act-2024","history":"/api/acts/commonwealth-entities-payment-surcharges-tax-imposition-act-2024/history","analysis":"/api/acts/commonwealth-entities-payment-surcharges-tax-imposition-act-2024/analysis","conflicts":"/api/acts/commonwealth-entities-payment-surcharges-tax-imposition-act-2024/conflicts","importantCases":"/api/acts/commonwealth-entities-payment-surcharges-tax-imposition-act-2024/important-cases","documents":"/api/acts/commonwealth-entities-payment-surcharges-tax-imposition-act-2024/documents"}}