{"id":"F2021L01256","name":"Radiocommunications (Spectrum Licence Tax) Determination 2021","slug":"radiocommunications-spectrum-licence-tax-determination-2021","collection":"legislative_instrument","jurisdiction":"commonwealth","status":"in_force","isInForce":true,"actNumber":null,"makingDate":null,"administeringDepartment":null,"currentVersion":{"id":102068,"registerId":"commonwealth-F2021L01256-current","compilationNumber":null,"startDate":"2026-04-03","status":"InForce","reasons":null,"registeredAt":null},"sections":[{"sectionNumber":"1","sectionType":"section","heading":"Name","content":"#### 1 Name\n\n  This is the Radiocommunications (Spectrum Licence Tax) Determination 2021.","sortOrder":0},{"sectionNumber":"3","sectionType":"section","heading":"Authority","content":"#### 3 Authority\n\n  This instrument is made under subsections 4(1) and 7(1) of the Act.","sortOrder":1},{"sectionNumber":"5","sectionType":"section","heading":"Interpretation","content":"#### 5 Interpretation\n\n  (1) In this instrument:\n\n> Act means Radiocommunications (Spectrum Licence Tax) Act 1997.\n\n> Designated Spectrum Licence means a spectrum licence issued under Part 3.2 of the Radiocommunications Act 1992, other than the following:\n\n    (a) a spectrum licence issued to:\n    (i) a Department of State of the Commonwealth of Australia; or\n    (ii) an Executive Agency established under section 65 of the Public Service Act 1999; or\n    (iii) a Statutory Agency within the meaning of section 7 of the Public Service Act 1999;\n    (b) a spectrum licence issued with one or more conditions that require the licensed spectrum to be used only for the provision of a television outside broadcast service;\n    (c) a spectrum licence issued with one or more conditions that require the licensed spectrum to be used only for the provision of rail safety, rail operations or rail control.\n\n> EME Component, for a spectrum licence, means the amount calculated in accordance with Schedule 2.\n\n> Main Component, for a spectrum licence, means the amount calculated in accordance with Schedule 1.\n\n> Note 1: A number of other expressions used in this instrument are defined in the Act, including the following:\n\n    (a) ACMA;\n    (b) initial holding date;\n    (c) spectrum licence;\n    (d) tax.\n\n> Note 2: Other expressions used in this instrument may be defined in a determination made under subsection 64(1) of the Australian Communications and Media Authority Act 2005.\n\n> Note 3: For the definition of Designated Spectrum Licence, see the Australian Communications and Media Authority (Modifications to Apparatus and Spectrum Licences Taxes) Direction 2020. That direction can be accessed, free of charge, on the Federal Register of Legislation at www.legislation.gov.au.\n\n  (2) In this instrument, a reference to a part of the spectrum, a frequency band or a frequency range includes all frequencies that are greater than but not including the lower frequency, up to and including the higher frequency.\n\n> Note: This means the lower number in the reference to a part of the spectrum, a frequency band or a frequency range is not included in the part of the spectrum, the frequency band or the frequency range.","sortOrder":2},{"sectionNumber":"6","sectionType":"section","heading":"References to other instruments","content":"#### 6 References to other instruments\n\n  In this instrument, unless the contrary intention appears:\n    (a) a reference to any other legislative instrument is a reference to that other legislative instrument as in force from time to time; and\n    (b) a reference to any other kind of instrument is a reference to that other instrument as in force or existing at the commencement of this instrument.\n\n> Note 1: For references to Commonwealth Acts, see section 10 of the Acts Interpretation Act 1901; and see also subsection 13(1) of the Legislation Act 2003 for the application of the Acts Interpretation Act 1901 to legislative instruments.\n\n> Note 2: All Commonwealth Acts and legislative instruments are registered on the Federal Register of Legislation at www.legislation.gov.au.","sortOrder":3},{"sectionNumber":"7","sectionType":"section","heading":"Initial holding date","content":"#### 7 Initial holding date\n\n  For subsection 4(1) of the Act, the initial holding date for a spectrum licence is:\n    (a) if the licence is in force on 11 October 2021 – that day; or\n    (b) if the licence comes into force on 11 October in a year after 2021 – the day the licence comes into force; or\n    (c) for any other spectrum licence – the 11 October that first occurs after the licence came into force.","sortOrder":4},{"sectionNumber":"8","sectionType":"section","heading":"Amount of spectrum licence tax","content":"#### 8 Amount of spectrum licence tax\n\n  (1) For subsection 7(1) of the Act, the amount of tax in relation to a spectrum licence is ascertained in accordance with this section.\n  (2) For a spectrum licence other than a Designated Spectrum Licence, the amount of tax in relation to the licence is equal to the Main Component for the licence.\n  (3) For a Designated Spectrum Licence, the amount of tax in relation to the licence is equal to the sum of the Main Component for the licence and the EME component for the licence.","sortOrder":5},{"sectionNumber":"Schedule 1","sectionType":"section","heading":"Main Component","content":"#### Schedule 1 – Main Component\n\n  (section 5)","sortOrder":6},{"sectionNumber":"2","sectionType":"section","heading":"Base amount, relevant frequency band, total specified spectrum and SL bandwidth","content":"#### 2 Base amount, relevant frequency band, total specified spectrum and SL bandwidth\n\n  (1) For the purposes of this Schedule:\n    (a) if a licensed frequency range in a spectrum licence falls within a frequency band specified in column 1 of the table, the frequency band is a relevant frequency band for the licence; and\n    (b) column 2 specifies the total specified spectrum for each relevant frequency band for the licence; and\n    (c) column 3 specifies the base amount for each relevant frequency band for the licence.\n\n| Item | Column 1                                               | Column 2                 | Column 3        |\n| ---- | ------------------------------------------------------ | ------------------------ | --------------- |\n|      | Frequency band                                         | Total specified spectrum | Base amount ($) |\n| 1    | 703 MHz to 748 MHz758 MHz to 803 MHz                   | 90 MHz                   | 49,938          |\n| 2    | 814 MHz to 845 MHz859 MHz to 915 MHz935 MHz to 960 MHz | 112 MHz                  | 62,146          |\n| 3    | 1710 MHz to 1755 MHz1805 MHz to 1850 MHz               | 90 MHz                   | 49,864          |\n| 4    | 1755 MHz to 1785 MHz1850 MHz to 1880 MHz               | 60 MHz                   | 33,243          |\n| 5    | 1920 MHz to 1980 MHz2110 MHz to 2170 MHz               | 120 MHz                  | 66,485          |\n| 6    | 2302 MHz to 2400 MHz                                   | 98 MHz                   | 54,296          |\n| 7    | 2500 MHz to 2570 MHz2620 MHz to 2690 MHz               | 140 MHz                  | 77,566          |\n| 8    | 2570 MHz to 2620 MHz                                   | 50 MHz                   | 27,702          |\n| 9    | 3400 MHz to 3800 MHz                                   | 400 MHz                  | 221,376         |\n| 10   | 20,200 MHz to 21,200 MHz30,000 MHz to 31,000 MHz       | 2,000 MHz                | 42,257          |\n| 11   | 25,100 MHz to 27,500 MHz                               | 2,400 MHz                | 50,708          |\n\n> Note: Each frequency band in column 1 comprises a part of the spectrum in which the ACMA has allocated or issued spectrum licences, or has made arrangements for the allocation and issue of spectrum licences.\n\n  (2) In this Schedule, the SL bandwidth of a licensed frequency range, for a relevant frequency band, is the amount of spectrum (in MHz) in the licensed frequency range that falls within the relevant frequency band.","sortOrder":8},{"sectionNumber":"Schedule 2","sectionType":"section","heading":"EME Component","content":"#### Schedule 2 – EME Component\n\n  (section 5)","sortOrder":10},{"sectionNumber":"Endnotes","sectionType":"section","heading":"Endnotes","content":"#### Endnotes\n\nEndnote 1—About the endnotes\n\nThe endnotes provide information about this compilation and the compiled law.\n\nThe following endnotes are included in every compilation:\n\nEndnote 1—About the endnotes\n\nEndnote 2—Abbreviation key\n\nEndnote 3—Legislation history\n\nEndnote 4—Amendment history\n\nAbbreviation key—Endnote 2\n\nThe abbreviation key sets out abbreviations that may be used in the endnotes.\n\nLegislation history and amendment history—Endnotes 3 and 4\n\nAmending laws are annotated in the legislation history and amendment history.\n\nThe legislation history in endnote 3 provides information about each law that has amended (or will amend) the compiled law. The information includes commencement details for amending laws and details of any application, saving or transitional provisions that are not included in this compilation.\n\nThe amendment history in endnote 4 provides information about amendments at the provision (generally section or equivalent) level. It also includes information about any provision of the compiled law that has been repealed in accordance with a provision of the law.\n\nMisdescribed amendments\n\nA misdescribed amendment is an amendment that does not accurately describe how an amendment is to be made. If, despite the misdescription, the amendment can be given effect as intended, then the misdescribed amendment can be incorporated through an editorial change made under section 15V of the Legislation Act 2003.\n\nIf a misdescribed amendment cannot be given effect as intended, the amendment is not incorporated and “(md not incorp)” is added to the amendment history.","sortOrder":13}],"analysis":{"flash_summary":{"complexity_score":7,"scope_assessment":{"changed":false,"description":"This Determination implements and details the mechanics for calculating the spectrum licence tax provided for in the Radiocommunications (Spectrum Licence Tax) Act 1997. It sets formulas, band tables, population data sources, rounding and special cases, and an allocation method for a pooled EME charge. Those are implementation choices and parameter settings rather than an expansion of the statutory purpose. The instrument does not materially broaden the classes of licences that can be taxed; instead it operationalises how the tax is calculated and apportioned, and references ACMA documents and directions that affect amounts and data sources."},"complexity_factors":["Multiple calculation paths (initial holding date, anniversaries, and a prorated last‑anniversary path) in Schedule 1 clause 3","Table of 11 relevant frequency band items with distinct 'total specified spectrum' and 'base amount' values (Schedule 1, clause 2)","Use of external ACMA data products (HCIS population data document and Australian Spectrum Map Grid 2012) incorporated by reference (Schedule 1 Definitions)","Population‑based prorating by geographic area plus bandwidth prorating (two multiplicative scaling factors) in the Main Component formula (Schedule 1 clause 3 Step 1A/1B)","Rounding rules and a statutory minimum ($7) plus special exceptions (one‑third discount for two mid‑bands; flat $7 for specified tiny dual blocks) (Schedule 1 clause 3(2)–(5))","EME Component is a pooled allocation: requires aggregation of all Designated licences' Main Components to compute each licence's share (Schedule 2 clause 2)","Temporal linkage to annual financial years and a specified total annual EME amount for 2025‑26, plus an ACMA direction that alters the EME pool in future years (Schedule 2 Definitions and notes)","Cross‑references to the parent Act and to other legislative instruments and ACMA directions (clauses 3, 6; Schedules)","Multiple defined terms across the instrument and both Schedules (roughly 15–20 defined or externally referenced terms: e.g. Act, Designated Spectrum Licence, HCIS document, MCL, SL bandwidth, etc.)","Nested exceptions and substitutions (e.g. Step 2 substitution for specified frequency bands) which increase conditional logic"],"plain_english_summary":"**What this instrument does (mechanics)\n\n- Establishes how the spectrum licence tax is calculated for individual spectrum licences issued under Part 3.2 of the Radiocommunications Act 1992 (the licence tax). (clauses 3, 8)\n- Sets the initial holding date rule that determines when the licence tax first becomes payable and how anniversaries are identified for ongoing annual tax. (clause 7)\n- Splits the tax into two parts:\n  - a \"Main Component\" that applies to all applicable spectrum licences, calculated from a catalogue of frequency bands, a base amount for each band, the licence's bandwidth within the band, and the population of the licence's geographic area; and\n  - an \"EME Component\" (extra pool) that applies only to \"Designated Spectrum Licences\" and is allocated across those designated licences in proportion to their Main Components. (clause 8; Schedule 1; Schedule 2)\n- Identifies frequency bands, the total spectrum for each band and a corresponding base dollar amount used in the Main Component formula. (Schedule 1, clause 2 and table)\n- Uses ACMA-produced population data keyed to an Australian grid (HCIS) to prorate charges by the population of the geographic area covered by each licensed frequency range; bandwidth and population both scale the Main Component. (Schedule 1, Definitions and clause 3)\n- Applies rounding rules, a minimum tax of $7 per licence, special discounts for particular mid‑band frequencies (one‑third reduction for licences covering 2570–2585 MHz or 2605–2620 MHz), and a flat $7 rule for licences that only authorise tiny blocks at 824–825 MHz and 869–870 MHz. (Schedule 1, clause 3)\n- For Designated Spectrum Licences, calculates an annual EME Component by taking the licence's Main Component share of the total Main Components across all designated licences and multiplying that fraction by a specified total annual EME pool; the result is rounded down to whole dollars. (Schedule 2)\n- Incorporates and relies on external ACMA material (HCIS population document and the Australian Spectrum Map Grid 2012) and an ACMA Direction that adjusts the EME pool over time. (Schedule 1 Definitions; Schedule 2 note)\n\nWho this affects\n\n- Pays: holders of spectrum licences issued under Part 3.2 of the Radiocommunications Act 1992, except specifically excluded licences. Exclusions include licences issued to Commonwealth Departments, certain Executive and Statutory Agencies, licences restricted solely to television outside broadcast services, and licences restricted solely to rail safety/operations/control. (Schedule 1 definition of \"Designated Spectrum Licence\" and clause 8)\n- Is most materially affected: licence-holders with large geographic footprints (higher HCIS population), wider bandwidths within a relevant frequency band, and licences in frequency bands with higher base amounts. Designated licences also pay an additional proportional share of the EME pool. (Schedule 1 and Schedule 2)\n\nWhy it matters (practical effects and decision points)\n\n- Who pays and how: licence-holders pay an annual tax per licence that rises with the population served by the licensed geographic area and with the amount of spectrum (MHz) they hold in a given band. Designated licences pay an extra pooled EME charge allocated pro rata to their Main Component. (clauses 7–8; Schedules 1–2)\n- Pricing signal and incentives: the tax creates a financial incentive to limit geographic or spectral scope (smaller coverage areas or narrower bandwidths lower the Main Component). The EME pool further shifts costs toward licences with larger Main Components. (Schedule 1 and Schedule 2)\n- Administrative reliance: licence-holders must use ACMA HCIS population data and the Australian Spectrum Map Grid to compute taxable population shares; the instrument ties calculations to documents published and updated by ACMA. (Schedule 1 Definitions)\n- Discrete design choices: the instrument builds in a minimum payment ($7), a discount for certain mid‑bands, and a specific low‑fee rule for two tiny uplink/downlink blocks — these alter relative tax burdens across frequency bands and licence sizes. (Schedule 1, clause 3(3)–(5))\n\nOfficial purpose-claims and an analytical check\n\n- The instrument implements the method by which spectrum licence tax is assessed. That is the explicit function set out in the Act and carried through here (clauses 3 and 8). The Schedule 2 note also records an ACMA direction that requires the EME pool to increase from 2023–24 onward.\n\n- Costs and who bears them: costs are borne by licence‑holders; larger operators (more population coverage and/or more MHz in higher base bands) will carry a proportionately larger share. Designated licences carry additional EME charges allocated by relative Main Components (Schedule 2). These are concrete redistribution mechanics: more extensive licences pay more.\n\n- Incentives and possible behavioural responses: because the tax scales with population covered and spectrum bandwidth within defined bands, licence-holders may respond by narrowing coverage, partitioning holdings, choosing different frequency bands, or reconfiguring deployments. The one‑third discount for specified mid‑band blocks and the flat $7 rules lower the tax cost of using those slices and therefore may encourage use of those ranges.\n\n- Compliance and implementation risks: licence-holders must rely on ACMA's HCIS population data and grid definitions; updates to those external datasets or to the total EME pool (driven by an ACMA Direction) will change liabilities. The calculation involves multiple steps (initial date vs anniversaries, a prorated last‑anniversary rule, rounding rules and special cases) which increases bookkeeping and the risk of error if automated processes are not kept aligned with instrument text. (clause 7; Schedule 1, clause 3; Schedule 2)\n\n- Concentration of benefits/exemptions: the instrument explicitly exempts certain Commonwealth agencies and very narrow service licences (outside TV OB and rail safety/control) from being Designated Spectrum Licences; those exclusions affect which licences pay the EME pool. (Schedule 1 definition of Designated Spectrum Licence)\n\nPractical checklist for a licence-holder\n\n- Identify whether your licence is covered and whether it is a Designated Spectrum Licence (Schedule 1 definition).\n- Find the relevant frequency band in the Schedule 1 table and the band’s base amount and total specified spectrum.\n- Determine your licensed frequency range's SL bandwidth within that band and the geographic area(s) using the HCIS grid and population document published by ACMA.\n- Calculate the Main Component using the Step 1A/1B/Step 2/Step 3 process (Schedule 1, clause 3), apply any special discounts or flat rules, then if Designated, compute your EME Component using Schedule 2.\n- Keep records of initial holding dates, anniversary dates, and any licence expiry for prorating the last anniversary amount.\n\nKey provision references: clause 7 (initial holding date), clause 8 (tax = Main Component ± EME), Schedule 1 (Main Component calculation and bands table), Schedule 2 (EME allocation)."},"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"},"kimi_summary":{"content_quality":"ok","complexity_score":7,"scope_assessment":{"changed":false,"description":"The legislation appears consistent with its original purpose of setting tax calculation methodology for spectrum licences. The 2021 Determination updates previous versions with current population data (2021 Census), adjusted dollar amounts, and refined frequency band classifications, but remains within the scope of the enabling Radiocommunications (Spectrum Licence Tax) Act 1997."},"complexity_factors":["Multiple nested calculation formulas with fractional mathematics (population ratios, bandwidth ratios, day-count proration)","Two separate schedules with distinct calculation methodologies (Main Component vs EME Component)","11 defined terms in Schedule 1 alone, plus 3 in Schedule 2, with cross-references to external documents (HCIS population data, Australian Spectrum Map Grid 2012)","Conditional logic with exceptions: standard calculation vs 'last anniversary' proration (Step 1A vs 1B), one-third discount for specific frequency bands (2570-2585 MHz and 2605-2620 MHz), and a flat $7 minimum for narrow 824-825/869-870 MHz licences","External document incorporation by reference (HCIS population data document as existing at specific amendment commencement date)","Dynamic referencing to 'total annual EME Component' which increases annually per separate Ministerial Direction","Frequency band tables with 11 separate entries requiring mapping of licence holdings against specified ranges"],"plain_english_summary":"This law sets an annual tax on spectrum licences — the rights telecoms use to operate mobile, radio and broadcast services — so major carriers (Telstra, Optus, TPG, etc.) pay for access while government agencies and certain special users are exempt. \n\nIt calibrates charges by spectrum value (frequency band, location and population coverage), adds an extra allocation for high‑demand licences, and creates discounts for some bands, aligning costs with efficient, higher‑value spectrum use."}},"importantCases":[],"_links":{"self":"/api/acts/radiocommunications-spectrum-licence-tax-determination-2021","history":"/api/acts/radiocommunications-spectrum-licence-tax-determination-2021/history","analysis":"/api/acts/radiocommunications-spectrum-licence-tax-determination-2021/analysis","conflicts":"/api/acts/radiocommunications-spectrum-licence-tax-determination-2021/conflicts","importantCases":"/api/acts/radiocommunications-spectrum-licence-tax-determination-2021/important-cases","documents":"/api/acts/radiocommunications-spectrum-licence-tax-determination-2021/documents"}}